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Software Techanology Parks STPs Registration Process.


STPs Unit Registration Process.

  • Application in the prescribed form duly signed by the authorized signatory setting the official seal (5 copies need to be submitted.)
  • Copy of Boards resolution nominating the authorized signatory.
  • Project report : Justifying the ability of the enterprise as to the potential in manpower expertise, technology segment marketing and customer support arrangements, business plan, type of software development envisaged, profile of Balance Sheet, Profit and Loss a/c, Cash Flow Statement, Profitability Statement, etc.
  • Document evidencing Sole Proprietary concern /Partnership Firm / Company Registration Certificate, Memo of Association, Memo of Articles.
  • Copy of Agreement/MOU/Purchase Order/Letter of Intent with the overseas customer (if any) in support of the business potential.
  • Lease deed/sale deed of the premises.
  • In case of an existing unit : Product line to be specified, copy of the Audited Annual Accounts for the last 2 years to be furnished.
  • D.D for Rs.2500 drawn in favour of STPI.

Guidelines

Stage 1: Incorporation of Company Registration with Registrar of Companies, India

Time Frame 10-12 working days

Documents to include:

  • Form 1A - Name availability.

  • Form 1- Compliance letter from Company.

  • Form 18 - Registered Office of the Company.

  • Form 32 - List of Directors & address (in duplicate).

  • 3 Copies of Memorandum & Articles of association of the Company Applicable fees.

Pre-Registration of STP Units

Step 1

Steps Involved in Incorporating a Company and Setting up of a 100% Export Oriented Unit under Software Technology Parks of India (STPI).

Stage 2

Application for Permanent Account Number (PAN) or Corporate TAX ID & Tax deduction Account Number (TAN) to withhold & remit the withholding taxes.

Time Frame 7 working days

Documents to include:

  • List of Directors of the Company

  • Application form in Form 49A (for PAN)

  • Application form in Form 49B (for TAN)

  • Copy of the Memorandum & Articles of association of the Company

Stage 3

Application to Joint Director General - Foreign Trade for Importer Exporter Code (IEC)

Time Frame 7 working days

Documents to include:

  • Application in duplicate

  • Profile of the Company

  • Copy of TAX ID allotment

  • Banker's Certificate about the satisfactory account maintenance

  • Photo of the Director preferring the application

  • Fee of INR 1000

  • Declaration from the Company: That the Directors are not associated with Companies in the Cautioned list of Reserve Bank
    About the status of Non-Resident Investment in the Company Copy of the Memorandum & Articles of association of the Company.

Stage 4

Application to Software Technology Parks of India (STPI) to set up a 100% Export Oriented Unit (EOU).

Time Frame 22 working days

Documents to include:

  • Application Form in the prescribed form

  • Memorandum and Article of Association

  • Board Resolutions for setting up STP Unit and persons authorized to sign.

  • Resume of Person Heading the operation / CEO

  • Detailed project report / Business plan consist of Company Profile Promoters background

Units Area of Expertise / Services offered

  • Marketing Strategy / Marekting Arrangements

  • Manpower plan

  • Future plans

Financials statement like :

  • Cost of project & Means of finance

  • Projected P&L A/c.

  • Projected Balance Sheet

  • Projected Cashflow / fund flow statement

  • Export workings - (As per Transfer pricing guidelines where ever applicable)

  • Other documents like

  • Copy of FIRC's and letter filed with RBI for receipt of Foreign equity

  • Copy of service agreement signed with parent company / clients/ PO with clients / Master service agreement.

  • Initial application processing fee of INR 2,500 and Advance service charges of INR 50,000 at the time of executing the legal agreement. Service charges to be paid annually as per the slabs given in the application.

