Money transfer (Others)

This query is : Resolved

( Author )
31 May 2012

Dear Sir,

I want to start new business of domestic money transfer via NEFT/RTGS.

I made planning to start this business in India using current account of my firm.

(For Example My client gives me cash of Rs. 10000 and than i deposit this amount to my current account and than i transfer Rs.10000 to beneficiary as suggest by my client (account to account transfer) I got Rs. 100 commission from my client by cash for providing this service.

Note: This all transfer will made within india (Only Domestic Transfer)

1) Whether any License require to take from any authority of india to start this business.??

2) Whether this is a legal business in india??

3) Whether i has to take permission from any authority to start this business??

4) Whether service tax applicable to this business??? If Yes than which service applied???

I will waiting to your good reply.
Thanking You….

Vishal D Shah

( Expert )
31 May 2012

Not sure what are the formalities for such business, but without any permission / license this are "hawala" transactions which are illegal.

Make sure before you start.