My company in Rohtak 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 Rohtak has not filed its annual return for the last two years, it is subject to penalties under the Companies Act, 2013, and you can regularise the filing by following certain steps.

According to the Companies Act, 2013, specifically Section 92 and Section 137, every company is required to file its annual return and financial statements with the Registrar of Companies (ROC). Failure to comply with these provisions leads to financial penalties.

• Penalties for Non-Compliance:
  • Under Section 92(5), if a company fails to file its annual return, it may incur a penalty of up to INR 1 lakh and an additional fine of INR 5,000 for each day of default.
  • Under Section 137(3), failing to file financial statements can result in a similar penalty structure.
  • Moreover, additional penalties may apply to the officers in default, which can be up to INR 25,000, and they may also face imprisonment for a term up to six months.
• Steps to Regularise Filing:
  • Assess the current status of your company's filings and gather the necessary documents, including the company’s annual returns and financial statements for the last two years.
  • Prepare the annual return in Form MGT-7 and the financial statements in Form AOC-4, ensuring all details are accurate and compliant with the Companies Act, 2013.
  • Visit the Ministry of Corporate Affairs (MCA) portal and create or log in to your account.
  • File the pending documents along with the required fees through the MCA portal.
  • Since the filings are delayed, you may also need to file for condonation of delay under Section 460 of the Companies Act. This requires filing an application to the ROC justifying the reasons for the delay.
  • Pay any applicable late fees as calculated by the ROC based on the duration of delay.

It is advisable to consult with a company secretary or a legal professional to ensure compliance and to assist with the filing process and any potential legal implications.