Sole proprietorship is an activity whose main purpose is to make a profit. The essence of entrepreneurial activity is the manifestation of a citizen's own initiative, full responsibility for the decisions made, as well as the presence of a unique idea.
Features of the status of an entrepreneur
Becoming an entrepreneur, a citizen acquires certain rights and obligations. The legal status of an individual entrepreneur is a cross between the powers of individuals, citizens and legal entities.
The status of an individual entrepreneur arises from the moment of official registration of an individual as an entrepreneur. If a person is engaged in any activity, while not having official registration, he is not an individual entrepreneur. Accordingly, all possible disputes will be settled in a court of general jurisdiction. All property disputes related to individual entrepreneurs and their activities are considered by the arbitration court.
Individual entrepreneurial activity is regulated by the relevant sections of the Civil Code of the Russian Federation. The same legislative acts regulate the activities of legal entities.
An entrepreneur has the right to conclude formal labor contracts with citizens. A citizen who works under a contract is one of the creditors of this entrepreneur. The relationship between an individual entrepreneur and his employee is regulated by the current codes and other legislative acts.
If an entrepreneur, in the course of carrying out entrepreneurial activities, cannot fully repay the claims of creditors, a case may be initiated against this entrepreneur. If the court makes an appropriate decision, the entrepreneur is recognized as insolvent. If an entrepreneur is declared bankrupt, all legal claims of creditors are repaid at the expense of all property belonging to the insolvent person.
An entrepreneur can engage in any activity within the framework of OKVED.
In most cases, OKVED codes are selected at the time of IP registration. If necessary, you can expand your activities and assign additional codes at any time by contacting the relevant authorities.
Design methods
There are several ways to register a sole proprietorship.
- Self-decoration. The entrepreneur collects a package of documents, applies to the Federal Tax Service, fills in all the necessary forms. This is a relatively simple procedure that can be facilitated with the help of various online services.
- Registration of an enterprise with the help of third parties. These include professional registrars, legal advisers and other involved persons.
Personally in the bodies of the Federal Tax Service
The step-by-step instruction for registering an IP is as follows.
Before collecting documents and applying to the tax authorities, you must perform several simple procedures:
- Check for TIN. If it is missing, you need to get it. An application for registration of a TIN can be taken to the tax authorities along with a package of documents necessary for registering an individual entrepreneur. In this case, the IP and TIN are registered, while the registration period will increase by the number of days required for issuing the TIN. This procedure is not possible in all IFTS, therefore it is better to do everything in advance.
- Decide on the taxation system. In 2019, it is recommended to use UTII and STS. These systems are designed for small businesses in order to reduce the tax burden and simplify accounting as much as possible.
- Determination of the activity code in accordance with the official OKVED reference book. If necessary, you can define several codes, depending on the planned activity as an individual entrepreneur.
- The next step is the preparation of the necessary documents. In the process of registration of IP, you will need the following list of documents:
- identity card or its notarized copy;
- receipt of payment of state duty;
- if an entrepreneur plans to work under a simplified system, upon registration, it is necessary to fill out an appropriate application form 26.2-1. This application is filled out and submitted to the Federal Tax Service in two copies.
Application Form 21001 - Sheet 1
Some types of business activities may require additional documents. For example, a certificate stating that the applicant has no criminal record. This certificate is obtained from the police at the place of registration and is provided along with the main set of documents. Also, some documents may be requested by the tax inspector in the process of registration of IP.
Most of the documents in the tax authority are submitted and issued within the "single window". After preparing all the necessary papers, you must go to the tax office, in which registration will take place, and shine with the submitted sample documents. If the documents will be submitted to the authority in person, notarization is not required, it is enough to present a passport. If the documents are received by a third party, he will need a notarized power of attorney with the right to represent the interests of the applicant in the tax authorities.
After the documents are submitted to the tax authority, a receipt is issued to the future entrepreneur. At his disposal is one of the completed applications for the transition to a simplified system. In the receipt provided to the citizen, a stamp is affixed, as well as the date when it is necessary to appear for the documents.
