Last updated: 14 Oct 2026
Frequently Asked Questions
Find answers to common questions about our services across all practice areas.
Company Registration
Professional fees start from ₹8,999 for drafting and filing SPICe+, MOA/AOA and PAN/TAN applications. Not all-inclusive: government fees, stamp duty and other charges are extra. 5–15 working days. Post-registration compliance support included.
Pvt Ltd if you plan to raise VC/angel funding (can issue equity shares). LLP for professional practices and bootstrapped businesses (lighter compliance, no dividend distribution tax). OPC for solo entrepreneurs.
5–15 working days depending on MCA processing times and name availability. SPICe+ integrates PAN, TAN, GST, EPFO, and ESIC in a single application.
A company with a single member and one nominee under Section 2(62) of the Companies Act, 2013. Limited liability protection with simplified compliance — ideal for solo founders.
No minimum paid-up capital requirement since the 2015 amendment. You can start with as low as ₹1. Authorised capital of ₹1 lakh is common and attracts ₹600 in stamp duty.
Yes. NRIs and foreign nationals can be directors and shareholders. At least one director must be an Indian resident (stayed in India for 182+ days in the previous year). FDI reporting via FC-GPR is required post-allotment.
Annual return (MGT-7A), financial statements (AOC-4), board meetings (minimum 4/year), AGM within 6 months of FY end, DIR-3 KYC for directors, and income tax return filing.
File application under Section 366 of the Companies Act with MCA. Requires NOCs from creditors, consent of partners, and compliance with Chapter XXI provisions. Takes 2–3 months.
Valuation Services
A professional registered with IBBI under the IBBI (Registered Valuers) Regulations, 2017. Only Registered Valuers can issue valuation reports under the Companies Act (Section 247) and IBC.
Pre-revenue valuation from ₹25,000. Growth-stage DCF from ₹50,000. Multi-framework (FEMA + Income Tax + 409A) from ₹1,00,000. 18 methods with 10,000 Monte Carlo simulations.
18 valuation methods including DCF, comparable company analysis, comparable transaction analysis, NAV, venture capital method, option pricing models, Berkus, scorecard, and Monte Carlo simulations.
Standard delivery: 5–7 working days. Express delivery: 2–3 working days. IBC valuations follow CIRP statutory timelines as prescribed under the Code.
Yes. We use Berkus, scorecard, venture capital, and revenue ramp Bayesian methods for pre-revenue companies. 10,000 Monte Carlo simulations model uncertainty in projections.
Section 247 of the Companies Act, 2013 mandates valuation by an IBBI Registered Valuer for mergers, amalgamations, share buy-back, and other corporate actions specified under the Act.
Fair value (Ind AS 113) is the exit price in an orderly transaction. Fair market value (Income Tax Act) is the price between a willing buyer and seller with reasonable knowledge. Different standards apply to different regulatory filings.
Yes. We issue IBBI-compliant valuation certificates for collateral assessment, working capital limits, term loan appraisals, and one-time settlement (OTS) proposals accepted by banks and NBFCs.
ESOP & Equity Valuation
Fair value of stock options under Ind AS 102 / IFRS 2 using Black-Scholes or Binomial models. Mandatory for Ind AS expense recognition and SEBI SBEB compliance for listed companies.
US IRC Section 409A requires independent fair market value determination for stock options granted by companies with US operations. Protects employees from 20% penalty tax on deferred compensation.
Valuation of shares issued to employees or directors in exchange for intellectual property or know-how. Governed by Section 54 of the Companies Act and Rule 8 of the Companies (Share Capital) Rules.
Grant date fair value × number of options expected to vest, recognized over the vesting period. We use Black-Scholes for plain options and Binomial lattice for performance-linked ESOPs with multiple vesting conditions.
FEMA & Foreign Exchange
FDI reporting (FC-GPR/FC-TRS), ECB compliance, ODI advisory, LRS guidance, FEMA compounding for late filings, and cross-regulatory conflict detection between FEMA, Income Tax, and Companies Act.
For unlisted companies, yes in practice. Rule 21 of NDI Rules requires "internationally accepted pricing methodology" but RBI and AD banks consistently require DCF for share pricing under FEMA.
Late FC-GPR constitutes a FEMA contravention under Section 15. Compounding proceedings with potential penalties up to 3× the amount involved. Early voluntary disclosure typically results in lower penalties.
A process under Section 15 of FEMA, 1999 where contraventions are settled by paying a compounding fee to RBI. It's a one-time settlement — not an admission of guilt — that regularises the non-compliance.
Yes, under the automatic route for most sectors. NRIs can invest via FDI (equity), NCD, or convertible notes. FC-GPR filing within 30 days of allotment is mandatory. Sector-specific caps and conditions apply.
A loan raised by an Indian entity from a non-resident lender. Governed by FEMA ECB Regulations. Requires compliance with all-in-cost ceiling, minimum average maturity, end-use restrictions, and monthly ECB-2 reporting to RBI.
GST
Yes. Section 107 appeals before Appellate Authority, Section 112 appeals before GST Tribunal, and DRC-01 show cause notice responses. AI-assisted order analysis extracts demand amounts and computes pre-deposits.
