Private Limited Company Annual Return

"Compliance" describes the capacity to adhere to rules, orders, or requests. A private company established within India must ensure that the requirements, in compliance with the Companies Act 2013, a

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Basic overview
Other Compliance

Annual ROC Filings

  • Private Limited Companies Private Limited Companies must file annual accounts and return them with the information of directors, shareholders, and other directors—the company's registrar.
  • As part of the annual filing, the following forms are required to be filed with ROC:
  • The form MGT-7 (Annual Returns) is required within 60 days of the date of the annual general assembly.
  • Formula AOC-4 (Financial statements) must be submitted by any private limited corporation within 30 days, along with the balance sheet, statement of profits and losses, and the Director's report.

Annual General Meeting

  • Organizing an annual shareholder meeting within six months of the year's end is essential.
  • AGMs are called for the approval of financial statements and the declaration of dividends, appointments or re-appointments of auditors, commissions, Director's remuneration, etc.
  • The meeting will be held during office hours on days that are not official holidays. The conference will occur at the time of registration for the company or in the city, village, or town where it is located.

Board Meeting

  • It is mandatory to hold your first Board meeting for a corporation within 30 days of the incorporation of the business.
  • There should be at least four board meetings every three months, in which a minimum of two directors or 1/3 of the total number of directors or more, whichever is more significant, must be present.
  • The discussion of the meeting must be written down and documented as a meeting's minutes. These are then stored at the office of the company's registered address.
  • The notice must be sent seven days before the time and location of the gathering.

Directors Report

  • The Director is required to provide information about his directorships in other companies annually. This can be accomplished by submitting a written statement to the company each year.

Income Tax Compliances

  • Payments in advance are made quarterly. tax
  • The filing of tax returns for income
  • Tax audits are mandatory when the total gross revenue or turnover of a company is greater than the amount of Rs. 1 crore in the prior year relevant to the year of assessment.
  • They were reporting on the tax audit report. Tax Audit document.

Annual Compliances for Private Limited Companies

"Compliance" describes the capacity to adhere to rules, orders, or requests. A private company established within India must ensure that the requirements, in compliance with the Companies Act 2013, are fully met. The Organizations Act, 2013, manages the arrangement and capability, compensation, and retirement of Heads of the organization from different angles, like the director of executive and investor gatherings. The RoC consistency prerequisite for the enlisted Private Restricted Organizations is essential. Whatever the total revenue or capital value, the company must comply with the annual compliance requirements. Each organization enlisted in India, for example, a confidential, restricted organization, one-individual organization, restricted organization, or segment 8 organization, should stay aware of yearly compliances like yearly tax returns and income tax returns. While Company Registration may be the most well-known method of establishing a business, several compliances must be observed when the company is incorporated. Managing the company's daily operations while adhering to complex corporate laws is challenging for an entrepreneur. It is recommended that you seek experts to help you understand the legal requirements and ensure prompt compliance with them to avoid penalties or fines. In this article, we will examine some Common obligations that private limited companies are required to meet legally.

Benefits of Annual Compliance

Greater Company's Credibility

Compliance with the law is of primary importance for any company; its annual return filing date is publicly displayed on the MCA portal. Regularity in compliance is one of the best measures to measure a company's credibility for government tenders or loan approval applications, as it increases its reputation among customers. While simultaneously helping companies win government tenders or gain loan approvals more easily. It can even attract more business customers to help secure tenders or approval.

Attract More investors.

One of the main priorities for investors is financial records and compliance. Investors usually first look at the regularity of filing annual returns with the MCA portal as the prime compliance indicator. So for a private company looking to attract more investors, It is imperative that yearly compliance filings be done regularly to attract them.

Maintain the Active Status of a Company and Avoid penalties.

Filing annual compliances on time is vital to keeping private companies active. Failing to file can have severe repercussions for their businesses. Failing to file can even result in the company being disclosed as defunct by the ROC and all relevant directors being removed and barred from further appointments. Since July 2018, a daily penalty fee of Rs 100 will be levied until filing dates.

Checklist of Annual Compliance for Private Start-ups

To operate successfully, a private limited company must follow various statutes and administrative bodies' compliance guidelines. This includes filing taxes and other returns on time, accommodating board meetings, maintaining approved books and accounts, etc.

