My company in Udaipur 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 Udaipur has not filed its annual return for the last two years, it may face penalties under the Companies Act, 2013, and steps need to be taken to regularize the filings.

According to Section 92 of the Companies Act, 2013, every company is required to file its annual return within 60 days from the date of the annual general meeting (AGM). Failure to comply with this provision can lead to certain penalties:

• Penalties for Non-Compliance:
  • Under Section 92(5), if a company fails to file its annual return, it shall be liable to a penalty of INR 100,000, and for continuing default, an additional penalty of INR 5,000 for each day during which such default continues.
  • Under Section 137, failure to file the financial statements can also incur a similar penalty structure.

To regularize the filing of your company’s annual return, follow these steps:

• Prepare Necessary Documents:
  • Annual return form (Form MGT-7).
  • Financial statements (Form AOC-4).
  • Minutes of the AGM.
• File with the Registrar of Companies (RoC):
  • Log in to the Ministry of Corporate Affairs (MCA) portal.
  • Fill and submit the necessary forms (MGT-7 and AOC-4) along with the prescribed fees.
• Pay the Prescribed Penalty:
  • Ensure that you pay the penalty for late filing as per the provisions mentioned above.
• Seek Professional Assistance:
  • Consider hiring a Company Secretary or legal professional for proper guidance and to ensure compliance with all legal requirements.

It is crucial to address this issue promptly to avoid further penalties and complications with regulatory authorities. Regular filing of annual returns is vital for maintaining good corporate governance and legal compliance.