INC 20A | Mandatory Declaration by Companies

INC 20A | Mandatory Declaration by Companies



INC 20A  is a declaration of commencement of business that every company must file if the company’s date of incorporation falls on or after 2nd Nov 2018. Furthermore, the company must file INC-20A within 180 days of the company’s incorporation. And a Company Secretary or a Chartered Accountant or a Cost Accountant in practice shall verify the reform.

INC 20A Applicability

It applies to

  • Companies incorporated after 2nd Nov 2018 must file Form INC 20A.
  • Companies with share capital.

Exempt Companies

Companies are exempt if

  • Incorporated before 2nd Nov 2018.
  • Limited by Guarantee

INC-20A Due date

INC-20A Due date is 180 days from the date of incorporation of the company.

INC 20A Fees

i.Fee for filing e-Forms or documents in case of the company has a share capital

Nominal Share CapitalFee Applicable
Less than 1,00,000Rs 200
1,00,000 to 4,99,999Rs 300
5,00,000 to 24,99,999Rs 400
25,00,000 to 99,99,999Rs 500
1,00,00,000 or moreRs 600

ii. Fee for filing e-Forms or documents in case of a company does not have share capital

Fee applicable
Rs 200

Consequences if INC-20A is not filed?

  • A company cannot commence its business.
  • Registrar may initiate action for the removal of the name of the company from the register of companies.
  • A company cannot borrow funds.

Penalty if INC-20A not filed?

The company is liable to a penalty of fifty thousand rupees. And every officer who is in default liable to a penalty of one thousand rupees for each day during which such default continues but not exceeding one lakh rupees.

Late Fees

Period of delaysFees
Up to 30 days2 times of normal fees
More than 30 days and up to 60 days4 times of normal fees
More than 60 days and up to 90 days6 times of normal fees
More than 90 days and up to 180 days10 times of normal fees
More than 180 days12 times of normal fees

How to file INC 20A?

(1)Enter a Valid and ‘Active’ CIN of the company having a share capital

(2)Click the Pre-fill button. The system will automatically display the name, address of the registered office, and the company’s email ID.



(3)Whether the affairs of the Company is regulated by any sectoral regulator (like RBI in case of NBFI activities)

     (a)If you select the option Yes, then you will see the options IRDA, RBI, SEBI or Others

     (b)Select the option applicable to you.

     (c)Specify the letter-number/registration number and date of approval/registration.


Attachments for INC-20A

  • Subscribers proof of payment for the value of shares

You can attach the Companies Bank Account Statement with credit entries for receipt of subscription money from subscribers. This serves as Subscribers proof of payment for the value of shares.

  • Certificate of Registration issued by the RBI (Only in Non-Banking Financial Companies) /from other regulators.

Declaration

1. Board Resolution

Enter the board resolution’s serial number and date, authorising the signatory to sign and submit the form.

2. Digital Signature

The Director of the company must digitally sign the form.

3. Certificate from Practicing Professional

A practising professional must certify the Eform by providing details of the practising professional and attaching his digital signature.

4. Pre-Scrutiny

Click on Check Form. If any fields are incomplete in the form, it will show an error message. If you do not get any error messages, then click on Pre-scrutiny. You must get the message Pre-scrutiny Successful.

5. Once Pre-Scrutiny is successful; your e-form is ready to upload.

6. MCA Upload

Login to the MCA website. Then Go to E form upload and upload the eform.

7. SRN generation

After uploading successfully, SRN generates. Take note of the SRN.

8. Fee Payment

Click on Pay later / Pay Now option to pay the government fees.

Download INC-20A pdf



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