100% Compliance Services for Private Limited Companies & LLPs in Pune and Pimpri Chinchwad

Overview of Annual Compliance for a Private Limited Company

A Private Limited Company enjoys a separate legal personality and must maintain its active status through timely ROC filings and statutory compliances. For every financial year, it is compulsory to file:

• 1. Audited financial statements (Balance Sheet, Profit & Loss Account, Notes)
• 2. Annual ROC return (Form MGT-7 / MGT-7A)
• 3. ROC filing of financial statements (Form AOC-4)

The due dates for annual filings are linked to the date of the Annual General Meeting (AGM). Continuous non-compliance may lead to:

• 1. Heavy additional fees and penalties
• 2. Disqualification of directors
• 3. Striking off of the company’s name from the ROC records

The compliances applicable to a company are broadly divided into: Mandatory Annual Compliances and Event-Based Compliances. Our firm manages both end-to-end for clients across Pune and Pimpri Chinchwad.

Mandatory Annual Compliances for Private Limited Companies

Some of the key annual compliances that a Private Limited Company must ensure are:

• 1

  First Board Meeting

  The first meeting of the Board of Directors is required to be held within 30 days of incorporation. Notice of the Board Meeting must be sent to each director at least seven clear days before the meeting.

• 2

  Subsequent Board Meetings

  A minimum of 4 Board Meetings must be held every year, with a maximum gap of 120 days between two consecutive meetings, unless the company falls under any specific exemption category.

• 3

  Disclosure of Interest by Directors (Form MBP-1)

  Every director must disclose his/her interest in other companies, body corporates, firms or associations of individuals in:

  • The first Board Meeting in which he/she participates as a director; or
  • The first Board Meeting of every financial year; or
  • Whenever there is a change in such disclosures.

  The disclosure is given in Form MBP-1 and maintained in the company’s records along with the list of relatives and their interests as per Related Party Transaction definitions.

• 4

  Appointment of First Auditor

  The Board of Directors must appoint the first statutory auditor within 30 days of incorporation, who shall hold office till the conclusion of the first AGM. Filing of Form ADT-1 is not mandatory for the first auditor’s appointment.

• 5

  Subsequent Auditor Appointment (Form ADT-1)

  At the first AGM, the company must appoint the statutory auditor to hold office from the conclusion of the first AGM till the conclusion of the sixth AGM (i.e., for a term of five years), and intimate ROC by filing Form ADT-1 within 15 days of the appointment.

• 6

  Annual General Meeting (AGM)

  Every company must hold an AGM on or before 30th September every year, during business hours (9 a.m. to 6 p.m.), on a day that is not a public holiday, at the registered office or at such other place as permitted. A clear 21 days’ notice is required for convening the AGM.

• 7

  Filing of Annual Return (Form MGT-7 / MGT-7A)

  Every Private Limited Company must file its Annual Return in Form MGT-7 / MGT-7A within 60 days from the date of AGM, for the period 1st April to 31st March.

• 8

  Filing of Financial Statements (Form AOC-4)

  Every company must file its audited financial statements – Balance Sheet, Statement of Profit & Loss, Cash Flow Statement (if applicable), notes and Director’s Report – in Form AOC-4 within 30 days of the AGM.

• 9

  Statutory Audit of Accounts

  Every company must get its accounts audited annually by a Chartered Accountant. The statutory auditor issues an Audit Report along with the audited financial statements, which form the basis for ROC filings and Income Tax Return filing.