Who ever thought of starting up their own (albeit small) enterprise, opening their own business, and starting work not "for uncle", but only for themselves? But not everyone decided on this. There were many reasons, and not in the last place were bureaucratic delays, complexity of design, incomprehensible reporting. However, it should be understood that if a citizen is engaged in
entrepreneurial activity, this does not mean that he organized some kind of AO, CJSC or any other organization (legal entity). He may well be an individual entrepreneur.
Individual entrepreneurial activity of citizens is registered with the bodies of the Federal Tax Service on more simplified grounds than the registration of a legal entity. To do this, you must provide an application written in the prescribed form, as well as documents confirming the payment of the state fee.
As for the age at which entrepreneurial activity of citizens can be formalized, there is no exact indication in the Civil Code of the Russian Federation. The key point is that a citizen must have legal capacity. We can say that a person who has reached the age of 14 can become an individual entrepreneur . Of course, that the parental consent must be provided at the tax office during registration.
Entrepreneurship of citizens is considered registered from the moment of making the necessary entries in the Unified State Register of Enterprises (Unified State Register of Individual Entrepreneurs). Accordingly, information about any changes, as well as the elimination of IP, should also be entered into this registry.
As for activities, individual entrepreneurial activity of citizens has some limitations. These include banking and insurance, nuclear energy, the arms trade, and a number of other areas. In some cases, an individual entrepreneur must necessarily obtain a license allowing him to engage in a particular type of activity.
If entrepreneurial activity of citizens is carried out without a license in cases where it is necessary, or even without registration and entering information into the Unified State Register of Enterprises, then it is considered illegal, and therefore can lead to criminal punishment.
In some cases, a citizen may be denied registration of individual entrepreneurs.
1. A person submitting an application cannot become an individual entrepreneur at the moment if he is already registered in this capacity. Thus, double registration is not allowed.
2. If a person has already been registered as an individual entrepreneur, but was declared bankrupt, and his activity was forcibly terminated, he can re-submit the application no earlier than a year later.
3. For a number of reasons, a court may prohibit a citizen from engaging in entrepreneurial activity for any period. Until the end of this period, IP registration will be denied.
Entrepreneurship of citizens may be terminated in the following cases:
- death;
- independent decision;
- court decision or recognition of bankruptcy;
- expiration of documents permitting residence on the territory of the Russian Federation.
As for reporting, it will depend on the form of taxation chosen by the citizen at the time of registration.