Ease of Doing Business in India?
Doing business in India is challenging due to the presence of imprisonment clauses in its business laws enacted since Independence.
2 out of 5 compliances can send an entrepreneur to jail – states Team Lease Reg Tech and ORF Report
These clauses have been enacted by Union and state governments. Five states have more than 1,000 imprisonment clauses in their business laws: Gujarat (1,469), Punjab (1,273), Maharashtra (1,210), Karnataka (1,175), and Tamil Nadu (1,043). Excessive compliances are especially burdensome on MSMEs; a typical MSME, having more than 150 employees, faces 500-900 compliances that cost Rs. 12-18 lakhs in a single year.
We request Local Circles to take up this issue with Government to improve ease of doing business in India.
(Source: Taxguru)
2 out of 5 compliances can send an entrepreneur to jail – states Team Lease Reg Tech and ORF Report
These clauses have been enacted by Union and state governments. Five states have more than 1,000 imprisonment clauses in their business laws: Gujarat (1,469), Punjab (1,273), Maharashtra (1,210), Karnataka (1,175), and Tamil Nadu (1,043). Excessive compliances are especially burdensome on MSMEs; a typical MSME, having more than 150 employees, faces 500-900 compliances that cost Rs. 12-18 lakhs in a single year.
We request Local Circles to take up this issue with Government to improve ease of doing business in India.
(Source: Taxguru)
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View all 15 comments Below 15 comments
But see in today's environment, how many businessman are honest? Many a businessman are involved in many illegal activity. ICT is biggest issue. Bogus Invoices are another issue.
Feb 24
Reduce harsh regulations and you will see less corruption and business will thrive. The countries that have less socialist regulations have better business climate and it thrives.
Feb 14
Legal Metrology, FSSAI acts have severe imprisonment clauses. These don't deter the rogues but the MSME businessmen shudder even if there is a small mistake. Such penal clauses should be done away with if we want business to flourish.
Feb 14
For food/medicine adulteration imprisonment should be retained as the life of consumer is at stake.
Conviction be done within 3 months max.
Conviction be done within 3 months max.
Feb 14
