E-Form INC-20A can be Filed Upto 31st August 2021

Every company required to file Form INC-20A shall file the same within 180 days of its incorporation. Non filling of Form INC-20A allows Registrar of Companies (‘ROC’) one additional ground to strike off the name of your Company from its Register.

General Circular No. 06/2021 dated 03.05.2021

The Ministry of Corporate Affairs (‘MCA’) had received request from stakeholders for relaxation on levy of additional fees for filing of various forms under the Companies Act, 2013 /LLP Act, 2008/ Rules made thereunder due for filing during 1st April, 2021 to 31st May, 2021 in view of Covid-19 related restriction and disruption. MCA had examined the said request and taking into account the difficulties which have arisen due to resurgence of Covid-19 pandemic, MCA vide General Circular No. 06/2021 dated 03.05.2021 had decided to grant additional time upto 31st July, 2021 for companies/LLPs to file such forms (other than CHG-1 Form, CHG-4 Form and CHG-9 Form) without any additional fees.

General Circular No. 11/2021 dated 30.06.2021

Now, MCA vide General Circular No. 11/2021 dated 30.06.2021 has extended the time given under earlier General Circular No. 06/2021 dated 03.05.2021. As per new General Circular No. 11/2021 dated 30.06.2021 it has been decided to grant additional time upto 31st August, 2021 to Companies/LLPs to file to file such forms (other than CHG-1 Form, CHG-4 Form and CHG-9 Form) which were/are due for filing during 1st April, 2021 to 31st July, 2021 without any additional fees. Accordingly, normal fees shall be levied upto 31st August 2021 for forms (other than charge related forms referred above) required to be filed during 1st April, 2021 to 31st July, 2021.

In view of the above, it is stated that company can file E- Form INC-20A, which is due for filing during 1st April, 2021 to 31st July, 2021, till 31st August, 2021 without any additional fee.

Statutory Provision

eForm INC-20A (Declaration for commencement of business) is required to be filed pursuant to Pursuant to Section 10A(1)(a) of the Companies Act, 2013 and Rule 23A of the Companies (Incorporation) Rules, 2014.

As per new section inserted after section 10 of the companies act 2013, section 10A says a company incorporated on or after 02//11/2018, having share capital shall not commence its business or exercise any borrowing powers unless a declaration is filed by the directors within 180 days from date of incorporation of company in INC form 20A (notified on 26/01/2019), with the Registrar of Companies that ‘every subscriber to the MOA has paid the value of the shares agreed to be taken by him on the date of making of such declaration” and the contents of the said form shall be verified by a Company Secretary or a Chartered Accountant or a Cost Accountant, in practice:

Provided that in the case of a company pursuing objects requiring registration or approval from any sectoral regulators such as the Reserve Bank of India, Securities and Exchange Board of India, etc., the registration or approval, as the case may be from such regulator shall also be obtained and attached with the declaration.