Compliances after Incorporation of Private Limited Company

Compliances after Incorporation of Private Limited Company

If you have just registered a Private Limited Company, then the most important step is to understand the post-incorporation compliances and complete them on time. Otherwise you may have to face penalty, late fees or even legal notice.

In this blog, we will talk about those important compliances which every Pvt Ltd company should complete after incorporation.

1. Company Letterhead, Name Board & Company Seal
There should be a company name board at every registered office.CIN (Corporate Identification Number) should be mentioned in letterheads, invoices, quotations.It is necessary to prepare the official seal 
of the company for legal documents.

2. PAN & TAN Application
Immediately after incorporation, PAN and TAN is applied through MACA.

3. Bank Account Opening
A current account has to be opened in the name of the company.Minimum capital contribution has to be transferred to the shareholders as per MOA.

4. Commencement of Business (INC-20A Filing)

• Form INC-20A has to be filed within 180 days of company incorporation.
• This form is filed online on the portal of Ministry of Corporate Affairs (MCA).
• This indicates that you have officially started your business activity.

 5. GST Registration (if applicable)
If your company supplies goods or services and crosses the annual turnover limit (₹20/40 lakh), then GST registration is compulsory.

It is also mandatory for e-commerce sellers.

 6. Accounting & Bookkeeping System Setup
You have to create a proper bookkeeping system in which you record all financial transactions.

It would be best to take the help of a professional accountant or CA.

 7. Auditor Appointment (ADT-1 Filing)
The company has to appoint a statutory auditor within 30 days of incorporation.

This appointment is filed with MCA through Form ADT-1.

8. Maintain Statutory Registers & Minutes Books
The company has to maintain some mandatory registers such as:

Register of Members

Register of Directors

Minutes Book for Board Meetings & General Meetings

 9. First Board Meeting
The first board meeting has to be conducted within 30 days of incorporation.

Matters like auditor appointment, bank authorization, capital subscription are discussed in the meeting.

 10. Issuance of Share Certificates
The company has to issue share certificates within 60 days of incorporation.

Certificates have to be provided along with the signatures of directors and company secretary.

 11. Annual Compliances
Even though these come after post-incorporation, they are still important:

• Form AOC-4 – Financial statements have to be filed.
• Form MGT-7 – Annual return has to be filed.
• Board Meetings – have to be held minimum 4 times a year.
• Annual General Meeting (AGM) – One time every year is compulsory.

 Conclusion
After registering a Private Limited Company, there are many legal compliances that have to be completed. Ignoring or delaying them can be costly. You should work together with a trusted CA or compliance consultant so that your company is fully compliant and can operate smoothly.