Hacker News Board Hacker News, browsed like a classic message board
Live data from Hacker News

I tried starting a manufacturing unit in India (2020)

superr.in

Post reply on HN
Print view View original

61–70 of 456 posts

Re: I tried starting a manufacturing unit in India (2020)

#61

Post by protomolecule »

rob74 wrote: post #28
giva wrote: post #6

> Yes, you need to obtain “permission” before you build any manufacturing structure on your own land with your own money. This permission is called the NA or Non-Agricultural Certificate. Well, I though it was this way everywhere in the world. In Europe, at least, you cannot build anything on agricultural land unless it is a n agricultural structure or you get the classification changed, which is not easy.

This! In Germany it's simply not possible to declare a parcel of your own choosing as "Non-Agricultural". Land is of course taken out of agricultural use and reclassified for industrial or residential use, but only in predefined areas. Of course there's lobbying and speculation involved, because reclassification multiplies the value of the parcels, but it takes much longer than a year from the first proposal until yo…

Same thing in Russia. All land is classified according to its use and changing intended use is a lot of paperwork.

Re: I tried starting a manufacturing unit in India (2020)

#63

Post by LeanderK »

JumpCrisscross wrote: post #43
sonthonax wrote: post #36

Earlier quoted context omitted.

There’s a distinction to be made between a small customary bribe to an seriously underpaid state employee, and a larcenous bribe to a high official.

> a distinction to be made between a small customary bribe to an seriously underpaid state employee, and a larcenous bribe to a high official Not really. If normalized, it's part of their expected compensation package. Practically speaking, I think I'd suck it up and pay the bribe in the author's position. But I'd know I was doing wrong.

> If normalized, it's part of their expected compensation package.

But it already is normalised. I think this is morally difficult because it is customary, expected and if you refuse you will not get anything done but also won't change anything. So what have you gained?

I don't think you can fight corruption this way, you just can't do it alone.

Re: I tried starting a manufacturing unit in India (2020)

#64

Post by andsoitis »

2Gkashmiri wrote: post #31
roguesherlock wrote: post #26

Earlier quoted context omitted.

isn't the tax burden for sole proprietorship higher than for say limited company? 30 vs 25 iirc?

you can claim as many expenses as you like, in companies there are restrictions, there are deferred tax assets and liabilities because of companies act and income tax act depreciation difference. There is MAT applicable sooner than sole proprietorship i think. lets just say it is easier to "appropriate" the books as a sole proprietorship. you have to pay mca fees for your authorized capital, one off but if you are do…

> but by fudging some numbers

And this is the corruption mentality right there.

Re: I tried starting a manufacturing unit in India (2020)

#65

Post by megablast »

etaioinshrdlu wrote: post #10
spaceman_2020 wrote: post #8

India's obsession with paperwork is unceasing and baffling. Everything requires an application, even when everything can be done digitally. You need letters and stamps to get anything done. Case in point: the "company stamps" that are required for everything you do with your business. From getting a debit card to changing the maturity instructions for a corporate deposit, you need to sign your name AND stamp it with…

Countries with high paperwork and bureaucratic burden are famous for also being highly corrupt. This is probably not a coincidence. Likely all the excess paperwork makes it easier to hide what's really going on, easy to provide roadblocks for those who don't pay, and easier to generally hide bad activity in a sea of noise.

Is Japan the exception?

Re: I tried starting a manufacturing unit in India (2020)

#66

Post by unmole »

protomolecule wrote: post #58
spaceman_2020 wrote: post #8

India's obsession with paperwork is unceasing and baffling. Everything requires an application, even when everything can be done digitally. You need letters and stamps to get anything done. Case in point: the "company stamps" that are required for everything you do with your business. From getting a debit card to changing the maturity instructions for a corporate deposit, you need to sign your name AND stamp it with…

We had company stamps and sole proprietor's stamps in Russia too but they became optional 7 years ago. It was Soviet legacy and it's surprising that India still hasn't got rid of it.

India got rid of it in 2015.

Re: I tried starting a manufacturing unit in India (2020)

#67

Post by [deleted] »

LeanderK wrote: post #63
JumpCrisscross wrote: post #43

Earlier quoted context omitted.

> a distinction to be made between a small customary bribe to an seriously underpaid state employee, and a larcenous bribe to a high official Not really. If normalized, it's part of their expected compensation package. Practically speaking, I think I'd suck it up and pay the bribe in the author's position. But I'd know I was doing wrong.

> If normalized, it's part of their expected compensation package. But it already is normalised. I think this is morally difficult because it is customary, expected and if you refuse you will not get anything done but also won't change anything. So what have you gained? I don't think you can fight corruption this way, you just can't do it alone.

[deleted]

Re: I tried starting a manufacturing unit in India (2020)

#68

Post by hionnode »

rohan_shah wrote: post #60
captn3m0 wrote: post #54

Previously on HN: https://news.ycombinator.com/item?id=24106545 (with a few comments from the author as well). The author had added a correction to the post (12th August 2020) stating that this was a mistake, and that the actual procedure was much less cumbersome: https://web.archive.org/web/20200812093618/https://superr.in... > It has been bought to my attention that there was a mistake by an entry level employee. >…

Hey! I'm the author and here's the clarification: That was the official response I got from the district administration so had to post it. Also was being pressured by the government (indirectly) to take it down. So that was all bs. Next update I'll give is when I will have solved the problem.

So, it's still pending ?

Re: I tried starting a manufacturing unit in India (2020)

#69

Post by egorfine »

agileAlligator wrote: post #33
pseudo0 wrote: post #18

It seems like the problem is that the author has a moral objection to paying bribes in an area where bribery is customary: > Obviously, they are playing “hard to get” to get me to pay some bribe and initiate the process. But after going through all this, I am not going to pay any bribe to anyone. And: > And they openly demanded bribes after waiting for four months. > So the Gram Panchayat NOC is stuck because of non…

> It seems like the problem is that the author has a moral objection to paying bribes Duh?

Exactly. This is what the rest of the world usually says on the first encounter with "tips culture" in the US.

As I see it, cultures are different and one thing that is considered an absolute taboo in one culture might be customary in another. Tips in the US are customary yet at the same time they are offensive in Japan. Bribes are killing the economy in my country yet it makes economy moving in India.

PS: I personally hate corruption more than anything.

Re: I tried starting a manufacturing unit in India (2020)

#70

Post by srmarm »

spaceman_2020 wrote: post #8

India's obsession with paperwork is unceasing and baffling. Everything requires an application, even when everything can be done digitally. You need letters and stamps to get anything done. Case in point: the "company stamps" that are required for everything you do with your business. From getting a debit card to changing the maturity instructions for a corporate deposit, you need to sign your name AND stamp it with…

I remember dropping my bag at a luggage store at the big train station in Mumbai. Bags needed to be scanned before being stored, not uncommon. Except the scanner was on the other side of the station.

So I was sent off and queued up to get my bag scanned and more importantly get my receipt stamped to say it'd been scanned walked back through the crowds where I could have done anything with the bag - to the luggage drop where the attendant checked that I had the correct stamps to say it had been checked! No seals on the bag, nothing to stop me giving them a different bag, just the essential stamp on a bit of paper!

Post reply on HN