What are the documents required to open Corporate account?

Documents required to open Corporate accounts depend on the nature and type. Generally, the following documents are required:

• Board Resolution

It is decision made by the Board of a Company to do something. Bank requires Company's Board resolution to open account in the name of a company. The Board resolution should also mention who shall operate the account, authority to borrow from the Bank etc. as required. However, if company is owned by single person and requirement of Board of Director has not been mentioned in AOA of company, request through account opening form of the Bank is sufficient to open an account of company.

• Company Registration Certificate

It is a certificate issued by government authority stating that the company has been registered with the concerned government authority. Only upon registration of the company it shall have its legal entity.

• PAN Certificate 

It is a certificate issued by lnland Revenue Department stating that the company has been registered with them. A unique number is provided to each tax payer by the lnland Revenue Department named as Permanent Account Number (PAN).

• Tax Deducted at Source (TDS)

Tax deducted at source is one of the modes of collecting lncome-tax where any specified type of income arises or accrues to any one, the lncome-tax Act enjoins on the payer of such income to deduct a stipulated percentage of such income by way of lncome-tax and pay only the balance amount to the recipient of such income. The tax so deducted at source by the payer has to be submitted to the lnland Revenue Department within the specified time.

• Memorandum and Article of Association

It is the set of documents of the private and public limited company, which set out its Objective, Duties, Responsibilities, Board o, Directors etc. These documents will be legally valid only after the concerned government authority validates them.

• By Law / Constitution

It is the set of documents of an organization other than private and public limited company, which set out its Objective, Duties, Responsibilities etc. This document will be legally valid only after the concerned government authority validates it.

• Contract Paper / Agreement

It is the document between two or more parties, which outlines as to how to discharge their respective parties’ responsibilities, which has been mutually agreed by all parties concerned.