Introduction
Annual compliance for private limited company is a mandatory requirement for businesses registered under the Companies Act, 2013, in India. These compliances ensure legal adherence, transparency, and good governance, protecting companies from penalties and reputational risks. This blog provides a comprehensive guide on annual compliance for private limited company, covering key obligations like ROC filings, GST returns, and ITR submissions, and explains how TaxQue simplifies the process.
What Is Annual Compliance for Private Limited Company?
Annual compliance for private limited company refers to the statutory obligations a private limited company must fulfill each financial year. These include filings with the Registrar of Companies (ROC), tax-related submissions, and audits, as mandated by the Ministry of Corporate Affairs (MCA), Income Tax Department, and GST authorities. Proper compliance enhances credibility and ensures smooth operations.
1. Key Components of Annual Compliance
To maintain annual compliance for private limited company, businesses must address these areas:
- ROC Filings: Submit annual returns and financial statements to the MCA.
- Income Tax Compliance: File ITR and TDS/TCS returns.
- GST Compliance: Submit regular GST returns if registered.
- Statutory Audits: Conduct audits for financial transparency.
- Board Meetings: Hold mandatory board and annual general meetings (AGM).
2. Detailed Compliance Requirements
Here’s a breakdown of annual compliance for private limited company obligations:
| Compliance Type | Requirement | Deadline |
|---|---|---|
| Form AOC-4 (Financials) | File balance sheet and P&L statement | Within 30 days of AGM |
| Form MGT-7 (Annual Return) | File details of shareholders and directors | Within 60 days of AGM |
| ITR-6 (Income Tax Return) | File company’s income tax return | October 31 (non-audit) |
| GSTR-9 (GST Annual Return) | File consolidated GST return | December 31 |
| Statutory Audit | Audit financials by a chartered accountant | Before AGM |
| AGM | Hold annual general meeting | September 30 |
- ROC Filings: File Form AOC-4 (financial statements) and MGT-7 (annual return) via the MCA portal after the AGM, typically held by September 30.
- ITR Filing: Submit ITR-6 by October 31 (non-audit cases) or November 30 (audit cases) for FY 2024-25 on the Income Tax portal.
- GST Compliance: File GSTR-9 annually by December 31 if GST-registered, via the GST portal.
- Statutory Audit: Mandatory for all private limited companies, regardless of turnover, conducted by a chartered accountant.
- Board Meetings: Hold at least 4 board meetings annually and 1 AGM.
3. Steps to Ensure Annual Compliance
Follow these steps to achieve annual compliance for private limited company:
Step 1: Conduct Statutory Audit
- Appoint a chartered accountant to audit financial statements.
- Finalize books of accounts before the AGM.
Step 2: Hold Board Meetings and AGM
- Conduct at least 4 board meetings with a maximum gap of 120 days.
- Hold the AGM by September 30 to approve financials and appoint auditors.
Step 3: File ROC Forms
- Submit Form AOC-4 within 30 days and MGT-7 within 60 days of the AGM.
- Ensure accurate details of directors, shareholders, and financials.
Step 4: File Tax Returns
- File ITR-6 for income tax and quarterly TDS returns (Form 24Q, 26Q).
- Submit GSTR-9 and other GST returns if applicable.
Step 5: Maintain Statutory Registers
- Update registers for directors, members, and charges.
- Keep minutes of board and AGM meetings.
4. Penalties for Non-Compliance
Failing to meet annual compliance for private limited company can lead to:
- Fines: ₹100/day for late ROC filings, ₹200/day for late GST returns, or up to ₹5,000 for late ITR.
- Director Disqualification: Directors may be barred from holding directorships.
- Company Status: Risk of being marked as “inactive” or struck off by the MCA.
TaxQue streamlines annual compliance for private limited company with expert support for ROC, GST, and ITR filings. Visit TaxQue’s ROC services or GST compliance guide for tailored solutions.
FAQs
1. What is the deadline for filing Form AOC-4 and MGT-7?
Form AOC-4 is due within 30 days of the AGM, and MGT-7 within 60 days, typically by October 30 and November 29, respectively.
2. Is statutory audit mandatory for all private limited companies?
Yes, all private limited companies must conduct a statutory audit, regardless of turnover, as part of annual compliance for private limited company.
3. Can a private limited company skip GST annual returns?
If GST-registered, filing GSTR-9 by December 31 is mandatory; otherwise, it’s not applicable.
4. What happens if I miss ROC filing deadlines?
Late filings incur a ₹100/day penalty per form, and directors may face disqualification.
5. How does TaxQue help with annual compliance?
TaxQue offers automated tools, deadline reminders, and expert guidance for ROC, GST, and ITR filings. Explore TaxQue’s compliance services.
Conclusion
Annual compliance for private limited company is essential for legal operations and credibility in India. From ROC filings to GST and ITR submissions, timely compliance avoids penalties and fosters growth. Platforms like TaxQue simplify the process with expert solutions. Stay proactive, track deadlines, and ensure your private limited company thrives compliantly.
