My company in Jabalpur has not filed its annual return for the last two years; what penalties apply and how can I regularise the filing?

Detailed Legal Analysis

If your company in Jabalpur has not filed its annual return for the last two years, it may face penalties under the Companies Act, 2013, and you can regularize the filing by taking specific steps.

According to Section 92 of the Companies Act, 2013, every company is required to file its annual return with the Registrar of Companies (RoC) within 60 days from the date of the Annual General Meeting (AGM). Failure to do so can result in penalties, which include:

• The company and every officer in default may face a penalty of up to ₹1 lakh, with an additional fine of ₹5,000 for each day of default thereafter (as per Section 92(5)).
• If the company fails to file the annual return, it may also face disqualification for certain benefits or privileges under the law.

To regularize the filing of the annual returns, you can follow these steps:

• Assess the Situation: Review the period for which the annual returns were not filed and gather all necessary documents, including financial statements and minutes of the AGM.
• Prepare the Returns: Prepare the overdue annual returns in compliance with the prescribed format as per the Companies (Management and Administration) Rules, 2014.
• File with the RoC: Use the e-filing portal of the Ministry of Corporate Affairs (MCA) to submit the overdue returns. This can be done using the forms MGT-7 (Annual Return) and AOC-4 (Financial Statements).
• Pay Additional Fees: Be prepared to pay additional fees for late filing, as per the provisions of Section 403 of the Companies Act, 2013. The amount of additional fee depends on the duration of delay.
• Seek Approval for Delayed Filing: If the delay is significant, it may be prudent to seek approval from the Registrar by filing Form GNL-1 for condonation of delay, supported by a board resolution.
• Maintain Compliance: After regularizing the filings, ensure that the company maintains compliance with all future filing requirements to avoid further penalties.

It is advisable to consult a company secretary or legal professional experienced in corporate law to assist in the process and ensure compliance with all relevant provisions of the Companies Act, 2013.