Section 107 (Appellate Authority): 3 months from the date of order. Section 112 (Tribunal): 3 months. Pre-deposit: 10% for first appeal, additional 20% for tribunal appeal.
₹40 lakhs for goods, ₹20 lakhs for services, ₹10 lakhs for special category states. Mandatory registration for interstate supply, e-commerce operators, and casual taxable persons regardless of turnover.
A declaration filed in Form GST RFD-11 by exporters to make exports without payment of IGST. Valid for one financial year. Must be filed before the first export shipment of the year.
File response in DRC-06 within 30 days. Include point-wise rebuttal with supporting documents, relevant case law, and reconciliation statements. Attend the personal hearing if scheduled.
Rule 42 and 43 of CGST Rules require proportional ITC reversal for inputs used in exempt and taxable supplies. Non-reversal results in demand with 18% interest under Section 50.
Income Tax
File Form 35 on the e-filing portal within 30 days of the assessment order. Include grounds of appeal, statement of facts, and supporting documents. Pre-deposit of disputed demand may be required.
The Principal CIT can revise an Assessing Officer's order if it is erroneous and prejudicial to revenue. Challenge before ITAT by filing Form 36 within 60 days of the revision order.
Penalty of 100% to 300% of tax sought to be evaded for concealment of income or furnishing inaccurate particulars. Penalty order must specify the exact limb — ambiguous orders are void (Dilip N. Shroff, SC).
Eligible businesses with turnover up to ₹3 crore (₹2 crore if cash receipts exceed 5%) can declare 6%/8% of turnover as income. No books of accounts required. Professionals use Section 44ADA (50% of gross receipts).
Section 197 allows taxpayers to apply for nil/lower TDS where actual tax liability is significantly lower than TDS being deducted. Filed in Form 13 through TRACES portal.
Tax payable during the financial year in quarterly instalments: 15% by June 15, 45% by September 15, 75% by December 15, and 100% by March 15. Interest under Section 234B/234C applies for defaults.
Forensic Accounting & Fraud
Certified Fraud Examiner — a credential from ACFE (Association of Certified Fraud Examiners), USA. It covers fraud prevention, detection, investigation, and deterrence across financial and non-financial fraud.
Yes. CFE-led financial due diligence for PE/VC investors covering financial statement analysis, fraud risk indicators, contingent liabilities, related party transactions, and regulatory compliance review.
A statistical technique used in forensic accounting to detect anomalies in financial data. Natural data follows a predictable distribution of leading digits — deviations signal potential manipulation or fraud.
Yes. Our forensic reports are prepared to evidentiary standards and have been used in criminal complaints, civil suits, arbitration proceedings, and regulatory investigations (SFIO, ED, SEBI).
Transfer Pricing
Documentation required under Section 92D for international and specified domestic transactions. Includes Master File (if turnover exceeds ₹500 crore), Local File, and CbCR (if group turnover exceeds ₹5,500 crore).
Transactions between related parties must be priced as if they were between independent enterprises. Five methods prescribed under Section 92C: CUP, RPM, CPM, PSM, and TNMM.
An agreement between a taxpayer and CBDT determining the arm's length price for future international transactions. Valid for up to 5 years with rollback for 4 prior years. Provides certainty and avoids litigation.
Startup Services
Recognition under the Startup India initiative for companies incorporated up to 10 years ago (20 years for deep-tech startups) with turnover up to ₹200 crore (₹300 crore for deep tech) in any financial year, under the DPIIT notification of 4 February 2026. Benefits include tax exemption under Section 80-IAC, self-certification, and easier public procurement.
Section 56(2)(viib) of the Income-tax Act, 1961 taxed share premium received by an unlisted company above the fair market value of the shares. The Finance (No. 2) Act, 2024 made it inapplicable from assessment year 2025-26, so it does not apply to shares issued on or after 1 April 2024; it remains relevant only to assessments and appeals for earlier years, where Rule 11UA governed the valuation.
Board composition, anti-dilution rights, liquidation preference, drag-along/tag-along rights, ROFR, vesting schedules, information rights, and exit mechanisms. We review SHAs from a valuation and regulatory perspective.
Simple Agreement for Future Equity — an instrument for early-stage fundraising. Converts to equity at a future priced round with a valuation cap and/or discount. Increasingly used in India as an alternative to convertible notes.
General
Chennai (HQ — Spencer Plaza, Anna Salai), Bangalore (MG Road), and Mumbai (Goregaon West). All services are available pan-India through virtual engagement.
Yes. 30-minute complimentary consultation with no obligation. Call +91 99622 60333, email support@virtualauditor.in, or WhatsApp us directly.
FCA (Fellow Chartered Accountant), ACS (Associate Company Secretary), CFE (Certified Fraud Examiner — ACFE, USA), and IBBI Registered Valuer (IBBI/RV/03/2019/12333) for Securities & Financial Assets.
Yes. Monthly financial reporting, MIS, cash flow management, board meeting support, statutory compliance tracking, and investor-ready reporting for startups and SMEs.
Share your latest audited financials and purpose of the certificate. We issue net worth certificates, turnover certificates, and various certifications required for tenders, visa applications, and regulatory filings.
Talk to Our Experts
Free 30-minute consultation with CA V. Viswanathan (FCA, ACS, CFE, IBBI RV). No obligation.