FORM INC 20A filing services

Understanding Form INC-20A

Form INC-20A serves as a declaration by a company’s directors, affirming that every subscriber to the memorandum has paid the value of the shares agreed upon. This filing is mandated under Section 10A of the Companies Act, 2013, and Rule 23A of the Companies (Incorporation) Rules, 2014. The primary objective is to ensure that companies commence business operations only after securing the necessary capital, thereby promoting transparency and accountability.

Form INC 20A filing services provided at K M Gatecha & Co LLP:

• Obtaining CIN number,
• DSC of director/s,
• Collection of documents,
• Filling e-form INC 20A,
• Submission of form INC 20A,
• Replying to any queries raised.

Our Process of FORM INC 20A:

• Collection of documents,
• Preparation of FORM 20A,
• Filling and filing of Form 20A,
• Submission of form,
• Obtaining certificate of commencement.

Eligibility criteria of Form INC 20A:

• Any company that has been incorporated after 2^nd November 2018 has to file INC-20A as per due date prescribed by Ministry of corporate affairs,
• Company should have share capital.

Documents required for filing INC-20A:

• Bank statement of Company as proof of payment by shareholders for the value of shares as mentioned in the Memorandum of association,
• Digital signature of Director,
• Company Identity number (CIN),
• Director identity number (DIN) if the digital signature on e-form is of a director,
• PAN card if the signing person is a secretary,
• Certificate of practice number if the person is a company secretary in whole-time practice,
• Declaration of board resolution by the company director as per section 10A of Companies Act 2013,
• Certificate of commencement (to be obtained within 180 days of incorporation and filed with the registrar of companies).

Other requirements:

• Registration or approval for any objects which require registration or support from regulator such as Reserve bank of India or Securities and Exchange Board of India,
• The form has to be verified and certified by practicing Company Secretary, Chartered Accountant or Cost Accountant be being filed with the Registrar of Companies.

Benefits of filing Form INC 20A:

• Easier to borrow capital,
• Authentication of business,
• Avoidance of fines and penalties.

Penalties or fines for non-compliance for Form INC 20A:

• Companies that do not file form INC 20A for commencement of business will be penalised for INR 50,000/-,
• Every officer who is responsible for filing FORM INC 20A will be charged a penalty of INR 1000/- for every delayed day (maximum up to INR 1,00,000/-),
• ROC can remove the company from registry for non-compliance of filing Form INC 20A.
• Company will not be able to commence business without filing Form INC 20A.

Importance of Filing Form INC-20A

Filing Form INC-20A is crucial for several reasons:

• Legal Compliance: Ensures adherence to the Companies Act, 2013, avoiding legal repercussions.
• Operational Authorization: Empowers the company to commence business activities and exercise borrowing powers legally.
• Credibility: Enhances the company’s credibility with stakeholders, including banks, investors, and regulatory authorities.
• Avoidance of Penalties: Timely filing helps in avoiding substantial fines and penalties imposed for non-compliance.

Procedure for Filing Form INC-20A

The process of filing Form INC-20A involves several steps:

1. Access the MCA Portal:
   • Visit the MCA portal.
   • Log in using valid credentials.
2. Download and Fill Form INC-20A:
   • Navigate to MCA Services > Company Forms Download.
   • Download Form INC-20A.
   • Accurately fill in the required details, including CIN, company name, and registered office address.
3. Attach Necessary Documents:
   • Upload the required documents as attachments.
4. Certification by a Professional:
   • The form must be verified and certified by a practicing Chartered Accountant (CA), Company Secretary (CS), or Cost Accountant.
5. Submit the Form:
   • Use the DSC of the authorized director to sign the form digitally.
   • Upload the form on the MCA portal and pay the requisite fees.
6. Acknowledgment:
   • Upon successful submission, an acknowledgment email is sent, and the status can be tracked on the MCA portal.