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Annual Compliance of Public Limited Company

Public Companies have a big list of compliances to be met throughout the year. But Don’t Worry ! We have got your back. To know more contact us Now!!

    public limited company

    Public Limited Company

    A public limited company is a company which can raise capital through issue of shares to the general public. Now since public is involved, annual compliances become more stringent in case of such companies. A public company must have a minimum of 3 directors and 7 members. However, there is no limit on the maximum strength.

    Annual Return

    Every Public Limited company registered under The Companies Act, 2013 has to mandatorily file its annual return in Form MGT-7 within 60 days of the date of holding the Annual General meeting.

    Annual General Meeting

    Every Public limited company must hold its Annual General meeting for adopting the audited Financial Statements and taking other important decisions, as required. The First Annual General Meeting must be held within 18 months from date of incorporation or 9 months from the date of closing of financial year, whichever is earlier. Subsequent Annual General Meetings should be held within 6 months from the end of that financial year.

    Income tax Return

    Every company must file its Income Tax return irrespective of turnover. Even the dormant companies have to file their income tax returns annually. The due date for filing income tax return for a company is on or before the 30th of September. A Company has to electronically file its Income tax Return using ITR 6 at the income tax website. Such form needs to be digitally signed by the authorized director.

    Financial Statements

    Every Public Limited company registered under The Companies Act, 2013 has to mandatorily file its Financial Statements in Form AOC-4 within 30 days from the date of AGM.

    DIR-3 eKYC

    DIR-3 eKYC form must be filed for all the Directors of the company. In DIR-3 eKYC filing, the Director must provide and verify a unique personal mobile number and personal email address. Failure to file DIN eKYC attracts a penalty of Rs.5000 per DIN.

    Secretarial Audit Report in Form MR-3

    • i.Every listed public company, or,
    • ii.Every unlisted public companyhaving a paid-up share capital of fifty crore rupees or more, or,
    • iii.Every unlisted public company having a turnover of two hundred fifty crore rupees or more, or,
    • iv.Every company having outstanding loans or borrowings from banks or public financial institutions of one hundred crore rupees or more

    Has to submit a secretarial audit report in Form MR-3 duly certified by a company secretary in practice as an annexure to its Board Report prepared under section 134(3).

    Note: For reckoning the criteria for the applicability of MR-3, the paid up share capital, turnover, or outstanding loans or borrowings as the case may be, existing on the last date of latest audited financial statement shall be taken into account.

    Annual Compliances under all Rules and Regulations associated with SEBI

    The Securities and Exchange Board of India (SEBI) is the regulatory body for dealing with all matters related to the development and regulation of securities market in India. It was formedto safeguard the interests of investors and to regulate capital market with suitable measures.

    Since public Limited companies issues shares to the general public, it is always under strict surveillance of SEBI in order to safeguard shareholder’s wealth. There are various rules and regulations of SEBI relating to Minimum Listing Requirements for New Companies, Delisting/ Relisting of companies, allotment of securities, trading permission, maintenance of security deposit, and payment of listing fees etc. which public companies have to adhere to.

    Form MGT-14 for Adoption of Financials and Director's Report

    Public companies have to file with ROC a list of resolutions and agreements that were taken up at the meeting of the Board, Shareholders or Creditors. MGT-14 must be filed within a period of 14 days from the date of resolution being passed or agreement being entered into.

    Form MGT-15 regarding an exclusive report on the Annual General Meeting (AGM) of the company

    Public companies have to file with ROC a report on Annual General Meeting within 30 days from the date of conclusion of the Annual General Meeting. The report shall provide a confirmation that the meeting was convened, held and conducted as per the provisions of the Act and the rules.