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Finance
Published: October 23, 2023
Updated: October 23, 2023
The Ministry of Corporate Affairs (MCA) has issued a reminder to businesses, emphasizing the importance of adhering to due dates for filing annual returns and financial statements for the fiscal year 2023. Failure to meet these deadlines may result in additional penalties, as per the guidance provided by the MCA.
Companies are required to observe due dates for filing, which are determined by the date of their Annual General Meeting (AGM), as outlined in the Companies Act. These due dates are significant for avoiding penalties associated with delayed submissions.
Delays in filing attract additional penalties, amounting to ₹100 for each day beyond the specified due date. To prevent incurring these fines, companies must adhere to the prescribed timelines.
Businesses are granted a specific timeline for filing their annual returns and financial statements. They have six months from the end of the financial year to conduct their AGM. Subsequently, there is a one-month window following the AGM to file financial statements, and a 60-day period for filing annual returns.
In practical terms, financial statements must be submitted no later than the end of October, while annual returns should be filed by the end of November. This deadline applies to approximately 1.5 million active companies that are required to submit these essential statutory documents this year.
The MCA's communication underscores the government's decision to allow companies to utilize the older version of forms, known as version two, for filing their annual reports and financial statements. This approach was adopted to prevent any disruption during the filing season. While over 50 other statutory filing requirements have already transitioned to new high-security forms, the MCA has extended leniency in terms of additional time for submitting documents without incurring extra fees.
It is important to note that the forms for annual returns and financial statements will
eventually migrate to new versions with two-factor authentication after the current filing
season.
The Ministry of Corporate Affairs encourages companies to prioritize punctual filing of annual
returns and financial statements to avoid financial penalties. Timely compliance with these
requirements not only ensures adherence to legal obligations but also supports the efficiency
of regulatory processes. As the transition to new forms is anticipated in the future,
companies should stay informed about regulatory updates to ensure smooth compliance
with evolving statutory filing procedures.
September 30, 2024 - Second Issue
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