Know your Post Incorporation Compliances: One time & Regular Compliance
Once the Company is incorporated, the Company needs to take various steps to make it functionalized and also to keep various compliances in order.
In the Indian legal framework, there are various regulatory requirements under various laws, which generally need to be taken care of once the Company is incorporated, below are the general compliances to be complied with.
COMPLIANCES AT A GLANCE
- Prepare all the necessary stationeries like letter heads, board, business card etc,.
- Hold the first board meeting within 30 days.
- Appoint first statutory auditor within 30 days.
- Issue share certificate within 60 days.
- Open a bank account.
- Deposit your capital amount within 180 days in your bank account. (Note: All the members are required to deposit the amount equal to their share capital in the bank.)
- File commencement of business within 180 days.
- GST Registration not required up to the turnover of Rs. 20 Lakhs in case of Service and Rs. 40 Lakhs in case of Goods.
- Do not take loans from the individuals other director & relatives. You may get trapped within the stringent provision of companies act, 2013.
- Hire IPR professionals to safeguard your brand, design, idea, innovation.
- Make your company policies and board policies in place.
- Always consult to the tax experts before taking any material decisions.
- It is highly recommended to all the entrepreneurs out there to do not forget the compliances. It is advisable to hire professional like charted accountant, company secretary, advocate.
- Annual return filing.
ONE TIME COMPLIANCES
1.PREPARE STATIONERIES:
Letter heads and a board outside the registered office shall be kept mentioning the name the name of the Company, registered address and CIN Number.
2. FIRST BOARD MEETING:
As per the Companies act, 2013 the first board meeting shall be conducted within 30 days from the date of incorporation of the company.
3. APPOINTMENT OF STATUTORY AUDITOR:
The board of directors shall appoint the First auditors of the Company within 30 days of Incorporation.
4. SHARE CERTIFICATE:
The share certificate shall be issued to a shareholder within 60 days from the date of incorporation.
5. BANK ACCOUNT:
The Directors shall pass a board resolution and open a bank account as soon as possible as it is very important to carry out all the financial transactions in the company.
6. DEPOSIT CAPITAL:
The agreed amount of investment should be deposited by all the directors, shareholders, and board members.
7. COMMENCEMENT OF BUSINESS CERTIFICATE:
The Company shall obtain the commencement of business certificate within 180 days from the date of its incorporation.
8. GST/ IEC REGISTRATION:
The directors shall take necessary steps to obtain all required registrations like GST, IEC, FSSAI based on the nature of the business of the company.
9. TRADEMARK:
After incorporation of a business, A visual symbol like a word signature, name, device, label, numerals, or combination of colors used by the owner of the trademark for goods or services can register to secure and create a brand name for their business.
10. ESI & EPF REGISTRATION:
The registration under ESI and EPF will be done at the time of incorporation itself. The new company has to comply with the provisions of the ESI & EPF Act when they cross the threshold limit of employment under the respective Act.
REGULAR COMPLIANCE
1. GST RETURN FILING:
In the GST regime, any regular business has to file monthly returns (GSTR-1 AND GSTR-3B) and annual return (GSTR-9):
2. ESI & EPF RETURN FILING:
ESI:
The ESI provisions are applicable to all the establishements where 10 or more persons are employed and persons earning wages upto 21,000. Due date for filing is on or before 15th of every month.
EPF:
The EPF provisions are applicable to establishments who employ a minimum of 20 persons and notified by the Central Government. Due date for filing is on or before 15th of every month.
3. BOOKS OF ACCOUNTS:
As per section 128, every company shall maintain proper books of accounts which shall represent an accurate and fair view of the state of affairs of the company. The double entry system shall be followed, and the accounting is done on an accrual basis.
4. BOARD MEETING:
Board Meetings shall be held at any time but it has to be held at least once in every quarter.
5. ANNUAL GENERAL MEETING:
Every Company shall in each year hold in addition to any other meetings a General Meeting as its Annual General Meeting and shall specify the meeting as such in the NOTICE calling the Meeting as required under Section 96 of the Companies Act, 2013.
6. INCOME TAX:
Private limited companies registered in India must file income tax return on or before 30th September every year. Failure to file income tax return attracts a penalty of Rs.10,000/-.
7. FORM AOC-4 & MGT-7:
Private limited companies registered in India must file with MCA Form MGT-7 on or before 28th of November each year. Failure to file MGT-7 attracts a penalty of Rs.200 per day of default.
Private limited companies registered in India must file with MCA Form AOC-4 on or before 29th October each year. Failure to file AOC-4 attracts a penalty of Rs.200 per day of default.
8. FORM DPT-3:
One time return:
For, DPT-3 filing must be made by all companies other than a Government company on or before 30.09.2020. Hence, all private limited company, OPC, limited company or Section 8 Company would be required to file Form DPT-3 one-time.
Annual return:
The due date for filing the annual return is 30th June of every year.
9. DIN E-KYC:
DIN E-KYC or DIR-3 E-KYC form must be filed for all the Directors of the company on or before 30th September of the immediately next financial year. Failure attracts penalty of Rs.5000.
10. MSME 1 & 2:
The companies getting service from MSME enterprises shall file MSME 1 & 2 each year. The due date shall be 31st October for the first half-yearly period from April to September and 30th April for the second half-yearly period of October to march.