Stage 5

Application to Customs authorities to avail duty concessions by setting up a Private bonded warehouse

Time Frame 7 working days

Documents to include:

  • Application form - 4 copies

  • Approval from STPI to set up 100% EOU

  • Copy of TAX ID

  • Copy of Importer Exporter Code

  • Copy of Application filed with STPI for set up of EOU

  • Banker's Certificate about the satisfactory account maintenance

  • Lease Deed of the premises to be Customs bonded

  • Floor plan - 4 copies duly attested by the CEO / authorized signatory

  • B-17 bond to be executed by the Company to set up a Private bonded warehouse for an amount of 12.5% of the Capital goods to be imported

  • Bank Guarantee to be provided by the Company for a value of 5% of the value as indicated in B- 17bond

  • Copy of the Memorandum & Articles of association of the Company

Stage 6

Application with State authorities to obtain:

Time Frame 7 working days

Documents to include:

Relevant Application forms duly signed by the authorized signatory Copy of the lease agreement entered into for the office premises

  • 4 Photographs of the proposed CEO / Director

  • Copy of the Memorandum & Articles of association of the Company Applicable fees

  • Profession tax registration for the entity: INR 2,500 payable annually

  • Sales Tax Registration: INR 500 as fees & INR 5,000 to 10,000 as refundable deposit

  • Department of Labour (Karnataka Shops & Establishments Act) - INR 250 to 25,000 depending on the number of employees employed as per slabs (attached).

Note:

  • The time frame indicated can be reduced depending on the flow of documents.

  • Steps Number 2,3, & 6 can be taken up simultaneously along with STPI registration.

  • The fees indicated are as on date of publishing this information. The units needs to pay the actual amount as applicable at the time of registration with the respective department .

  • The documents list given may vary and units needs to provide specific documents as requested by respective department.

  • This information is meant for the units who intend to register with STPI, this should not be used for any publication or circulation

Post-Registration of STP Units.

Stage 4

Prefer application to Software Technology Parks of India (STPI) to set up a 100% Export Oriented Unit (EOU) to avail Tax Holiday. On receipt of approval from STPI, enter into agreement for setting up the Unit and commitment for fulfillment of Export obligation based on the Foreign Exchange (FE) outgo - 3 times the FE outgo within a 5 year period.

Time Frame 22 working days (15 days for approval + 7 days for agreement execution/ attestation )

Documents to include

Financials for a 5 year period projecting income from operations, Capital expenditure & Cash Flows

Resume of the proposed CEO of the Unit

Brief write up on the US Company and the activities proposed to be carried out by the Indian entity

Initial processing fee of INR 2,500 and annual membership fees of INR 50,000 at the time of registering the Unit.

Copy of the Memorandum & Articles of association of the Company

Stage 5

Prefer application to Customs authorities to avail duty concessions by setting up a Private bonded warehouse

Time Frame 7 working days

Documents to include

  • Application form - 4 copies

  • Approval from STPI to set up 100% EOU

  • Copy of TAX ID

  • Copy of Importer Exporter Code

  • Copy of Application filed with STPI for set up of EOU

  • Banker's Certificate about the satisfactory account maintenance

  • Lease Deed of the premises to be Customs bonded

  • Floor plan - 4 copies duly attested by the CEO / authorized signatory

  • B-17 bond to be executed by the Company to set up a Private bonded warehouse for an amount of 12.5% of the Capital goods to be imported.

  • Bank Guarantee to be provided by the Company for a value of 5% of the value as indicated in B-17 bond.

  • Copy of the Memorandum & Articles of association of the Company

Stage 6

Prefer application with State authorities to obtain:

  • Sales Tax Registration Profession Tax Registration for the Company to carry on business & for the employees to effect tax recovery from their salaries permission from the Department of labor to employ people.

Time Frame : 7 working days

Documents to include:

  • Relevant Application forms duly signed by the authorized signatory

  • Copy of the lease agreement entered into for the office premises

  • 4 Photographs of the proposed CEO / Director

  • Copy of the Memorandum & Articles of association of the Company

  • Applicable fees

  • Profession tax registration for the entity: INR 2,500 payable annually

  • Sales Tax Registration: INR 500 as fees & INR 5,000 to 10,000 as refundable deposit

  • Department of Labor (Karnataka Shops & Establishments Act) - INR 250 to 25,000

  • depending on the number of employees employed as per slabs (attached)

Note :

  • The time frame indicated can be reduced depending on the flow of documents.

  • Steps Number 2,3 & 6 can be taken up simultaneously along with STPI registration.

  • The fees indicated are as on date of publishing this information. The units need to pay

  • the actual amount as applicable at the time of registration with the concerned department.

  • This information is meant for the units who intend to register with STPI, this should not be used for any publication or circulation.


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