  • Payment of periodic dues such as GST Liability and TDS/TCS mandatory payments
  • Non-registrar compliance for periodic returns such as GST returns and TDS Returns (monthly or quarterly GST returns; quarterly TDS returns, etc.)
  • Regular evaluation and payment of advance tax liabilities Filing Income Tax Returns at a flat rate of 30% plus Education Cess will also be mandatory.
  • Filing of the Tax Audit Report
  • Filing of a tax audit report assessing trade according to various Acts (such as the Environment and Protection Act, the Money Laundering Act, the Competition Act, or the Factory Act).

What compliances must be kept in the Private Limited Company?

The requirements for compliance for a Private Limited Company have changed dramatically over time. Here is an overview of the compliance for the private limited company's due dates in 2021.

Compliance Description
Beginning in business (less than one year) For businesses established in India in the month of November 2019 and with a share capital, it is mandatory to obtain an official certificate of commencement prior to starting any type of business or exercising borrowing power. The certificate of commencement must be obtained within the first 180 days of the incorporation of the Company. If the person is not able to obtain the certificate, the company will impose the possibility of a fine of Rs. $50,000 for the company and Rs. 1,000 per calendar day for directors on every day that they default.
Approval of the auditor (Within thirty days) Each registered Indian company has to appoint an auditor within 30 days after incorporation. If a company fails to choose an auditor, it is not allowed to start business. In addition, there is an additional penalty of 300 rupees per month. 300 per month.
Income Tax Return Tax returns for income tax must be submitted by September 30, 2021, for the financial year 2020–21.
MCA Form AOC-4 The private limited companies that are registered must file the MCA Form AOC-4 by November 30, 2021, for FY 2020–21. Failure to complete AOC-4 will result in a fine of 200 rupees per day. 200 per day in lateness or default.
MCA Form MGT-7 It is mandatory to complete MCA Form MGT-7 by December 31, 2021, for FY 2020–21. In the event of non-filing, MGT-7 will result in an additional penalty of Rs. 200 per day of delay or default.
DIN eKYC Directors of every company are required to file for their DIN eKYC and DIR-3 eKYC. In DIR-3 eKYC, Directors must have a personal mobile number as well as an individual email address. There is a fine of Rs. 5,000 in the event of failing to submit DIN eKYC.
Hold an annual general meeting. For a private limited company, it is required to have an annual general assembly once every year. Businesses are required to hold their AGM within six months after the close of the financial year.
Director's reports The preparation of the Directors report will be done with all the necessary information in Section 134.

Documents Required for the Annual Filing of the Company

  • Incorporation Certificate;
  • PAN Card and Certificate of Incorporation; and MOA (AOA Document of Private Company). In addition, Audited Financial Statements are required to be filed annually.
  • An independent auditor should conduct an audit of the financial Statements.
  • Audit and Board reports can only be prepared after being discussed at length between an independent auditor and board members.
  • be supplied and presented.

An accurate and active DSC must

What are the documents filed for the Company?

Organization recording is the most common way of submitting different authoritative documents and reports to the Recorder of Organizations (ROC) in Compliance with the Organizations Act 2013. A few of the most commonly used types of company filings that are required to be submitted to the MCA are:

Can I start a small business without having to register?

In India, limited-scope organizations can only be formed with enlistment. Nonetheless, enrolling your organization to partake in specific advantages and guarantee legitimate consistency is absolutely prescribed. Small businesses typically use various non-registered business structures:

How can I legally start a Business?

Starting a business in India requires Compliance with various legal requirements, such as having the business registered, getting the necessary permits and licenses, and ensuring Compliance with the laws governing tax and labor. A few of the most essential legal requirements needed to begin your business in India are listed below:

Does the statutory appointment of an auditor fall under the category of annual Compliance?

A company may nominate a statutory auditor over five successive years or until the date of the annual general meeting. So, the appointment of an auditor statutory cannot be seen as part of the yearly Compliance.

What are the rules of Compliance for a Private Limited Company?

A business must keep its Compliance in place when it is incorporated. The auditor must have the appointment within 30 days. There is also an income tax filing and an annual return filing required each year.

Do you need to hold an AGM?

A general assembly (AGM) is an opportunity for management and shareholders to get together. The Companies Act of 2013 requires holding meetings to discuss annual results and elect auditors.

