FW:

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From: Raghu Babu G [mailto:raghu@rna-cs.com]
Sent: Friday, June 19, 2009 2:48 PM
To: 'BudgetWishlist2009@gmail.com'
Subject: FW:

 

The Editor, Business Line

The Finance Minister should consider bringing out Unique Business Identification Number (UBIN) for the business / companies. Let me explain why do we need this when we already have numerous registrations and identification  numbers. World Bank every year comes out with a report titled as Doing Business for each Country, the Doing Business 2009 is out wherein India’s rank is 122 of 181 economies. Singapore is the top ranked economy in the ease of doing business. It reflects that India is far behind in terms of ease of setting up and running business. Each business is subject to various registrations / approvals. They are broadly classified as generic registrations which are compulsory  for any business i.e. Company registration number, Permanent Account Number, Service Tax, Tax Identification Number, Import and Export Number etc.,  and industry specific registrations which will vary based on the nature of business / service the company is doing i.e. Approval from Department of Telecommunications for providing basic telephone services,  Registration with SEBI for Merchant Banking Activity etc., There are also certain approvals / registrations  required from state government or local authorities. Industry specific approvals have to be dealt with separately. Whereas generic registrations can be done through a single application and UBIN can be issued. PAN itself can be made as UBIN. Currently the bare minimum registrations such as incorporation, PAN, TAN, IEC and opening of bank account is taking around 30-45 days. All of these can not be done parallely, have to be done one after the other. Though all the concerned departments have gone for electronic filing etc the time lines have not come down and there is lot of duplication. The advantages of UBIN are, one time single application, no duplication of work and time frame can be brought down to 5 -10 working days from the current level of 30-45 days, consequently India ranking can improve considerably and will have further positive impact on overseas investors.

Brief Profile: I am company secretary by profession having over 12 years of experience. Specializes in setting up companies, capital structuring, advising on capital raising, foreign direct investment and compliance of corporate laws.        

CS. G. Raghu Babu
Partner
R & A Associates
Company Secretaries
101 Saptagiri Residency
1-10-98/A, Chikoti Gardens
Begumpet, Hyderabad 500 016; India
Phone # 91 40 4003 2244 - 2247
Fax # 91 40 4003 2255
Mobile # 98480 27782
Email: raghu@rna-cs.com;
http://www.rna-cs.com

graghubabu2007@gmail.com;
skype:  raghubabug

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