Many individuals want to start a business of their own. However, most of them don’t have enough courage or money to begin their venture. Starting a business, be it any, is not just risky but difficult as well. It requires a considerable amount of investment. Moreover, investment solely isn’t enough. A new venture demands a lot of time and assiduousness. Besides, it also involves the appointment of human resource, premises to work in, and obviously exchange of good or services that are being produced or offered by the startup.
Though starting a business requires all of the aforementioned things after the GST rollout beginning a new venture has become easy. Those who want to start a business can take a sigh of relief from the government’s end in the context of tax imposition, filing, and returns. It is so because the proposed GST rate in India has freed business owners rather entrepreneurs whose turnover doesn’t exceed the threshold limit from the liability of registering themselves under GST. This is just a glimpse of the advantages and relief that business owners will get. To know more keep reading.
You get Tax Deductions
This taxation policy supports and promotes new and small businesses. In order to do that, the government has liberated new business owners whose turnover is less than Rs. 5 lakhs in some states and Rs. 10 lakh in some other states are exempted from GST registration. Besides, tax deductions are also provided to business owners while traveling to meet clients for the purpose of business expansion. Hence, one can claim those deductions on food, travel, and stay as per the GST regulations. To know the same, you need to know the correct proposed GST rate in India of various products and services. You can utilize GST rate finder to know the current rates.
Your Income is yours
If you start working on your business idea now under the GST regime you get many benefits. If you are a startup, the turnover or earnings of your company would be yours wholly. You don’t need to pay the tax to any government authority until the time you earn good enough in the eyes of the government. This way you can save more to invest in your business further. You can work on your business meticulously without worrying about being GST compliant. However, after your business becomes robust enough, you need to pay heed to the proposed GST rate in India and the rules and regulations as well.
You generate income in various ways
When your business is new, you need to invest more. However, your business initially might not fetch the turnover you would expect it to. In such a situation, you would need to think of other ideas to earn. You can open a coaching class or a consultancy for people who have a similar business model as yours. This will not only become an extra source of income for you but it will also increase your goodwill and reachability amongst your peers, beginners and potential customers. The money earned can be utilized optimally to fulfill the needs of your growing business. One can start more than one business to generate income with just one GST registration. GST has lessened the burden on business owners as they do not have to follow various government procedures.
The aforementioned points are few of the many substantial reasons to make every risk-taker realize his dream of owning a business. You just need to hire dedicated and passionate employees. Moreover, you should also hire financial advisors and marketing personnel. All of them will collectively help you in climbing the ladder to success rapidly. They will guide you by embarking the knowledge they have. The destination-based tax regime (GST) also gives relief to individuals who already have an established entity or are planning to own one. Various companies are facilitating business owners by providing various software for GST compliance. Tool for calculating GST helps taxpayers in calculating taxes according to the proposed GST rates in India. So, think no more and take a step to build your own venture.