{"id":36301,"date":"2026-07-09T17:22:19","date_gmt":"2026-07-09T11:52:19","guid":{"rendered":"https:\/\/www.legalraasta.com\/blog\/?p=36301"},"modified":"2026-07-09T17:22:19","modified_gmt":"2026-07-09T11:52:19","slug":"form-inc-20a-filing-consequences","status":"publish","type":"post","link":"https:\/\/www.legalraasta.com\/blog\/form-inc-20a-filing-consequences\/","title":{"rendered":"Form INC-20A Filing (2026): What Happens If You Start a Business Without It?"},"content":{"rendered":"<p><span style=\"font-weight: 400\">Priya incorporated her edtech startup in Delhi in March 2025. Got the Certificate of Incorporation, printed it, framed it, and posted it on LinkedIn. Then she hired three people, signed her first school contract, and started collecting fees from students.<\/span><\/p>\n<p><span style=\"font-weight: 400\">Nobody told her about <\/span><b>Form INC-20A filing<\/b><span style=\"font-weight: 400\">. Six months later, her company secretary flagged it. Her company had technically been operating without legal authorisation since day one. Every contract she signed, every rupee she collected, every payment she made from the company account was done without completing the one compliance step that actually allows a company to commence business.<\/span><\/p>\n<p><span style=\"font-weight: 400\">Most founders have never heard of this form. And that is exactly why so many companies end up in violation without even knowing it. This guide explains what <\/span><b>Form INC-20A<\/b><span style=\"font-weight: 400\"> is, why it exists, what the deadline is, what happens if you miss it, and how to fix the situation if you already have.<\/span><\/p>\n<p><b>LegalRaasta <\/b><span style=\"font-weight: 400\">helps newly incorporated companies complete the Form INC-20A filing on time, along with all post-incorporation compliance requirements, so you are legally ready to operate from day one.<\/span><\/p>\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_73 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/www.legalraasta.com\/blog\/form-inc-20a-filing-consequences\/#What_Exactly_is_Form_INC-20A\" title=\"What Exactly is Form INC-20A?\">What Exactly is Form INC-20A?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/www.legalraasta.com\/blog\/form-inc-20a-filing-consequences\/#Who_Needs_to_File_Form_INC-20A\" title=\"Who Needs to File Form INC-20A?\">Who Needs to File Form INC-20A?<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/www.legalraasta.com\/blog\/form-inc-20a-filing-consequences\/#You_do_NOT_need_to_file_Form_INC-20A_if\" title=\"You do NOT need to file Form INC-20A if:\">You do NOT need to file Form INC-20A if:<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/www.legalraasta.com\/blog\/form-inc-20a-filing-consequences\/#What_is_the_Deadline_for_Form_INC-20A_Filing\" title=\"What is the Deadline for Form INC-20A Filing?\">What is the Deadline for Form INC-20A Filing?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/www.legalraasta.com\/blog\/form-inc-20a-filing-consequences\/#Documents_Required_for_Form_INC-20A_Filing\" title=\"Documents Required for Form INC-20A Filing\">Documents Required for Form INC-20A Filing<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/www.legalraasta.com\/blog\/form-inc-20a-filing-consequences\/#Step-by-Step_Form_INC-20A_Filing_Process\" title=\"Step-by-Step Form INC-20A Filing Process\">Step-by-Step Form INC-20A Filing Process<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/www.legalraasta.com\/blog\/form-inc-20a-filing-consequences\/#Step_1_Collect_the_company_bank_statement\" title=\"Step 1: Collect the company bank statement\">Step 1: Collect the company bank statement<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/www.legalraasta.com\/blog\/form-inc-20a-filing-consequences\/#Step_2_Log_in_to_the_MCA21_portal\" title=\"Step 2: Log in to the MCA21 portal\">Step 2: Log in to the MCA21 portal<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/www.legalraasta.com\/blog\/form-inc-20a-filing-consequences\/#Step_3_Fill_in_the_form\" title=\"Step 3: Fill in the form\">Step 3: Fill in the form<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/www.legalraasta.com\/blog\/form-inc-20a-filing-consequences\/#Step_4_Attach_the_bank_statement\" title=\"Step 4: Attach the bank statement\">Step 4: Attach the bank statement<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-11\" href=\"https:\/\/www.legalraasta.com\/blog\/form-inc-20a-filing-consequences\/#Step_5_Director_signs_with_DSC\" title=\"Step 