OPPORTUNITY BY WAY OF COMPANIES FRESH START SCHEME 2020
In an effort to give a fresh start to existing Non-Compliant companies and LLPs, the Government has unveiled schemes for compliance regularization. The scheme will provide complete penalty waiver and prosecution immunity for the Directors & promoters. Hence, we request you to use this golden opportunity to regularize any pending compliance at the earliest.
Once the compliance is regularized, the Directors can continue to maintain compliance or file apply for strike-off.
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Scheme Will Not Apply in Following Cases |
Eligible Forms Under Company Fresh Start Scheme 2020 |
Process of CFSS 2020 |
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Step – 1: To Check what all forms are pending for filing – 1-2 Days
Step – 2: File All Pending Returns – 7-10 days Step – 3: Wait for approval of the ROC – 1to 15 Days Step – 4: File Immunity Form in CFSS-2020 Step – 5: Wait for approval of the CFSS-2020 Step – 6 : Further Course of Action You may do the following
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WHY ANNUAL COMPLIANCES ARE MANDATORY
If compliance is not regularized, prosecution may be initiated by the Registrar against defaulting companies along with additional fees.
Also If Compliance is not done your DIN will be in disqualified status and you will not be able to further incorporate or appointed in any Company / LLP at least for 5 years
So Even if you don’t want to continue the Company but want to keep DIN intact then do compliances and file for Strike off of the Company
APPROXIMATE SAVINGS UNDER THE SCHEME
It will depends on the year from which the Compliances are pending w.e.f 1/7/2018 additional fees for MGT 7 and AOC 4 is RS 100 Per day Per Form fees form and these 2 forms are mandatory each year. e.g.
- Before FY 1617 – Approx additional fees 150000 each year
- FY 1617 – Approx additional fees 150000
- FY 1718 – Approx additional fees 115000
- FY 1819- – Approx additional fees 35000
Thus, we request you to use this wonderful opportunity to regularize all compliance without fail in the time provided and receive prosecution immunity certificate.
Things to Do & Documents Required
To begin the compliance regularization process, we must first understand the nature of transactions that has happened in the company. After that, an Accountant designated for your company will do the following services for each year:
- Drafting of Financial, Director Reports etc
- Income tax filing only For FY 1819 and FY 1920
- Preparation of MCA Forms
To perform the above functions for a year, it takes time and we would require the following details:
- Details of company/promoters
- Bank statements
- Sale and Purchase Invoice and expenses data
You can send the same from the comfort of your home. Once the data is shared, we will start the process for regularizing compliance and get your signature wherever required.
Cost of Compliance
The nature of transactions and size of business would determine the cost of compliance. For small companies with minimal transaction, we are offering a very attractive pricing of Professional fees of RS 12500 per year in additional to the RoC Fees.
