Post Incorporation Compliance of Private Limited Companies

Post Incorporation Compliance of Private Limited Companies. With the incorporation of a Private Limited Company in India, several other registrations and approvals are now streamlined into a single integrated process. As part of the government’s Ease of Doing Business (EODB) initiative, multiple statutory registrations have been consolidated under a unified system, allowing businesses to apply for them simultaneously through the Ministry of Corporate Affairs (MCA) online portal.
The SPICe+ (Simplified Proforma for Incorporating Company Electronically Plus) platform, introduced by the MCA, enables applicants to obtain various essential registrations such as PAN, TAN, and GSTIN at the time of company incorporation itself. This integrated filing system significantly simplifies the compliance process and accelerates the time it takes to start a business in India.
                          Incorporation is one process to get the Registration certificate but post incorporation many other mandatory compliances need to be done. Post incorporation startups in India should prioritize the mandatory compliances or statutory compliances required under the companies Act.
In addition to these mandatory compliances, startups should also focus on other important compliances such as statutory compliances like maintaining proper books of accounts, conducting regular board meeting and annual general meetings, and filing annuals returns and income tax returns on time.
Bonus Points: Startups should ensure that they adhere to these compliances to avoid penalties, fines, and legal repercussions, and to maintain their legal and regulatory compliance. Once a company is incorporated in India, there are various post-incorporation compliances that need to be fulfilled. After the incorporation of a company in India, there are several post-incorporation compliances that the company needs to adhere to. These compliances are mandatory in nature and failure to comply with them can result in penalties and legal consequences. 
Post- incorporation compliance in India after a Private Limited Company Registration: 
                                        
Opening of Bank Account
Once a Private Limited Company is incorporated, the first practical step is to open a current bank account in the company’s name. This account will be used for all financial transactions of the business. It is mandatory to deposit the initial share capital collected from the shareholders into this bank account. Without a functional bank account, the company cannot commence transactions, receive payments, or fulfil statutory declarations such as filing Form INC-20A. It also serves as an essential KYC and operational tool for financial discipline. 
Issue of Share Certificates
Every company is required to issue physical or digital share certificates to its shareholders within 60 days of incorporation, as per Section 56 of the Companies Act, 2013. A share certificate is legal proof of ownership and must include details such as the number of shares allotted, the face value, and the shareholder’s name. Issuing timely and valid share certificates ensures compliance and protects shareholder rights. Failure to issue share certificates on time can attract financial penalties and lead to compliance issues in future audits or funding rounds.
Appointment of Statutory Auditor 
A newly incorporated Private Limited Company must appoint its first statutory auditor within 30 days of incorporation. The appointment is made either by the Board of Directors or by the shareholders in a general meeting, if the board fails to do so. The auditor is responsible for examining the company's financial records and preparing audit reports in compliance with accounting standards and applicable laws. Timely appointment is crucial because the statutory auditor certifies the company’s financial health and is instrumental during tax filings, financial audits, and assessments.
Filing of Form INC-20A (Declaration of Commencement of Business) 
All companies with share capital are required to file Form INC-20A within 180 days from the date of incorporation. This form is a declaration confirming that the company has received the initial subscription money from its shareholders into the company's bank account. The form must be digitally filed with the Registrar of Companies (ROC) and is a pre-condition for commencing business activities or borrowing funds. If INC-20A is not filed within the prescribed time, the company becomes liable for penalties and may also face action under Section 10A of the Companies Act, including strike-off proceedings.
GST Registration (If Applicable) 
If the newly incorporated company is expected to have an annual turnover exceeding the threshold limit (Rs.40 lakhs for most states, Rs.20 lakhs for special category states) or is involved in interstate supply, e-commerce, or online business, it is mandatory to register under the Goods and Services Tax (GST). GST registration allows the company to legally collect GST from customers, file returns, and claim input tax credit. Even if not immediately applicable, businesses should evaluate the need for GST registration early to avoid compliance gaps and ensure smooth invoicing and tax reporting.
Professional Tax Registration 
Professional tax is a state-imposed tax that applies to salaried employees and business owners in certain states such as Maharashtra, Karnataka, Tamil Nadu, and West Bengal. If the company has employees or a physical office in such states, it must register for professional tax both as an employer and as an employee deduction. This ensures legal compliance with labour tax regulations and avoids fines for non-deduction or non-payment of dues. Registration is usually required within 30 days of hiring the first employee in a professional tax–applicable state.
Shops and Establishment License 
This license is issued by the local municipal corporation and is mandatory for all commercial establishments, including Private Limited Companies with an office or physical workplace. It governs working hours, conditions of employment, employee rights, and operational compliance. While requirements vary by state, registration is typically needed within 30 days of commencing operations. Obtaining this license helps the company stay compliant with local labour laws and supports hassle-free business inspections or renewals in the future.
First Board Meeting and Statutory Registers 
The company must conduct its first Board Meeting within 30 days of incorporation to discuss key matters like the appointment of auditors, opening of bank accounts, issue of share certificates, and the approval of initial resolutions. Additionally, the company must maintain statutory registers, such as the Register of Members, Register of Directors, and Register of Share Transfers, as prescribed under the Companies Act, 2013. These records ensure legal documentation of all corporate actions and serve as evidence during audits or legal proceedings.
Director Disclosures (Form MBP-1 and DIR-8) 
Each director of the company must disclose their interest in other entities and declare their eligibility to act as a director. Form MBP-1 captures details of companies, firms, or bodies corporate in which the director holds interest, while DIR-8 is a declaration that the director is not disqualified under Section 164 of the Companies Act. These disclosures must be taken in the first board meeting and annually thereafter. They promote transparency, prevent conflict of interest, and ensure the company’s governance practices are ethically sound.
Setting Up Accounting and Bookkeeping Systems 
Even in the initial phase, it is essential to establish a sound accounting system to maintain books of accounts, track cash flows, and ensure financial discipline. This includes choosing accounting software, appointing accountants, and preparing for periodic statutory filings such as GST returns, TDS, and annual returns. Proper bookkeeping not only aids in meeting compliance deadlines but also provides vital insights for decision-making, budgeting, and future funding requirements.
Compliance with other laws and regulations 
Apart from the Companies Act, 2013, a startup company must also comply with other applicable laws and regulations, such as the income Tax Act, 1961, and the Goods and Services Tax Act, 2017 including labour laws, environmental Laws and Competition Laws etc.
INC 22 (Situation of Registered Office) 
INC-22 is a form that needs to be filed with the Registrar of Companies (ROC) of India, as per the Companies Act, 2013. It is used to inform the ROC about the situation of the registered office of a company. At the time of incorporation, the cor5respondence address has been shown instead of the registered office address, the company needs to select the option to file INC- 22 within 30 days post incorporation, along with the requisite documents.
Why is Form INC- 22 Important?
Form INC-22 is a statutory form mandated under the Companies Act, 2013, and is filed with the Registrar of Companies (ROC) to officially notify the Ministry of Corporate Affairs (MCA) about the registered office address of a company. It serves as an essential compliance requirement, as the registered office acts as the legal point of contact for all government and statutory communications. This form is required to be filed in specific instances first, at the time of incorporation if the registered office address was not provided in the SPICe+ (Simplified Proforma for Incorporating Company Electronically Plus) form. Alternatively, if the address was not finalized during incorporation, the company must submit Form INC-22 within 30 days from the date of incorporation. Additionally, whenever there is a change in the existing registered office address, the company is obligated to file INC-22 within 15 days of the change to update its records with the MCA. Timely filing ensures legal compliance and avoids penalties or regulatory issues.