5: Director signs with DSC\">Step 5: Director signs with DSC<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-12\" href=\"https:\/\/www.legalraasta.com\/blog\/form-inc-20a-filing-consequences\/#Step_6_Pay_the_government_fee_and_submit\" title=\"Step 6: Pay the government fee and submit\">Step 6: Pay the government fee and submit<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-13\" href=\"https:\/\/www.legalraasta.com\/blog\/form-inc-20a-filing-consequences\/#Step_7_Download_the_acknowledgement\" title=\"Step 7: Download the acknowledgement\">Step 7: Download the acknowledgement<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-14\" href=\"https:\/\/www.legalraasta.com\/blog\/form-inc-20a-filing-consequences\/#Government_Fees_for_Form_INC-20A_Filing\" title=\"Government Fees for Form INC-20A Filing\">Government Fees for Form INC-20A Filing<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-15\" href=\"https:\/\/www.legalraasta.com\/blog\/form-inc-20a-filing-consequences\/#Late_Filing_Fees_for_Form_INC-20A\" title=\"Late Filing Fees for Form INC-20A\">Late Filing Fees for Form INC-20A<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-16\" href=\"https:\/\/www.legalraasta.com\/blog\/form-inc-20a-filing-consequences\/#What_Actually_Happens_If_You_Skip_Form_INC-20A_Filing\" title=\"What Actually Happens If You Skip Form INC-20A Filing?\">What Actually Happens If You Skip Form INC-20A Filing?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-17\" href=\"https:\/\/www.legalraasta.com\/blog\/form-inc-20a-filing-consequences\/#What_If_You_Have_Already_Missed_the_Deadline\" title=\"What If You Have Already Missed the Deadline?\">What If You Have Already Missed the Deadline?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-18\" href=\"https:\/\/www.legalraasta.com\/blog\/form-inc-20a-filing-consequences\/#Common_Mistakes_With_Form_INC-20A_Filing\" title=\"Common Mistakes With Form INC-20A Filing\">Common Mistakes With Form INC-20A Filing<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-19\" href=\"https:\/\/www.legalraasta.com\/blog\/form-inc-20a-filing-consequences\/#How_LegalRaasta_Helps_With_Form_INC-20A_Filing\" title=\"How LegalRaasta Helps With Form INC-20A Filing\">How LegalRaasta Helps With Form INC-20A Filing<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-20\" href=\"https:\/\/www.legalraasta.com\/blog\/form-inc-20a-filing-consequences\/#Conclusion\" title=\"Conclusion\">Conclusion<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-21\" href=\"https:\/\/www.legalraasta.com\/blog\/form-inc-20a-filing-consequences\/#Frequently_Asked_Questions\" title=\"Frequently Asked Questions\">Frequently Asked Questions<\/a><\/li><\/ul><\/nav><\/div>\n<h2><span class=\"ez-toc-section\" id=\"What_Exactly_is_Form_INC-20A\"><\/span><b>What Exactly is Form INC-20A?<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><b>Form INC-20A<\/b><span style=\"font-weight: 400\"> is a Declaration of Commencement of Business. It is a one-time filing that every company incorporated in India on or after 2nd November 2018 must complete before it starts any business activity or uses any share capital. It was introduced through an amendment to the Companies Act, 2013 under Section 10A. The idea behind it was straightforward. The government wanted to ensure that every company that raises share capital from its promoters actually deposits that money in the company bank account before starting operations. Too many shell companies were being incorporated with no real money behind them.<\/span><\/p>\n<p><b>Form INC-20A filing<\/b><span style=\"font-weight: 400\"> is essentially the company&#8217;s directors declaring to the Registrar of Companies that the subscribers to the Memorandum of Association have paid their share capital and that the funds are held in the company&#8217;s bank account. That is the core of it. Simple declaration. One-time filing. But skipping it has consequences that are anything but simple.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Who_Needs_to_File_Form_INC-20A\"><\/span><b>Who Needs to File Form INC-20A?<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400\">Every <\/span><a href=\"https:\/\/www.legalraasta.com\/private-limited-company-registration\/\"><span style=\"font-weight: 400\">Private Limited Company<\/span><\/a><span style=\"font-weight: 400\">, Public Limited Company, and <\/span><a href=\"https:\/\/www.legalraasta.com\/opc-registration-gurgaon\/\"><span style=\"font-weight: 400\">OPC incorporated<\/span><\/a><span style=\"font-weight: 400\"> in India on or after 2nd November 2018 must complete <\/span><b>Form INC-20A filing<\/b><span style=\"font-weight: 400\"> before commencing business.