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Compliance Services for Companies & LLPs - CS Vijendra & CO

Professional Advice on Private Limited Company Compliance

Due to its advantages, which include limited liability, independent legal entity status, and simplicity of capital raising, a private limited company is one of the most popular business forms in India. Nevertheless, these benefits come with a number of legal obligations that must be met to guarantee efficient operations. Understanding and adhering to compliance for private limited company is essential for avoiding legal repercussions and maintaining the company’s credibility.

At Vijendra & Co, we provide expert guidance on all aspects of compliance for private limited company, helping businesses meet regulatory standards effortlessly. Our expertise ensures that companies stay updated with statutory requirements, making compliance a hassle-free process.

Compliance for Private Limited Company

In India, all private limited companies are required to go by a number of rules set forth by the Registrar of Companies (ROC) and the Ministry of Corporate Affairs (MCA). These compliances ensure transparency, legal security, and proper governance. Penalties and legal repercussions could result from breaking these commitments. ROC compliance, annual compliance, event-based compliance, and non-registrar compliance are the general categories into which compliance for private limited companies can be divided.

Private Limited Company ROC Compliance

ROC compliance for private limited company is crucial to ensure that the company adheres to regulatory norms and maintains transparency with the authorities. These compliance requirements include regular filings with the Registrar of Companies to provide updates about the company’s financial and operational status.

Important ROC compliance criteria include of:

  • The submission of financial statements and yearly returns.
  • Maintenance of statutory registers and records.
  • Submission of board resolutions and other statutory documents.
  • Intimation of changes in directorship or shareholding pattern.
Annual Compliance Requirements
  1. Registrar of Companies (ROC) Annual Filings
    • AOC-4 (Filing Financial Statements): Deadline - 30 days following the AGM. Includes Board's Report, Auditor's Report, Balance Sheet, and Profit & Loss Account.
    • MGT-7 (Annual Return Filing): Deadline - 60 days following the AGM. Includes Shareholding structure, changes in directorship, and other company details.
  2. Income Tax Compliance
    • Income Tax Return (ITR-6 Filing): Due Date - 30th September. Must be filed even if there is no income.
  3. AGM (Annual General Meeting): Deadline - By September 30th. Agenda includes approval of financial statements, appointment/reappointment of directors & auditors.
  4. Auditor’s Appointment (ADT-1): Within 15 days of the AGM, if a new auditor is appointed.
  5. Director KYC (DIR-3 KYC): Due Date - 30th September every year. All directors must update their KYC with the MCA.
  6. MSME Return (If applicable): Half-yearly returns (MSME-1) due on 30th April & 31st October for unpaid invoices overdue by more than 45 days.
  7. Other Key Compliances:
    • DPT-3 (Return of Deposits) - Due by June 30.
    • TDS/TCS Return Filing – Quarterly
    • GST Returns – Monthly/Quarterly
Penalties for Non-Compliance

Failure to comply can lead to heavy penalties, disqualification of directors, and even company closure in extreme cases.

Distribution of Financial Statements

One of the requirements for compliance is the timely distribution of financial statements and other pertinent papers. Before the AGM, shareholders must get the financial statements, including the cash flow statement, profit and loss statement, and balance sheet. Keeping these documents up to date guarantees adherence to corporate governance guidelines.

Other relevant documents that need to be circulated include:

  • Director's Report
  • Auditor's Report
  • AGM Notice
  • Financial Statement Notes
Event-Based Private Limited Company Compliances

These are triggered by specific business decisions or changes:

  • Change in Directors
  • Change in Share Capital
  • Share Transfer
  • Change in Registered Office Address
  • Issuance of New Shares
Non-Registrar Compliance
  • GST Filings
  • Income Tax Filings
  • Professional Tax Compliance
  • ESI and PF Compliance
Non-Compliance Penalty
  • Late Filing: Up to INR 100/day
  • Failure to Conduct AGM
  • Non-Maintenance of Statutory Registers
  • Non-Filing of Financials: Leads to penalties & director disqualification
Streamline Company Compliance with CS Vijendra & Co

With CS Vijendra, entrepreneurs can seamlessly complete their company compliance requirements. Here's how we can help:

  • LEDGERS Compliance Platform: Manage compliance tasks, monitor due dates, generate reports.
  • Committed Advisor: Dedicated Compliance Manager to assist your company.
  • Financial Statement Preparation: Created at fiscal year-end.
  • Secretarial Services: Includes board meetings, AGM, directors’ report, annual report.
  • MCA Annual Report Filing: Filing due by September 30.
  • Income Tax Return Filing: Filed even if company is inactive.
Conclusion

A crucial part of managing a business is making sure the private limited company is in compliance. From ROC compliance to annual, event-based, and non-registrar compliances, businesses must fulfill multiple legal requirements. At Vijendra & Co, we specialize in helping businesses navigate the complexities of compliance for private limited companies by providing expert advice and seamless support in fulfilling statutory obligations.