With the help of third parties
It is not always possible to register an IP on your own. An entrepreneur can contact a company specializing in registration of IP, entrust registration to another person, or send documents by mail.
The main advantage of a professional registrar is a thorough knowledge of all registration procedures, pitfalls, nuances, changes in the current legislation. He will provide the citizen with the necessary consultations and will conduct business, starting with the collection and filling out documents and until receipt. In the absence of serious claims from the state authorities, the applicant can be sure that there will be no refusal to register.
When transferring rights to a third party, a power of attorney is issued, according to which the authorized person can represent the interests of the principal in the tax service. It is also necessary to contact a notary office to certify a copy of the passport. The signature of the entrepreneur in the application for registration is also certified here.
IP registration by mail
An application for official registration of an individual entrepreneur can be sent to the tax authorities by regular or e-mail.
Need
With the independent registration of IP, a citizen needs to appear several times in the tax authority. He needs to clarify the list of documents, find out the requirements for their execution, submit documents to the tax office, and after a while come to the tax office for the result.
Registration of IP using mail will allow you to avoid a long walk through the authorities. It is enough to print and fill out the forms and send them to the tax office.
In addition to the standard list of documents, when applying for an IP through the mail, you must send a notarized copy of your identity card (passport) and a signature in the registration application. The entire set of documents is sent by a valuable letter with an attached list of attachments. The fact of receipt of registration documents in the Federal Tax Service can be checked on the official website of the Federal Tax Service.
Risks and Benefits
Registration of IP through the mail is used in a number of cases. Most often, these are cases when a citizen does not have the opportunity to independently submit documents to the appropriate authority, and there are no time limits.
The main inconvenience of registering an IP in this way is a long time.
Documents must reach the tax office, the process of registration takes place within a few days, after which they are sent back to the addressee. The final period from sending the documents to receiving the OGRN certificate can take up to a month, depending on where the registration authority and the applicant are located.
When sending a package of documents via mail, the entrepreneur must be sure that everything is filled out correctly and provided in full. Otherwise, the documents will have to be resubmitted. If during the process of registration of an individual entrepreneur documents are required that are not included in the main list, the tax inspector notifies the applicant about this. Such documents must also be sent by valuable letter and an inventory attached.
The main advantage of registering an individual entrepreneur by mail is that the applicant or his authorized representative in the tax authority does not need to be present. It is enough to provide notarized copies of documents.
The legal address for the enterprise must meet a number of requirements. Find out if it's possible.
Selling an individual's debt to collectors is legal if the conditions are met. Read more.
The amount of compensation for non-pecuniary damage is determined by the amount of actual damage caused and requires confirmation. More information .
Cost and terms
Sending registration documents using the Russian Post is advisable if you have a lot of free time and do not want or have the opportunity to stand in lines. This method allows you to open an individual entrepreneur on your own, without resorting to the services of expensive professional registrars, and at the same time remotely.
The cost of self-registration of IP through the Russian Post is as follows. First, the state duty is paid. Secondly, the services of a notary's office are paid for certifying copies of documents and the signature of the applicant. Thirdly, the cost of a registered letter is paid at the post office.
The final cost depends on the current rates and averages 1100-1300 rubles.
In the event that a person registering entrepreneurship is officially unemployed, it is possible to consult with the employment authority in order to support entrepreneurship and reimburse the costs of starting one's own business.
IP is registered within 5 days from the date of receipt of documents by the tax authority. The period between sending documents to the authority and receiving a state certificate depends on the work of the Russian Post and can be up to several weeks. If desired, the applicant can track the entire registration process on the official website of the Federal Tax Service.
If the applicant uses the help of third parties in the process of processing documents, the cost of registration can reach several thousand rubles, but at the same time the applicant receives a guarantee that all documents will be executed in accordance with the requirements and current legislation. In the future, the entrepreneur will be required to pay a number of taxes and contributions, according to the chosen taxation system. From 2019 to 2021, new entrepreneurs are provided with tax holidays.
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