<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"You_do_NOT_need_to_file_Form_INC-20A_if\"><\/span><b>You do NOT need to file Form INC-20A if:<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">Your company was incorporated before 2nd November 2018<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">Your company does not have share capital (Section 8 companies registered for charitable purposes are exempt)<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400\">For everyone else, this is mandatory. No exceptions based on turnover, size, sector, or whether you have started actual operations or not.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"What_is_the_Deadline_for_Form_INC-20A_Filing\"><\/span><b>What is the Deadline for Form INC-20A Filing?<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400\">180 days from the date of incorporation shown on your Certificate of Incorporation. That is it. Six months from the day your company came into legal existence. Miss this window, and the late fees and penalty provisions kick in automatically. The 180 days is a hard deadline. There is no grace period built in after it. No automatic extension. If you are at day 175 and realise you have not filed, you need to move fast.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Documents_Required_for_Form_INC-20A_Filing\"><\/span><b>Documents Required for Form INC-20A Filing<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400\">The documentation is genuinely straightforward. This is not a complex multi-document filing.<\/span><\/p>\n<table>\n<tbody>\n<tr>\n<td>\n<p><b>Document<\/b><\/p>\n<\/td>\n<td>\n<p><b>Details<\/b><\/p>\n<\/td>\n<\/tr>\n<tr>\n<td>\n<p><span style=\"font-weight: 400\">Bank Account Statement<\/span><\/p>\n<\/td>\n<td>\n<p><span style=\"font-weight: 400\">Shows that subscribers have paid their share capital into the company account<\/span><\/p>\n<\/td>\n<\/tr>\n<tr>\n<td>\n<p><a href=\"https:\/\/www.legalraasta.com\/public-limited-company-registration\/\"><span style=\"font-weight: 400\">Certificate of Incorporation<\/span><\/a><\/p>\n<\/td>\n<td>\n<p><span style=\"font-weight: 400\">Proof of company existence and incorporation date<\/span><\/p>\n<\/td>\n<\/tr>\n<tr>\n<td>\n<p><span style=\"font-weight: 400\">DSC of Director<\/span><\/p>\n<\/td>\n<td>\n<p><a href=\"https:\/\/www.legalraasta.com\/digital-signature-dsc\/\"><span style=\"font-weight: 400\">Digital Signature Certificate<\/span><\/a><span style=\"font-weight: 400\"> of the director filing the declaration<\/span><\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p><span style=\"font-weight: 400\">The bank statement is the most important document. It must clearly show:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">The company name on the account<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">Deposits from each subscriber matching the amount of their share capital<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">The account was opened in the company&#8217;s name (not the director&#8217;s personal account)<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400\">If subscribers have not yet deposited their share capital, you cannot file <\/span><b>Form INC-20A<\/b><span style=\"font-weight: 400\">. The declaration specifically states that the money has been received. Filing it without the deposits in the account is fraud.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Step-by-Step_Form_INC-20A_Filing_Process\"><\/span><b>Step-by-Step Form INC-20A Filing Process<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400\">The entire process runs on the MCA21 portal at <\/span><a href=\"http:\/\/mca.gov.in\"><span style=\"font-weight: 400\">mca.gov.in<\/span><\/a><span style=\"font-weight: 400\">. No physical documents need to be submitted anywhere.<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"Step_1_Collect_the_company_bank_statement\"><\/span><b>Step 1: Collect the company bank statement<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400\">Get a bank statement or certificate from your banker confirming the receipt of share capital from all subscribers to the Memorandum of Association. The statement must cover the date of each deposit.