Private limited company has more compliance requirements in comparison to sole proprietorship, partnership firm & LLP. Private limited compliance includes periodic filing of tax & other returns, maintaining statutory books & accounts, holding board meetings, other meetings etc. Non-compliance will lead to penalties & may end up your business also in extreme cases. The compliance requirements may differ on the basis of nature of business, product or service provided and the volume of the turnover etc. The statutory compliances of private limited company are given below –
Statutory Compliances of Private Limited Company
|1||Appointment of auditor||Under companies act, 2013, every private limited company needs to appoint an auditor for at least 5 years by filling form ADT-1 within 15 days|
|2||Filing of income tax return||Private limited company should mandatorily file income tax return before 30th September for a particular financial year. For ex – The last date for filing income tax return is 30th September.|
|3||Filing of financial statements||Private limited company should mandatorily file the financial statements in form AOC-4 within 30 days from the date of AGM i.e. before 30th October|
|4||Annual ROC returns||Private limited company should mandatorily files annual returns in Form MGT-7 with ROC within 60 days of AGM (Annual general meeting)|
|5||Holding an annual general meeting||Every private company is required to hold annual general meeting with in period of 6 months after the end of the financial year i.e. Before 30th September|
|6||Board meeting||Every private company required to hold minimum 4 meetings and the gap between 2 board meetings should not be more than 120 days.|
What Is Included In Our Package?
Documents Needed For Annual Compliance For Private Limited Company
- Invoices of purchases & sales during a financial year
- Invoices of expenses incurred during a financial year
- Bank statements for all bank accounts in the name of the company in a financial year
- Credit card statements for expenses incurred by directors on behalf of company
- Copy of GST returns (If any)
- Copy of TDS challan deposited (If any)
- Copy of TDS returns files (If any)
Procedure For Annual Compliance Fulfillment
Penalty For Non-Compliance
- Late filing or non-filing of annual return will attract a penalty which is 12 times more than the normal fees.
- Private company cannot be closed without filing of the tax return.
- Therefore, it is best that you file the annual return before the due date to avoid fines, penalties etc.