Company Annual Rerturn
An Company Annual Return is a document filed by a company with the government agency responsible for company registrations. It acts like a yearly report, summarizing the company’s key information and ensuring transparency. Here’s a breakdown of what an annual return typically includes:
Company Information:
- Registered office address
- Principal business activities pursued by the company
- Details of Holding, Subsidiary and Associate Companies (if any)
Free Consultation by Expert
Financial Information (for some companies):
- In some jurisdictions, the company annual return might require basic financial information like turnover and net worth. However, it’s not a substitute for a full tax return.
Share Capital and Ownership:
- Details of the company’s share capital structure (e.g., authorized share capital, paid-up capital)
- Information on shareholders and their shareholdings
Management:
- Particulars of the company’s directors and key managerial personnel (if applicable)
Changes During the Year:
- Any significant changes that occurred within the company during the previous financial year. This might include changes in directors, shareholding patterns, or registered office address.
Purpose of Annual Return:
- Maintains an updated record of companies with the government registry.
- Ensures transparency by providing basic company information publicly (in some countries).
- Helps authorities identify inactive or non-compliant companies.
Who Needs to File an Annual Return:
- All registered companies, regardless of size or activity, are required to file an annual return.
Filing Frequency:
- Annual returns are typically filed on an annual basis, within a specific timeframe set by the regulations.
Consequences of Non-Filing:
- Failure to file an annual return can lead to penalties and potential legal consequences. The specific consequences can vary depending on your location
Under which act annual eturn of the company comes ?
The filing of Company Annual Return is required as the per provisions of the company annual return under companies act 2013. Specifically, Section 92 of the Companies Act, 2013 mandates the filing of annual returns by all companies with the Ministry of Corporate Affairs (MCA) within 60 days of the Annual General Meeting (AGM) of the company.
What are the benefits of annual return of the company ?
Filing of Company Annual Return (CAR) offers several benefits to companies, some of which are:
- – Ensures compliance with Ministry of Corporate Affairs regulations.
- – Provides transparency and accountability to stakeholders such as shareholders and creditors.
- – Helps in good corporate governance by ensuring timely disclosure of financial and operational information.
- – Facilitates access to funding through banks and financial institutions.
- – Helps in better decision making by providing timely and accurate financial information.
- – It helps the company to make any timely corrections and improvements that are needed.
- – It facilitates a deeper understanding of the company’s financial position and assists in identifying areas of growth.
In summary, filing of the CAR is a crucial step in maintaining a company’s compliance with regulations, and also helps in improving transparency, accountability, and governance.
Who is eligible for annual return of the company ?
Any registered company or limited liability partnership (LLP) is eligible and required to submit an annual return to the appropriate government authority in their jurisdiction. This requirement varies depending on the country or region where the company or LLP is registered. In most cases, private and public limited companies, as well as LLPs, are obligated to Company an annual return filing.
The specific eligibility criteria and filing requirements may differ based on factors such as the legal structure of the business, its jurisdiction, its financial status, and any industry-specific regulations that apply. It’s essential for company directors, officers, or members to understand their legal obligations regarding annual returns and ensure compliance with relevant laws and regulations.
What is the whole process of annual return of the company ?
Here’s a simplified version of the steps to file the Company Annual Return:
- Hold an Annual General Meeting (AGM) and approve the financial statements.
- Prepare the company’s financial documents like the balance sheet, profit and loss account, and auditor report.
- Get a digital signature for the authorized signatory.
- Login to the MCA portal and generate the e-Form-ADT-1 for filing the annual return.
- Upload the consolidated financial documents and the e-Form-ADT-1 on the MCA portal.
- Pay the filing fee for the annual return.
- Submit the annual return and keep a record of the receipt.
What are the required Document list of annual return of the company ?
List of the documents you’ll need to file the annual return of the company or Company Annual Return (CAR):
- – you will need to provide your Balance Sheet, which includes your Profit and Loss Account, along with the auditor’s report. These documents provide a comprehensive overview of your business’s financial health and performance. It’s important to ensure that these documents are prepared accurately and reflect the true financial status of your business.
- – Notice of AGM, board meetings, and other general meetings held during the year.
- – Certified true copies of resolutions from members and board meetings.
- – Details of the Directors and Key Managerial Personnel (KMP).
- – Registers of Members and debenture holders.
- – Register of Shares and Share Certificates.
- – Information about shares or other securities held by Foreign Nationals and Foreign Companies.
- – Disclosure of any indebtedness by directors.
- – Details of the directors’ shareholding.
- – Information about any penalties or punishments imposed on the company, its directors, or officers.
Who needs to file company annual return?
Directors or authorized officers of a registered company or limited liability partnership (LLP) are responsible for filing the annual return with the appropriate government authority.
What we can offer
Black Tie can offer a variety of services to assist you with filing your annual return in India, saving you time and ensuring compliance with regulations. Here’s what you can expect from Black Tie Legal Services India LLP:
Understanding Requirements:
- Identifying Due Dates: Black Tie can help you determine the specific deadline for filing your annual return based on your company’s registration date.
- Gathering Information: Black Tie can guide you through identifying all the necessary information and documents required for your annual return filing, as per the Ministry of Corporate Affairs (MCA) regulations.
Form Filling and Filing:
- Form Selection: Black Tie can advise on the correct e-forms (e.g., MGT-7) needed to be filed with the MCA based on your company type (public, private, etc.).
- Accurate Completion: We can assist in accurately filling out the e-forms with all the required details about your company, directors, shareholders, and financial information (if applicable).
- Electronic Filing: Black Tie Legal Services India LLP can handle the electronic filing process through the MCA portal, ensuring proper submission.
Additional Services:
- Financial Statement Review: In some case, Black Tie might offer a preliminary review of your financial statements (if required) to identify any potential issues before filing.
- Digital Signature Assistance: If your company requires a Digital Signature Certificate (DSC) for filing, Black Tie can help you obtain or renew it.
- Post-Filing Support: Black Tie may answer any questions you might have after filing your annual return and provide guidance on maintaining compliance with future filings.