Do you have to get an audit of a Private Limited Company done?

As its name implies, the statutory audit is compulsory for all businesses. All entities not registered under the Companies Act as Private or Public Limited Companies need to have their books of accounts regularly audited.

How do you prepare the annual returns that the Company files?

The companies incorporated under the Companies Act of 1956 must provide the following documents and a ROC Balance sheet on Form 23AC, which each Company must file: The Profit and Loss account of the company is on Form 23ACA, which is required to be filed by all companies.

Are audit reports required for all private limited firms?

Private Limited Companies Private Limited Companies are required to file annual accounts and returns that provide shareholder and director information to the ROC.

The annual return is due to be filed after the AGM.

Following the AGM, all private limited companies must submit their annual returns within 60 days of holding the annual general meeting.

What is ROC Compliance?

The ROC is the office subject to the MCA, which is in charge of the administration; the ROC is responsible for ensuring that Private Limited Companies and LLPs adhere to the legal requirements in the ACT. The registrar of companies is the one who regulates the companies that are registered with them.

What Form must be submitted to be used for the appointment of the auditor of the statutory system?

To appoint or remove a statute-appointed auditor, you must use Form ADT-1.

Which Form should be included with the company director's Report?

MGT-9 is part of the director's reports of the Company, which is an extract from MGT-7.

Are audited financial statements obligatory in the annual filings of Private Limited Companies?

Audited financial reports are required for every business from its inception. The Company is required to file certified statements only.

What is your annual Compliance with the business?

Annual Compliance is a set of requirements that a company needs to meet post-incorporation to begin and continue to operate. According to the Companies Act 2013, various requirements for Compliance must be completed each year.

What is the primary goal of Compliance?

The primary goal of corporate Compliance is to ensure that the Company adheres to internal procedures and policies as well as the government's laws. Implementing compliance policies safeguards the reputation of the Company, enhances its image and value, and prevents and identifies violations of the rules.

What are the different kinds of Compliance?

There are two major kinds of Compliance: Internal and External. Both types of Compliance require a set of rules, practices, and procedures.

Other Event-Based Conformity

Apart from the annual filings, there are a variety of other requirements that must be completed upon the occurrence of any kind of event within the business.

  • Changes in the capital authorized by the company or in the capital paid up by the business
  • New shares are allotted or transferred.
  • lending to other companies
  • lending director's loans
  • Management or a full-time Director and their compensation
  • When a bank account has been shut or opened, when a bank account is opened or closed, or if there are changes in the names of the bank account's signatories.
  • in the event of an appointment or change in the statutory auditors of the company.

It is required to submit different forms to the registrar for all such events within a certain time. If you do not comply in this regard, further costs or penalties could be imposed. Therefore, it is essential to ensure compliance promptly.


If a business is found to be in violation of the rules and regulations in the Companies Act, then the company and its members that fail to comply will be penalized with a fine for the duration of the default. In the event of an inaccuracy in filing the annual report, there are additional fees to be repaid. Therefore, it is always best to complete the filings on time.

Dedicated Advisor

The company is assigned a Compliance Manager, who will serve as the only source of assistance to ensure compliance for the company. Contact your Compliance Manager at any time and receive assistance with issues concerning your compliance.


Every company is required to keep accounts in order to prepare its financial statement at the conclusion of every financial year. The Compliance Manager will help your business keep track of its accounts and create the financial statements for your company at the close of the financial year.

Secretarial Services

Businesses are required to hold, at a minimum, four board meetings as well as an annual general assembly, a directors report, and an annual report each year. Our Compliance Manager will assist you in creating minutes of board meetings and all reports for secretarial purposes.

MCA Annual Return Filing

Annual General Meetings should be held by a business within six months of the close of that financial year. Also, the MCA annual returns should be submitted by September 30th. The Compliance Manager at our company will prepare all the necessary documents and complete the company's MCA Annual Return.

Income Tax Return Filing

Tax returns for the income of a business must be submitted regardless of the company's income, profits, or losses. So, even companies that are dormant without any transactions are required to submit income tax returns each year. We will have our Compliance manager prepare all the required documents and complete your company's tax return. Each registered company must meet all obligations to comply with the law after the end of the financial year. It is primarily the examination of the books of accounts, tax return filings, and annual forms submitted to the MCA.

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