<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"Step_2_Log_in_to_the_MCA21_portal\"><\/span><b>Step 2: Log in to the MCA21 portal<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400\">Use the company&#8217;s registered credentials. Go to the e-filing section and find Form INC-20A under the list of forms.<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"Step_3_Fill_in_the_form\"><\/span><b>Step 3: Fill in the form<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400\">The form itself asks for basic company details like CIN, company name, and incorporation date. Then it asks for confirmation that subscribers have paid share capital and requests the bank account details where the money was received.<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"Step_4_Attach_the_bank_statement\"><\/span><b>Step 4: Attach the bank statement<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400\">Upload the bank statement or banker&#8217;s certificate in PDF format. Make sure it is clear and shows the exact amounts received from each subscriber.<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"Step_5_Director_signs_with_DSC\"><\/span><b>Step 5: Director signs with DSC<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400\">The form must be signed digitally by one of the company&#8217;s directors using their valid DSC. If the DSC has expired, get it renewed before attempting to file.<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"Step_6_Pay_the_government_fee_and_submit\"><\/span><b>Step 6: Pay the government fee and submit<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400\">Pay the applicable fee through the MCA payment gateway. After submission, an SRN is generated. Save it. Track the filing status using this number.<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"Step_7_Download_the_acknowledgement\"><\/span><b>Step 7: Download the acknowledgement<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400\">Once the ROC processes the form, download the approval acknowledgement and keep it with your company&#8217;s statutory documents.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Government_Fees_for_Form_INC-20A_Filing\"><\/span><b>Government Fees for Form INC-20A Filing<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<table>\n<tbody>\n<tr>\n<td>\n<p><b>Share Capital of Company<\/b><\/p>\n<\/td>\n<td>\n<p><b>Normal Filing Fee<\/b><\/p>\n<\/td>\n<\/tr>\n<tr>\n<td>\n<p><span style=\"font-weight: 400\">Up to Rs 1,00,000<\/span><\/p>\n<\/td>\n<td>\n<p><span style=\"font-weight: 400\">Rs 200<\/span><\/p>\n<\/td>\n<\/tr>\n<tr>\n<td>\n<p><span style=\"font-weight: 400\">Rs 1,00,001 to Rs 4,99,999<\/span><\/p>\n<\/td>\n<td>\n<p><span style=\"font-weight: 400\">Rs 300<\/span><\/p>\n<\/td>\n<\/tr>\n<tr>\n<td>\n<p><span style=\"font-weight: 400\">Rs 5,00,000 to Rs 24,99,999<\/span><\/p>\n<\/td>\n<td>\n<p><span style=\"font-weight: 400\">Rs 400<\/span><\/p>\n<\/td>\n<\/tr>\n<tr>\n<td>\n<p><span style=\"font-weight: 400\">Rs 25,00,000 to Rs 99,99,999<\/span><\/p>\n<\/td>\n<td>\n<p><span style=\"font-weight: 400\">Rs 500<\/span><\/p>\n<\/td>\n<\/tr>\n<tr>\n<td>\n<p><span style=\"font-weight: 400\">Rs 1,00,00,000 and above<\/span><\/p>\n<\/td>\n<td>\n<p><span style=\"font-weight: 400\">Rs 600<\/span><\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p><span style=\"font-weight: 400\">These fees apply when you file within the 180-day deadline. Late filing attracts additional fees on top of these.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Late_Filing_Fees_for_Form_INC-20A\"><\/span><b>Late Filing Fees for Form INC-20A<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<table>\n<tbody>\n<tr>\n<td>\n<p><b>Delay Period<\/b><\/p>\n<\/td>\n<td>\n<p><b>Additional Fee<\/b><\/p>\n<\/td>\n<\/tr>\n<tr>\n<td>\n<p><span style=\"font-weight: 400\">Up to 30 days late<\/span><\/p>\n<\/td>\n<td>\n<p><span style=\"font-weight: 400\">2 times normal fee<\/span><\/p>\n<\/td>\n<\/tr>\n<tr>\n<td>\n<p><span style=\"font-weight: 400\">31 to 60 days late<\/span><\/p>\n<\/td>\n<td>\n<p><span style=\"font-weight: 400\">4 times normal fee<\/span><\/p>\n<\/td>\n<\/tr>\n<tr>\n<td>\n<p><span style=\"font-weight: 400\">61 to 90 days late<\/span><\/p>\n<\/td>\n<td>\n<p><span style=\"font-weight: 400\">6 times normal fee<\/span><\/p>\n<\/td>\n<\/tr>\n<tr>\n<td>\n<p><span style=\"font-weight: 400\">91 to 180 days late<\/span><\/p>\n<\/td>\n<td>\n<p><span style=\"font-weight: 400\">10 times normal fee<\/span><\/p>\n<\/td>\n<\/tr>\n<tr>\n<td>\n<p><span style=\"font-weight: 400\">Beyond 180 days late<\/span><\/p>\n<\/td>\n<td>\n<p><span style=\"font-weight: 400\">12 times normal fee<\/span><\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p><span style=\"font-weight: 400\">A company with Rs 1 lakh share capital that files 90 days late pays Rs 200 normal fee plus Rs 1,200 in additional fees. Miss the 180-day window after the original deadline, and it goes to 12 times the normal fee plus the original amount.