Form 20A is a declaration that needs to be filed by the directors of the company at the time of the commencement of the business. It should be verified by a Chartered Accountant (CA) or Company Secretary (CS) or a Cost Accountant in practice.
On the 2nd of November, 2018 the Companies (Amendment) Ordinance 2018 was introduced, hence any company incorporated after this date will be required to file Form INC-20A. within 180 days from the date of incorporation of the company.
Important note: MCA has now provided an additional time limit of 180 days for filing of the aforesaid declaration. It means all the newly incorporated companies can file form INC-20A within a period of 360 days from the date of its incorporation.
Penalty for Form INC 20 A for Commencement of Business:
When a company appoints an auditor, it is under obligation to acknowledge the registrar of companies (ROC) about the appointment of auditor in a prescribed manner as per section 139 (1) of new companies act 2013. Form ADT-1 is used for this purpose.
Under Section 139 (1) of new companies act 2013, a company shall communicate the auditor of its appointment and at the same time, a notice of such appointment has to be filed with the registrar of companies within 15 days of this appointment. As per the rules, such notice regarding the auditor appointment is required to be filled in Form ADT 1 in MCA portal.
Through this article, we are trying to narrate you a brief understanding of form ADT-1. Here we go:
IN CASE OF NEW COMPANY INCORPORATION:- Form ADT-1 is required to be filed within 15 days from the first board meeting of the company which is required to be held in within 30 days of incorporation in which auditor is appointed by the board of directors of the company.
FOR EXISTING COMPANY:- Form ADT-1 should be filed by the company with the registrar of companies within 15 days of the AGM in which Auditor was appointed or reappointed as the case may be. For example, if the company’s AGM was conducted on 30 September 2020, then the company should file Form ADT-1 by 14th October 2020
Following is the list of documents which needs to be attached with Form ADT-1:
Late due date and filing penalty of ADT 1 form will lead to the imposition of the following penalties:
Other Important Points for ADT-1 Form
As per Company fresh start scheme 2020 all previous ADT-1on which late fee was applicable can be filed without paying late fees till 30th September 2020
E-filing of Form ADT-1