This article is for general educational purposes only. Tax laws, GST provisions, labour laws, MCA rules, trademark rules and compliance requirements may change. Please consult Anagha Solutions before making business, tax or legal decisions.
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The first 12 months of a startup are packed — product, hiring, fundraising and revenue all compete for attention. Compliance often takes a back seat and returns as expensive cleanup during due diligence.
Use this checklist to keep your startup compliant, investor-ready and stress-free from day one.
1. Choose the right structure
- Private Limited — preferred for fundraising, ESOPs and limited liability
- LLP — simpler compliance, harder to raise equity
- Proprietorship — quickest to start, no separate legal entity
2. Post-incorporation basics
- Open current account and deposit subscription money
- File INC-20A within 180 days
- Appoint auditor within 30 days (ADT-1)
- Issue and stamp share certificates within 60 days
- Adopt statutory registers and templates for board minutes
3. Tax registrations
- PAN and TAN (auto-issued with SPICe+)
- GST registration if crossing threshold or on marketplaces
- Import Export Code (IEC) if importing / exporting
- MSME / Udyam registration for benefits and delayed-payment protection
- DPIIT recognition for startup tax benefits and lower trademark fees
4. Payroll and labour compliance
- PF registration when 20+ employees (voluntary earlier)
- ESI when 10+ employees earning up to ₹21,000
- Karnataka Professional Tax — Enrolment and Registration Certificates
- Payroll software or outsourced payroll from month one
- Well-drafted offer letters, employment contracts and NDAs
5. Intellectual property protection
- Trademark search and registration for brand name, logo and app name
- Copyright for original content, code, designs
- Assignment of IP from founders and consultants to the company
6. Finance and books
- Set up cloud accounting (Zoho Books / Tally / QuickBooks)
- Monthly bookkeeping, GST reconciliation and MIS
- Founder salaries and expense reimbursement policy
- Cap table and share issue documentation
7. Annual compliance
- ROC filings — AOC-4, MGT-7, DIR-3 KYC, DPT-3, MSME-1
- Income tax return and, if applicable, tax audit
- GST annual return (GSTR-9 / 9C)
- TDS returns quarterly (24Q, 26Q)
- Renew licenses (FSSAI, Shops & Establishment, trade licence)
Frequently asked questions
When should a startup get DPIIT recognition?
As soon as it is incorporated as a Pvt Ltd / LLP and less than 10 years old. DPIIT unlocks tax benefits, lower trademark fees and easier public procurement.
Do we really need monthly compliance from day one?
Yes. Even without revenue, TDS, PF, ESI, PT and MCA filings become due. Investors also expect clean books during any diligence.
Talk to Anagha Solutions for practical, Bangalore-based professional support.