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"What_Actually_Happens_If_You_Skip_Form_INC-20A_Filing\"><\/span><b>What Actually Happens If You Skip Form INC-20A Filing?<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400\">This is where things get serious. Not filing <\/span><b>Form INC-20A<\/b><span style=\"font-weight: 400\"> is not just a fee issue.<\/span><\/p>\n<p><b>Section 10A(2) of the Companies Act, 2013 says:<\/b><\/p>\n<p><span style=\"font-weight: 400\">If a company does not file the declaration within 180 days of incorporation and the ROC has reasonable cause to believe it is not carrying on any business, the ROC can initiate action to remove the company&#8217;s name from the register of companies.<\/span><\/p>\n<p><span style=\"font-weight: 400\">In plain language, your company can be struck off.<\/span><\/p>\n<p><span style=\"font-weight: 400\">Beyond strike-off risk, every director of the company is liable for a penalty of Rs 50,000 under Section 10A. The company itself faces a penalty of Rs 50,000. These are separate. Both apply.<\/span><\/p>\n<p><b>What else goes wrong without Form INC-20A:<\/b><\/p>\n<ul>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">You cannot legally commence any business operations<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">You cannot borrow money or take loans in the company&#8217;s name<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">You cannot spend the subscribed share capital sitting in the company account<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">Any contracts signed without this filing are technically entered into before the company was authorised to operate<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">During due diligence for funding or acquisition, this gap will surface and can kill or delay a deal<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">Your annual compliance filings will show a gap that the ROC can question<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400\">The Pune founder in the introduction had signed client contracts, collected revenue, and paid employees all before completing this filing. Everything she did was legally risky because the company was not authorised to operate.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"What_If_You_Have_Already_Missed_the_Deadline\"><\/span><b>What If You Have Already Missed the Deadline?<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400\">File immediately. Today if possible.<\/span><\/p>\n<p><span style=\"font-weight: 400\">The MCA portal accepts late filings of <\/span><b>Form INC-20A<\/b><span style=\"font-weight: 400\"> with the additional fees listed above. As long as the ROC has not already initiated strike-off proceedings against your company, late filing is possible.<\/span><\/p>\n<p><span style=\"font-weight: 400\">If the ROC has sent a notice, respond to it and file the form simultaneously. A pending strike-off action does not automatically close once you file, but demonstrating compliance helps significantly.<\/span><\/p>\n<p><span style=\"font-weight: 400\">If your company has been struck off due to non-filing of INC-20A, the restoration process is more involved and requires a separate legal petition under Section 252 of the Companies Act.<\/span><\/p>\n<p><span style=\"font-weight: 400\">The lesson is simple. Do not wait. Every week of delay adds to the additional fee and keeps your company in a legally unauthorised state.