Company Compliance Management

Company compliance covers the recurring statutory obligations every private limited company must meet under the Companies Act, 2013 — board and general meetings, statutory registers, annual filings (AOC-4, MGT-7), director KYC, and auditor appointment. Missing these attracts daily penalties and can disqualify directors.

Who needs this: Every incorporated company, active or dormant, must meet the annual compliance calendar from the date of incorporation, regardless of turnover or activity.

Government portal: MCA (mca.gov.in) and the Income Tax portal.

Indicative fees: ₹10,000–₹40,000 per year depending on company size and transaction volume (professional + government fees).

Timeline: Ongoing across the year, keyed to statutory due dates.

Documents required

Financial statements and board reports
Minutes of board and general meetings
Statutory registers (members, directors, charges)
DSC of directors
Auditor's report and appointment (ADT-1)

Step-by-step process

Appoint the first auditor within 30 days of incorporation (Form ADT-1)
File INC-20A commencement of business within 180 days
Hold at least four board meetings a year (or as prescribed for small companies)
Conduct the Annual General Meeting within six months of the financial year-end
File financial statements in AOC-4 within 30 days of the AGM
File the annual return MGT-7/MGT-7A within 60 days of the AGM
Complete director KYC (DIR-3 KYC) by 30 September every year
Maintain statutory registers and file event-based forms (DPT-3, MSME-1, charges) on time

Penalty for non-compliance

Late annual filings cost ₹100/day per form (no cap); three years of default can disqualify directors under section 164(2).

The annual set is short, and the deadlines are derived

For most private companies the recurring core is AOC-4 with the financial statements, due within 30 days of the annual general meeting; MGT-7 or MGT-7A, the annual return, due within 60 days of it; ADT-1 on appointment of the auditor; and DIR-3 KYC for every director by 30 September. Because two of those dates are calculated from the AGM, the AGM date itself must be defensible from the minutes — an AGM you cannot evidence makes every downstream deadline arguable.

Late fees here have no ceiling

Most MCA forms carry an additional fee of ₹100 per day per form, running until the form is filed, with no upper limit. There is no revised-filing mechanism that resets it. A single form forgotten for a year is therefore not a modest penalty, and nothing visibly breaks while it accumulates. If something has been missed, filing today is always cheaper than waiting until the rest of the paperwork is tidy.

A dormant company still owes everything

No revenue, no bank activity and no employees changes nothing: AOC-4, MGT-7, DIR-3 KYC and a statutory audit all still apply. "We did no business this year" is the most common route into default, because it feels like there is nothing to report. If the company genuinely will not trade, the honest options are dormant status under section 455 or striking off — both cheaper than accruing daily fees on a shell.

Directors carry personal consequences

Failure to file financial statements or annual returns for three consecutive financial years disqualifies the directors under section 164(2), and that disqualification follows the individual to every other board they sit on. A DIN deactivated for missed KYC blocks routine filings elsewhere too. This is why the consequences of neglect are not contained within the company that caused them.

The events that need filing when they happen

Beyond the annual cycle, filings fall due on events: change of registered office, appointment or resignation of a director, allotment of shares, creation or satisfaction of charges, changes to the memorandum or articles, and auditor changes. Each has its own form and its own time limit running from the event, not from year end. Keeping statutory registers current as things happen is what makes the annual filing a compilation rather than an investigation.

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Frequently asked questions

What are the main annual filings for a private company?

AOC-4 (financial statements) within 30 days of the AGM, and MGT-7/MGT-7A (annual return) within 60 days of the AGM. Plus DIR-3 KYC, DPT-3, and auditor appointment via ADT-1.

What happens if a company misses its annual filings?

A penalty of ₹100 per day per form with no upper cap, plus possible disqualification of directors under section 164(2) if defaults run for three consecutive years.

Does a dormant or zero-revenue company still need to comply?

Yes. Annual filings, board meetings and director KYC are mandatory from incorporation regardless of activity. A truly inactive company can apply for dormant status to reduce the burden.

When is the AGM due?

Within six months of the financial year-end (by 30 September for an April–March year); the first AGM can be held within nine months of the first year-end.

What is DIR-3 KYC?

An annual KYC of every director with a DIN, due by 30 September. Missing it deactivates the DIN and attracts a ₹5,000 reactivation fee.