ANNUAL COMPLIANCES FOR PRIVATE LIMITED

by Yamini Rai Consultant

Every company registered in India, including private limited, one person company and section 8 companies must file annual returns with ROC every year.

The RoC filing is necessary irrespective of the turnover of company. It is irrelevantto point that whether it is zero or in crore. Whether a single business is undertaken or not, annual compliances for private limited are compulsory.

The due terms for annual filing of a company are based on the time of the Annual General Meeting (AGM). Annual General Meeting (AGM) must be held within 6 months from the end of the financial year i.e. 30^th September every year.

In case of new companies, first AGM should be held within 18 months from the date of incorporation or 9 months from the close of financial year whichever is earlier. Companies Act 2013 mandates that financial year should start from 1^st April and end on 31^st March.

Note:- The Registrar of Companies (RoC) is an office under the Indian Ministry of Corporate Affairs that deals with the administration of the Companies Act 1956 and Companies Act, 2013.

The compliances relevant to the company is generally segregated into two sections Mandatory Compliances and Event-Based Compliance. Let’s us understand both the section that is Mandatory Compliances and Event-Based Compliances.

EVENT BASED COMPLIANCES

Event-based compliances are those who get activated upon happening of certain events like change in directors, change in approved share capital, increase in authorised share capital etc. Hence, it is important that happening of such events get tracked, and formalities must be met on time to avoid penalties or additional fees. Some of the Event-based compliances are mentioned below, along with the time limit and form No. :-

Actions	Form No.	Phase Limit
Increase in Authorized Share capital	SH-7	Within 30 days of passing Ordinary Resolution
Increase in Paid up share capital (Issue of security)	PAS-3	Within fifteen days from the date of the allotment
Filing of resolution and agreements	MGT-14	Wiithin 30 days from date of passing resolution
Application for KYC of Directors	DIR-3 KYC	On or before 30^th April of immediate next Financial Year (Annual Compliance)
Declaration of Commencement of Business	INC-20A	Within a period of 180 days of the date of incorporation of the company. (Applicable to companies incorporated after 2^nd November, 2018.)
Conversion of company	INC-24	Within 60 days from the date of applying reservation of name in INC-1
Change in Directors or KMP	DIR-12	Within 30 Days of such change
Change in registered office	INC-22	Within fifteen days from the date of such change

MANDATORY COMPLIANCES

The mandatory compliances that a private Limited company must ensure:

· First Board Meeting

First Meeting of Board, along with Directors, is expected to be held within 30 days of Incorporation of Company. Declaration of Board Meeting must be sent to each director at least seven days after the meeting.

· Subsequent Board Meetings

There should be Minimum of 4 Board Meetings which is to be checked every year with not more than 120 days gap within two meetings.