Penalty for non-filing Annual Return: An Overview

A company is a separate legal entity which can be sued or sue any other legal firm. It is capable of entering into different types of transactions. After the incorporation of a Private limited company, it is the responsibility of the directors of the company to ensure the various regulatory and statutory filings are filed on time by a company or not. When you fail to file statutory filings then it may cause stringent penalties. Moreover, could result in disqualifying the directors from incorporating another company in the future. In the year 2018, the penalty for non-compliance has been raised to over Rs.1 lakh by both the income tax department and MCA (Ministry of corporate affairs). In this article, we will let you know what is the Penalty for non-filing Annual Return by Private Limited Company.

The Penalty for non-filing Annual Return 2018

Generally, under the companies act, the government fee for filing or registering any document with the Registrar is Rs. 200. A Private limited company has to file form MGT-7 and form AOC-4 every year. The applicable government fee would be Rs. 400.

Following is the comparison between the current regulations and proposed rules from 1 July 2018:


Days of delay Penalty(Current)in Rs. Penalty(Proposed)in Rs.
Up to 15 days 400 up to 3000
More than 15 days and up to 30 days and up to 30 days in remaining forms. 800 up to 6000
More than 30 days and up to 60 days 1600 up to 12000
More than 60 days and up to 90 days 2400 up to 18000
More than 90 days and up to 180 days 4000 up to 36000
More than 180 days and up to 270 days
4800 up to 54000

If it delays more than 270 days then the current penalty is Rs.100 per day and the proposed penalty will be Rs. 100 per day per form.

The Ministry of Corporate Affairs announced on 8th May 2018 that:

  • The Second Amendment Rules 2018 of the companies have been notified on 7th May 2018. As per this amendment, if the due date of filing an annual return under section 92 of the Companies Act, 2013 expires after 30/06/2018 then the additional fees will be charged Rs.100 per day for MGT-7, AoC- 4 XBRL and AoC-4 CFS.
  • In the case of belated annual return or balance sheet that is due to file under the companies act 1956 i.e 23AC, 23ACA, 23AC XBRL, 23ACA XBRL, 20B, 21A or the companies act, 2013 i.e MGT-7, AOC-4, AOC-4 XBRL and AOC-4 CFS, the additional for the period of delay up to 30th June 2018 plus Rs. 100 per day must be payable.


To know more about the LLPAnnual Return, Registration of Private limited company visit our website: Legal Raasta

You can send your query on Email: [email protected] and give us a call at 8750008585 for further more details.

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