It is a one stop solution for all kind of Registration or Compliance Requirement.
Annual filing refers to the process of submitting various documents and forms to the relevant government authorities, such as the Registrar of Companies (ROC), on an annual basis. It is a legal requirement for companies and LLP to provide these filings to ensure transparency, compliance, and accountability.
Every company incorporated in India is required to file annual returns with the Registrar of Companies (ROC) on a yearly basis. This obligation applies to all types of entities, including private limited companies, Public Limited Companies, One Person Companies, and section 8 companies. Filing annual returns is a mandatory requirement to ensure compliance.
The process of annual filing involves conducting an Annual General Meeting (AGM) and submitting the company's annual accounts to the ROC. The AGM should be held within six months from the end of the financial year, which is typically on September 30th each year. For newly incorporated companies, the first AGM can be held within 9 months from the end of the financial year.
Holding of board meetings
It is mandatory for every company to hold its first Board Meeting within 30 days from the date of incorporation. For private limited companies, a minimum of 4 Board Meetings must be conducted annually, with a gap of at not more than 120 days between each meeting. However, for One Person Companies, a minimum of 2 Board Meetings should be held each year.
Filling of Form ADT-1 for Auditor Appointment (within 30 days)
All companies, must appoint a statutory auditor within 30 days of incorporation. Form ADT-1 is required to be filed along with consent of the auditor.
Filling of Form INC-20A for Commencement of Business (within 180 days)
Companies registered in India after November 2019 and having a share capital must obtain a commencement of business certificate before commencing any business activities or exercising borrowing powers. This certificate should be obtained within 180 days of incorporating the company. Failure to obtain the certificate may result in a penalty of Rs. 50,000 for the company and Rs. 1,000 per day for per director for each day of default if the default continues.
Preparation of Balance sheet and other Financial Statement
At the end of the financial year, it is necessary for every company to finalize its financial accounts and keep a record of various financial statements, including the Balance Sheet, Profit & Loss Account, Auditor's Report, Director's Report, and Notes to Accounts.
Holding of Annual General Meeting
For every company, it is mandatory to hold an annual general meeting once a year. Companies must hold an AGM within six months of the end of the financial year. However, in the case of the first financial year, AGM can be held in 9 months from the end of financial year.
DIN KYC
All the directors of the company must file Form DIR-3 KYC on or before 30th September of each year. It is mandatory for each din holder to provide a unique personal mobile number and a personal email address. There's a penalty of Rs. 5000 in case of failure to file DIN KYC.
Filling of Income Tax Return
Companies need to file their income tax returns for the financial year ended on 31st march. The last date of the ITR is usually 31st Day of October.
Filling of Form AOC-4
All Companies must file Form AOC-4 within 30 days from the date of annual general meeting. Non-filing or delay in filing AOC-4 may attract a penalty of INR 10,000 in case of continuing failure + INR 100 for each day of default subject to Max of INR 2 Lakhs on company and INR 10,000 + INR 100 for each day of default subject to Max of INR 50,000 on directors of the company.
Filling of Form MGT-7
All Companies are required to file Form MGT-7 within 60 days from the date of Annual General Meeting. Failure to file MGT-7 may result into penalty on company and its every officer who is in default shall be liable to a penalty of Rs. 10,000/- and in case of continuing failure, with further penalty of Rs. 100 for each day during which such failure continues, subject to a maximum of Rs. 200,000/- in case of a company and Rs. 50,000/- in case of an officer who is in default.
After the end of the financial year LLPs are also required to do filling with Registrar of companies and Income Tax authorities. Following annual compliances are there: -
Filling of Annual Return (Form 11)
The Annual Return of an LLP is filed through Form-11, as prescribed by the Ministry of Corporate Affairs (MCA). It serves as a submission of the annual returns for all LLPs and provides information about the LLP's partners. The form should be filed on the MCA portal within 60 days from the closure of the financial year, which is typically March 31st. Therefore, the due date for filing Form-11 is May 30th.
The penalty for not filing the Annual Return before due date is Rs. 100/- for each day till the non-compliance continues.