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Common_Mistakes_With_Form_INC-20A_Filing\"><\/span><b>Common Mistakes With Form INC-20A Filing<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<ul>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">Assuming incorporation is the last step and business can start immediately<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">Directors depositing share capital into personal accounts instead of the company account<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">Filing the form before share capital deposits are reflected in the bank statement<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">Using an expired DSC when attempting to submit on MCA21<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">Not tracking the 180-day deadline and realising too late<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">Confusing the incorporation date with the date the certificate was received or printed<\/span><\/li>\n<\/ul>\n<h2><span class=\"ez-toc-section\" id=\"How_LegalRaasta_Helps_With_Form_INC-20A_Filing\"><\/span><b>How LegalRaasta Helps With Form INC-20A Filing<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400\">LegalRaasta handles <\/span><b>Form INC-20A filing<\/b><span style=\"font-weight: 400\"> as part of a complete post-incorporation compliance package:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">Tracking the 180-day deadline from your incorporation date<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">Confirming share capital deposits are correctly reflected in the company bank account<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">Preparing and uploading the complete filing on MCA21<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">Managing DSC requirements for directors<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">Downloading and storing the acknowledgement<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">Setting up reminders for all upcoming annual compliance deadlines so nothing gets missed again<\/span><\/li>\n<\/ul>\n<h2><span class=\"ez-toc-section\" id=\"Conclusion\"><\/span><b>Conclusion<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><b>Form INC-20A filing<\/b><span style=\"font-weight: 400\"> is the final step that actually authorises your company to start operating. Incorporation gives you a legal entity. This form gives that entity permission to do business. Missing it does not just mean a penalty. It means every contract, every transaction, and every rupee spent from the company account was done without legal authorisation. It is the kind of gap that surfaces during investor due diligence, loan applications, and ROC scrutiny at the worst possible moment.<\/span><\/p>\n<p><span style=\"font-weight: 400\">The form itself is simple. The documents are minimal. The fee is low when filed on time. There is no good reason to skip it or delay it. Connect with <\/span><b>LegalRaasta <\/b><span style=\"font-weight: 400\">today and get your Form INC-20A filing completed within the 180-day window so your company is legally authorised to operate from day one.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Frequently_Asked_Questions\"><\/span><b>Frequently Asked Questions<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<ol>\n<li><b> What is Form INC-20A and why is it needed?<\/b><\/li>\n<\/ol>\n<p><b>Form INC-20A filing<\/b><span style=\"font-weight: 400\"> is a Declaration of Commencement of Business under Section 10A of the Companies Act, 2013. It confirms to the ROC that subscribers have deposited their share capital in the company bank account. Without it, your company is not legally authorised to start operations, sign contracts, or use the share capital.<\/span><\/p>\n<ol start=\"2\">\n<li><b> What is the deadline for Form INC-20A filing?<\/b><\/li>\n<\/ol>\n<p><b>Form INC-20A filing<\/b><span style=\"font-weight: 400\"> must be completed within 180 days from the date of incorporation shown on your Certificate of Incorporation. There is no automatic grace period. Late filing attracts additional fees ranging from 2 times to 12 times the normal fee depending on how many days past the deadline you file.<\/span><\/p>\n<ol start=\"3\">\n<li><b> What documents are needed for Form INC-20A filing?<\/b><\/li>\n<\/ol>\n<p><b>Form INC-20A filing<\/b><span style=\"font-weight: 400\"> requires a bank account statement showing receipt of share capital from all subscribers, the <\/span><a href=\"https:\/\/www.legalraasta.com\/partnership-registration\/\"><span style=\"font-weight: 400\">Certificate of Incorporation<\/span><\/a><span style=\"font-weight: 400\">, and the Digital Signature Certificate of the filing director. The bank statement must clearly show deposits matching each subscriber&#8217;s share capital amount in the company&#8217;s bank account.<\/span><\/p>\n<ol start=\"4\">\n<li><b> What happens if Form INC-20A filing is not done?