Introduction
Missing ROC (Registrar of Companies) filing deadlines is one of the most common compliance failures for Indian companies. The consequences range from monetary penalties to director disqualification and company strike-off.
Types of Penalties
Additional Filing Fees
MCA charges additional fees for late filing on a slab basis:
- Up to 15 days delay: 2x normal fees
- 15-30 days: 4x normal fees
- 30-60 days: 6x normal fees
- 60-90 days: 10x normal fees
- Beyond 90 days: 12x normal fees
Section 92 – Annual Return (MGT-7)
- Company: ₹50,000 + ₹100/day continuing default
- Every officer in default: ₹50,000 + ₹100/day
- Maximum cap: ₹5,00,000
Section 137 – Financial Statements (AOC-4)
- Company: ₹1,000/day (maximum ₹10,00,000)
- Managing Director/CFO: ₹1,00,000 + ₹100/day (max ₹5,00,000)
Director Disqualification Under Section 164(2)
If a company fails to file its annual returns or financial statements for a continuous period of 3 financial years, ALL directors of such company are disqualified from being appointed as directors in any company for a period of 5 years.
Company Strike-Off Under Section 248
The ROC can initiate removal of a company’s name from the Register if it has not filed annual returns or financial statements for 2 or more consecutive financial years.
Steps to Regularize
- File all pending returns with additional fees
- Apply for DIN reactivation if deactivated (₹5,000 fee)
- File application for condonation of delay if strike-off notice received
- Seek professional help for compounding of offences if prosecution initiated
Prevention is Better Than Cure
The cost of staying compliant is always less than the cost of non-compliance. Engage a Company Secretary firm like Deepa Sharma & Associates to ensure timely filings and avoid all penalties.