Filling of Statement of Accounts & Insolvency (Form 8)
Another annual compliance requirement for LLPs is the submission of Form-8, which includes the Statement of Account & Solvency. It is mandatory for every business, including LLPs, to maintain books of accounts and financial statements. LLPs are required to provide their Statement of Accounts to the Ministry of Corporate Affairs. The purpose of filing Form-8 is to declare that proper care has been taken by the LLP in maintaining its accounts. LLPs need to submit the Statement of Account & Solvency on the MCA portal. The due date for filing Form-8 is October 30th every year. The penalty for not complying with this mandatory norm is Rs. 100/- each day till the non-compliance continues.
Filling of Income Tax Return
LLPs are required to file their Income Tax Returns (ITR) separately from the personal ITRs of the partners. The filing of LLP's ITR is a crucial annual compliance requirement. The ITR can be filed using both online and offline modes.
The due dates for filing LLP's Income Tax Returns depend on whether the LLP's accounts are subject to audit under any law or not. The due dates are as follows: July 31st: This deadline applies to LLPs whose accounts are not subject to audit. September 30th: This deadline applies to LLPs whose accounts are subject to audit.
Filling of DIR-3 KYC
Every DIN holder has to file form DIR-3 KYC on or before 30th September of every year. Failure to file Form DIR-3 KYC may lead to deactivation of DIN and penalty of Rs. 5000.
Annual filing ensures transparency, compliance, and accountability by requiring companies and LLPs to submit various documents and forms to the government authorities on a yearly basis.
Companies in India are required to file annual returns with the Registrar of Companies (ROC) and hold an Annual General Meeting (AGM) within six months of the end of the financial year. Forms MGT-7 and AOC-4 are required to be filed.
Private limited companies must conduct a minimum of four board meetings each year, with a gap of not more than 120 days between each meeting. However, One Person Companies are required to hold a minimum of two board meetings annually.
All companies must appoint a statutory auditor within 30 days of incorporation, and the appointment should be filed using Form ADT-1.
Companies incorporated after November 2019 and having a share capital must obtain a commencement of business certificate within 180 days of incorporation.
At the end of the financial year, every company should prepare financial statements, including the Balance Sheet, Profit & Loss Account, Auditor's Report, Director's Report, and Notes to Accounts.
Companies must hold an AGM within six months of the end of the financial year. However, in the case of the first financial year, the AGM can be held within nine months from the end of first financial year.
Directors of the company must file Form DIR-3 KYC on or before 30th September of each year. DIN KYC requires directors to provide a unique personal mobile number and personal email address.
Companies need to file their income tax returns by the 31st of October. Form AOC-4 must be filed by within 30 days from the date of AGM, and Form MGT-7 must be filed within 60 days from the date of AGM.
Non-filing or delay in filing AOC-4 may attract a penalty of INR 10,000 for the company and INR 10,000 + INR 100 for each day of default (subject to a maximum of INR 2 lakhs) for the directors. Failure to file MGT-7 may result in a penalty of INR 10,000 for the company and INR 10,000 + INR 100 for each day of default (subject to a maximum of INR 200,000 for the company and INR 50,000 for the officer in default).
The Annual Return of an LLP is filed through Form-11, which provides information about the LLP's partners. It should be filed on the MCA portal within 60 days from the closure of the financial year, typically March 31st. The due date for filing Form-11 is May 30th.
The penalty for not filing the Annual Return before the due date is Rs. 100/- for each day till the non-compliance continues.
Form-8 includes the Statement of Account & Solvency, which LLPs need to submit to the Ministry of Corporate Affairs. It declares that proper care has been taken in maintaining the LLP's accounts. The due date for filing Form-8 is October 30th every year.
The penalty for non-compliance with filing Form-8 is Rs. 100/- for each day till the non-compliance continues.
Yes, LLPs are required to file their Income Tax Returns separately from the personal ITRs of the partners. The filing of LLP's ITR is an important annual compliance requirement.
The due dates for filing LLP's Income Tax Returns depend on whether the LLP's accounts are subject to audit or not. July 31st is the deadline for LLPs whose accounts are not subject to audit, while September 30th is the deadline for LLPs whose accounts are subject to audit.
Every DIN holder in an LLP is required to file Form DIR-3 KYC on or before 30th September of each year. It helps in maintaining the updated information of DIN holders and avoiding the deactivation of DIN.
Failure to file Form DIR-3 KYC may result in the deactivation of DIN and a penalty of Rs. 5000.
Mylegalbusiness.com can assist you in the annual filing of companies and LLPs by providing expert guidance and support from our team of experienced company secretaries and chartered accountants..