Thursday, November 29, 2007
Post Incorporation Issues
| Most people do appreciate the advantages of incorporation and especially limited liability and that the company is a complete person with an ability to own property. Especially in this time of IPO's many people are taking advantage of incorporation to buy shares. So you have your certificate of incorporation, what next? 1. Get a PIN and VAT certificate from KRA. They are issued free of charge. Tax returns are filed every month. 2. You are required to hold an Annual General Meeting, 18 months after incorporation and consistently every year. The purpose of an AGM is to among others receive Accounts for the previous year. A board of directors meeting is to be held immediately after that or as consistently after that. 3. You are also required to file Annual Returns (14 days after the AGM). Many companies neglect to file Returns which could lead to a company being deregistered. Filing returns at the company registry is not expensive and its required to communicate to the Registrar of any changes in capital and directors. 4. The Accounts of a registered company are required to be prepared in accordance with Companies Act Cap 486. The immediate benefit of incorporation is that all expenses are deducted before the taxable profit unlike a partnership. Finally Small Business resource www.aren.co.ke is a site that enables you to calculate P.A.Y.E for employees. Very useful indeed. Labels: Business |
posted by Shiroh Kamau at 9:15 AM
It's interesting about incorporation in Kenya. We help new business owners incorporate in Florida and some other states online at FL-Inc..
I'm not sure if you offer incorporations online for Kenyan businesses - yes? You know you can incorporate in the USA from outside the country for certain types of business entities? It's true... if you want more info - just email and ask. :) Vern