<\/b><\/li>\n<\/ol>\n<p><span style=\"font-weight: 400\">Skipping <\/span><b>Form INC-20A filing<\/b><span style=\"font-weight: 400\"> makes every director personally liable for a Rs 50,000 penalty and the company liable for a Rs 50,000 penalty under Section 10A. The ROC can also initiate strike-off proceedings to remove the company from the register if it believes no business is being carried on.<\/span><\/p>\n<ol start=\"5\">\n<li><b> Can I file Form INC-20A after the 180-day deadline?<\/b><\/li>\n<\/ol>\n<p><span style=\"font-weight: 400\">Yes. Late <\/span><b>Form INC-20A filing<\/b><span style=\"font-weight: 400\"> is accepted on the MCA21 portal with additional fees. The later you file, the higher the multiplier on the normal government fee. File as soon as possible after missing the deadline. If the ROC has already initiated strike-off proceedings, you need to respond to the notice and file simultaneously.<\/span><\/p>\n<ol start=\"6\">\n<li><b> Which companies are exempt from Form INC-20A filing?<\/b><\/li>\n<\/ol>\n<p><span style=\"font-weight: 400\">Companies incorporated before 2nd November 2018 are exempt from <\/span><b>Form INC-20A filing<\/b><span style=\"font-weight: 400\">. Section 8 companies registered for charitable purposes and having no share capital are also exempt. All other Private Limited Companies, Public Limited Companies, and One Person Companies incorporated after that date must file.<\/span><\/p>\n<ol start=\"7\">\n<li><b> What is the government fee for Form INC-20A filing?<\/b><\/li>\n<\/ol>\n<p><span style=\"font-weight: 400\">Normal <\/span><b>Form INC-20A filing<\/b><span style=\"font-weight: 400\"> fees range from Rs 200 for companies with share capital up to Rs 1 lakh to Rs 600 for companies with share capital of Rs 1 crore and above. Late filing multiplies these fees from 2 times for delays up to 30 days to 12 times for delays beyond 180 days after the original deadline.<\/span><\/p>\n<ol start=\"8\">\n<li><b> Can a company raise funding before Form INC-20A filing?<\/b><\/li>\n<\/ol>\n<p><span style=\"font-weight: 400\">No. A company that has not completed <\/span><b>Form INC-20A filing<\/b><span style=\"font-weight: 400\"> is not legally authorised to commence business or borrow money. Any investor due diligence will surface this gap, and most investors will not proceed until the declaration is filed and the company is in full compliance with Section 10A.<\/span><\/p>\n<ol start=\"9\">\n<li><b> What if share capital has not been deposited yet?<\/b><\/li>\n<\/ol>\n<p><span style=\"font-weight: 400\">You cannot complete <\/span><b>Form INC-20A filing<\/b><span style=\"font-weight: 400\"> until all subscribers have deposited their share capital in the company bank account. The declaration specifically states that the money has been received. Filing before the deposits are made is a false declaration and constitutes fraud under the Companies Act, 2013.<\/span><\/p>\n<ol start=\"10\">\n<li><b> How does LegalRaasta help with Form INC-20A filing?<\/b><\/li>\n<\/ol>\n<p><span style=\"font-weight: 400\">LegalRaasta tracks your 180-day deadline, confirms share capital deposits are correctly reflected in the company account, prepares and submits the complete <\/span><b>Form INC-20A filing<\/b><span style=\"font-weight: 400\"> on MCA21, manages DSC requirements, and downloads the acknowledgement so your company is legally authorised to operate without any compliance gaps from day one.<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Priya incorporated her edtech startup in Delhi in March 2025. Got the Certificate of Incorporation, printed it, framed it, and posted it on LinkedIn. Then she hired three people, signed her first school contract, and started collecting fees from students. Nobody told her about Form INC-20A filing. Six months later, her company secretary flagged it. Her [&hellip;]<\/p>\n","protected":false},"author":15,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[4336],"tags":[],"class_list":["post-36301","post","type-post","status-publish","format-standard","hentry","category-company-registration"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.3 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Form INC-20A Filing (2026): Risks of Starting Without It<\/title>\n<meta name=\"description\" content=\"Learn the critical consequences of skipping Form INC-20A Filing in 2026. 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