Mandatory ROC Compliances for Private Limited Company

End-to-End Business Services of Tax & Compliance for Pvt Ltd

Entrepreneurs must comply with income tax regulations, the Companies Act, state laws, and GST. Each company is required to file income tax returns by September 30th each year. At Law Sarathi, we ensure timely compliance for private limited companies when their returns are due.

Law Sarathi provides comprehensive consulting and compliance services for private limited companies. We are dedicated to focusing on our clients’ business needs. Our expert team ensures meticulous handling of tax and compliance matters for various business structures, including private limited and public limited companies.

Our in-house specialists offer essential advisory services related to tax and compliance. Our qualified professionals guide you on advance tax payments and tax planning, as well as assist in submitting income tax returns. We also conduct a thorough review of your company’s accounts at the end of each financial year.

So, why wait? Contact us today to effectively manage your tax and compliance needs for your private limited company.

Mandatory ROC Compliances for Private Limited Company

Starting and running a private limited company in India comes with a set of responsibilities, particularly regarding compliance with the Registrar of Companies (ROC). At Law Sarathi, we understand that navigating these mandatory ROC compliances can be daunting for entrepreneurs. This guide provides a clear overview of the essential ROC requirements every private limited company must adhere to.

What is ROC Compliance?

ROC compliance refers to the legal obligations that companies must fulfill under the Companies Act, 2013. These requirements are crucial for maintaining good standing and ensuring that the company operates within the legal framework. Non-compliance can lead to penalties, fines, and even the closure of the company.

Key ROC Compliances for Private Limited Companies

  1. Annual Return Filing (Form MGT-7)
    Every private limited company must file its annual return with the ROC within 60 days from the date of the Annual General Meeting (AGM). This document provides comprehensive details about the company’s shareholders, directors, and shareholding patterns.

  2. Financial Statements Filing (Form AOC-4)
    Companies are required to file their financial statements with the ROC within 30 days of the AGM. This includes the balance sheet, profit and loss account, and the auditor’s report, ensuring transparency in financial operations.

  3. Director’s Report
    Alongside financial statements, the Director’s Report must be prepared and filed. This report outlines the company’s performance, significant changes, and future outlook, giving stakeholders insight into the company’s operations.

  4. Board Meeting Minutes
    Maintaining minutes of board meetings is crucial. These minutes must be recorded in the company’s records and made available for inspection, showcasing the company’s decision-making process and governance.

  5. Changes in Director or Shareholder Information
    Any changes regarding directors or shareholders, such as appointments, resignations, or share transfers, must be reported to the ROC within 30 days. This ensures that the company’s records are up-to-date and accurate.

  6. Compliances Related to Share Capital
    If there are any changes in the share capital of the company, such as issuing new shares or altering share structure, these must be duly reported to the ROC.

  7. Maintenance of Statutory Registers
    Companies are required to maintain various statutory registers, including the register of members, directors, and charges. These registers must be updated regularly to reflect any changes.

  8. Payment of Annual Fees
    Private limited companies must pay annual fees to the ROC as per the prescribed schedule. Failure to pay these fees can result in penalties.

Why Choose Law Sarathi for ROC Compliance?

At Law Sarathi, we specialize in providing expert assistance with ROC compliance for private limited companies. Our team of qualified professionals ensures that your business meets all regulatory requirements efficiently and on time. We offer:

  • Tailored Compliance Solutions: We understand that every business is unique. Our services are customized to fit your specific needs.
  • Timely Filing and Documentation: We ensure that all filings are done accurately and punctually, minimizing the risk of penalties.
  • Expert Advisory: Our experienced consultants provide ongoing support and advice, helping you navigate the complexities of compliance with ease.

Advantages of Annual Compliance for Private Limited Company

Attracting Investors

When seeking funds from investors, it’s essential for companies to provide comprehensive financial records and data before finalizing any proposals. Investors may approach the company directly or verify financial records through the Ministry of Corporate Affairs (MCA) portal. Companies that maintain regular compliance records are more likely to attract investor support.

Enhancing Company Credibility

Legal compliance is fundamental for any business. The date of a company’s annual return filing is displayed on the MCA portal’s Master Data. Factors such as loan approvals and government tenders heavily rely on the company’s compliance history, which plays a significant role in establishing its credibility and trustworthiness.

Maintaining Active Status and Avoiding Penalties

Failure to file returns consistently can lead to a company’s status changing to default, resulting in severe penalties. A company may be declared defunct or removed from the Registrar of Companies (RoC). Moreover, associated directors can be disqualified from future appointments. Since July 2018, a daily late fee of ₹100 has been imposed for each day of delay in filing, accumulating until the submission is completed.

At Law Sarathi, we are committed to ensuring timely compliance with corporate regulations. Our expert team provides comprehensive advisory services, allowing clients to focus on their core business activities. With a dedicated group of Chartered Accountants (CAs), Company Secretaries (CSs), and legal professionals, we manage business compliance efficiently for our clients.

Documents required for Private Limited Company Compliance

  • Incorporation Documents: Certificate of Incorporation, Memorandum of Association (MoA), and Articles of Association (AoA) for the private company. Additionally, a PAN card is required.

  • Audited Financial Statements: The financial statements must be audited by a self-appointed auditor.

  • Audit Report & Board Report: The report from the self-appointed auditor, along with the Board Report, should be submitted.

  • Digital Signature Certificate (DSC) of Director: A valid and active Digital Signature Certificate of one of the directors must be provided.

Detailed Annual Compliance Procedure

  • Dedicated CA or CS: Upon order confirmation, a dedicated team of in-house Chartered Accountants (CAs) or Company Secretaries (CSs) will oversee your business compliance. Our clients can reach out with any questions related to compliance, taxation, or regulatory matters.

  • Accounting Support: We will review your company’s accounts at the end of the financial year, focusing on the final balance sheet and profit and loss statements.

  • Annual Audit Services: Our professionals will provide the necessary support for the statutory audit of your company.

  • Filing of Income Tax Returns: Our tax advisory team will handle the submission of income tax returns and offer guidance on advance tax payments, tax planning, and more.

  • Company Secretary Services: Our in-house Company Secretaries will prepare and review the minutes of your company’s meetings in compliance with the Companies Act 2013. A minimum of four board meetings must be held each financial year, while small companies are required to conduct at least two board meetings.

  • Financial Statements and Annual Return Filing: Once your financial accounts are approved by shareholders at the Annual General Meeting (AGM), our professional team will file your financial statements and annual return with the Ministry of Corporate Affairs using Form AOC-4 and MGT-7.