17 Mandatory Annual Compliance’s for Every Private Limited Company
As we know private limited company is the well-liked structure to start and carry business for an entity. Important Features of Private Limited Companies: (i) No need for Minimum Capital Requirement. (ii) Have been allowed to accept the deposits from the members without the requirement of the offer circular and creation of deposit repayment reserve etc. Maximum of 100% of the aggregate of its paid-up capital and free reserves (which does not include securities premium) (iii) No Need for filing of the Board Resolutions (MGT-14) with the ROC for the purposes mentioned under Section 179(3). (iv) Loan to the Director u/s 185 is allowed subject to certain conditions. (v) Even if, the Member is related then also he can vote on such resolution which is required to pass u/s 188 in GM.
1. Form MBP-1: As per Section 184 (1), Every Director of the Company in the First Meeting of the Board of Directors in each Financial Year shall disclose his interest in the other entities.
Every Director is required to submit with the Company a fresh MBP-1, whenever there is a change in his interest from the earlier given MBP-1. MBP-1 is not required to file with ROC.
2. FORM DIR- 8: As per Section 164(2) & 143(3)(g), Every Director of the Company in each Financial Year will submit with the Company disclosure of Non-disqualification.
3. MSME-1: Delay in the Payment to MSME Vendor: As per section 405 Company has to file this return half-yearly in respect of pending payments to the MSME vendors at end of half-year. (only for payment pending for period more than half a year)
October to March- 30th April
April to Sep – 30th October
4. E-form DPT-3: Return of Deposit Yearly Return ( June): As per section 73 & Rule 16: Company is required to file this form every year on or before 30th June in respect of return of Deposit and Particulars not considered as Deposit as of 31 march.
5. Approval Of Financial Statement: As per section 134 Preparation and Approval of Financial Statement. The auditors’ report shall be attached to every financial statement.
6 Directors’ Report: As per section 134, the Directors’ Report shall be prepared by mentioning all the information required for the Company under Section 134 read with relevant rules and relevant provisions of other Act. It should be signed by the “Chairperson” authorized by the Board, where he is not so authorized by at least 2 Directors, one of them should be a MD if there is any.
7 Holding of AGM: As per section 96 Every company shall in each year hold in addition to any other meetings, a general meeting as its annual general meeting. it shall be held within a period of six months, from the date of closing of the financial year.
8. Notice of AGM: As per section 101 & SS- II, Every Notice of the Annual General Meeting will be prepared as per Section 101 of the Companies Act, 2013, Secretarial Standard- II.
9.Sending of Notice of AGM: As per section 101 & ss – II, Notice of the Annual General Meeting will be sent to all the
- Directors,
- Members,
- Auditors Debenture Trustees
10. Circulation of Financial Statement & other relevant Doc: As per section 136 The company will send to the members of the Company approved Financial Statement, Directors’ Report and Auditors’ Report at least 21 clear days before the Annual General Meeting. In case the AGM is called on shorter notice then above mentioned documents shall be circulated on such shorter period. For holding of the AGM on shorter notice, companies need to take the proper approvals as per The Act.
11. Annual Form DIR -3 KYC KYC OF DIRECTORS: As per rule 12 A, All the Directors of the Company shall file this form on or before 30th September every year.
12. Annual form E -FORM AOC-4: As per section 37, the Company is required to file its Balance Sheet along with the Statement of Profit. And Loss Account, Cash flow statement, Directors’ Report, and Auditors’ Report in this form within 30 days of holding of the Annual General Meeting.
Attachment: Balance Sheet, Statement of Profit & Loss Account, Cash Flow Statement, Directors’ Report Auditors’ Report, and the Notice of the AGM.
13. E- Forms Filing Requirement Annual MGT -7: As per section 92, Every Company will file its Annual Return within 60 days of holding of the Annual General Meeting.
Annual Return will be for the period from 1st April to 31st March
Annual Return of Every Private Company (Except Small Company) should be signed by a Company Secretary in Practice.
14. Certification of Annual Return MGT -8: As per section 92, Private Company having paid-up share capital of 10 Crore or more or turnover of Rs. 50 crore or more shall be certified by a Company Secretary in Practice.
15. Board Meetings: As per section 173 &ss -I, Every Company shall hold a minimum number of FOUR meetings of its Board of Directors every year in such a manner that the maximum gap between the two meetings should not be more than 120 (One hundred twenty) days.
16. Maintenance of Statutory Registers: As per section 88, The company will maintain the following mandatory Registers:
- Register of Director,
- Registers of Director Shareholding,
- Registers of Members
- Registers of Transfer
Registers of Related Party transaction etc
17 Appointment of Auditor E -Form ADT-1: As per section 139, The Auditor will be appointed for 5 (Five) years and form ADT-1 will be filed for a 5-year appointment within 15 days of the Annual General Meeting.