Company Compliance
Navigating compliance can be a complex challenge for private limited companies in India. Adhering to the comprehensive requirements of the Companies Act 2013, including director appointments, shareholder meetings, and other regulatory obligations, is crucial but can often seem overwhelming.
Compliance for Private Limited Company
Compliance refers to adhering to orders, rules, or requests. For a private limited company incorporated in India, Compliance with the Companies Act 2013, which includes obligations to the Registrar of Companies (RoC), is essential for private limited companies in India. This legislation governs various aspects, including the appointment, qualification, remuneration, and retirement of directors and the conduct of board and shareholder meetings. Compliance with Registrar of Companies (RoC) regulations is mandatory for every private limited company, regardless of turnover or capital amount.
Compliance Related to the Registrar - ROC Complaince
Compliance Beyond the Registrar's Purview - Non-Registrar compliance
ROC Compliance for Private Limited Company
As mentioned above, These are obligations that a company must fulfil in accordance with the regulations set by the Registrar of Companies (ROC) or equivalent authority. They typically involve statutory filings and adherence to the Companies Act provisions.
Ensuring adherence to ROC compliance is pivotal for companies operating in India. ROC Compliance for Private limited company can be broadly classified into:
Annual Compliance: These are the regular, yearly filings and disclosures companies must make, including submitting annual returns and financial statements.
Event-Based Compliance: These are specific compliances that need to be addressed as and when certain events occur within the company, such as changes in the company's management, share capital, or registered office.
Other Compliances: This category includes a range of other regulatory obligations that might not fall strictly under annual or event-based categories but are essential for maintaining the company's legal status, such as director KYC updates and maintenance of statutory registers.
Besides the annual filings, there are various other compliances that need to be compiled with on occurrence of any event in the company.
Here are specific instances of such events:
Change in the authorized capital or the paid-up capital of the company.
Allotment of new shares or transfer new shares
giving loans to other companies
giving loans to directors
Appointment of managing or whole-time Director and their payment
when a bank account is opened or closed, or there is a change in the signatories of a bank account.
if there is an appointment or change of the statutory auditors of the company
It is necessary to file different forms with the registrar for all such events within a specific period. In case of missing out on this, additional fees or penalties might be levied. Hence, it is necessary to meet such compliances on time.