You should consult a Lawyer who you charge around Rs 5000 to Rs 10000 for such type of contracts and advise. A CA would be able to help you with taxes and he would charge somewhere around Rs 2000 to Rs 5000.
Im a individual person but going to work as a consultant for a company. What type of tax will apply for me?
Regular income tax as per tax brackets. You would need pay taxes in advance as there would be no TDS deducted. There may be some with-holding done by the company. Note quite a few of your expenses [Travel to client, any equipment you buy for work, etc] can be deducted from income in such cases. A CA should be able to help you.
Do I need to register a sole proprietorship firm?
Many are telling that I have to pay service tax + Individual income tax too in India. Is that right?
The guidelines are not completely clear. Individual contract to single company is out of Service Tax. If you are doing professional services to multiple companies simultaneously, the it would be applicable depending on profession. Best consult a CA.
I will be paid yearly once only at the end of the year because my fees is based on turnover or profit. How to plan for taxes in this case?
This is going to be tricky. Every individual needs to pay taxes in advance if the total tax is more than Rs 10,000. 30% of total tax needs to be paid by 30-Sept, 60% by 30-Dec and rest by End March. Failure to do so would incur a penalty at the rate of 1%. Hence it would be better to estimate the turn over and pay some tax in advance.
Now planning to put a deed between me and the company about responsibility and profit sharing. What type deed required in this case? (Working partner / Profit sharing?)
A deed can be structured in multiple ways. Please consult a lawyer.