It serves as the official communication address for the company.

The registered office is where legal notices, ROC correspondence, and official documentation are sent.

Filing INC-22 ensures compliance with Section 12 of the Companies Act, 2013.

Non-filing or delay can result in penalties and legal consequences.

When to file Form INC-22?

Scenario

Time Limit

Registered office not finalized at the time of Incorporation

Within 30 Days from incorporation

Change of existing registered office

Within 15 days of such change

Documents required for filing Form INC-22  
Proof of Registered Office Address

Utility Bills: A copy of the latest utility bill (Electricity, Water, Gas, or Telephone) not older than two months.

Property Tax Receipt: A copy of the property tax receipt, if available.

No Objection Certificate (NOC)
If the registered office is rented or leased, a No Objection Certificate (NOC) from the landlord must be provided, indicating that the company is allowed to use the premises as its registered office.
Board Resolution
A Board Resolution passed by the company’s board of directors, approving the registered office address. This is mandatory for the filing.
Rent/Lease Agreement
If the office premises are rented or leased, attach a copy of the rent/lease agreement. This should mention the company's name as the tenant and the address as the registered office.
Digital Signature Certificate (DSC)
The form must be digitally signed by a director or authorized signatory of the company using a valid Digital Signature Certificate (DSC).
Certificate of Incorporation (if applicable)
If this form is being filed post-incorporation and the registered office address is being declared within 30 days, the Certificate of Incorporation must be attached. 
Filing of DIR-12 for Director Appointment
Filing of DIR-12 for Director Appointment is as follows: 
Form DIR-12 is an essential document under the Companies Act, 2013, which is filed with the Registrar of Companies (RoC) to officially record the appointment, resignation, or any change in the details of directors and key managerial personnel (KMP) of a company. 
When is Form DIR-12 Required?
Form DIR-12 must be filed within 30 days of the appointment, reappointment, or change in the director's details. This includes:

Appointment of new directors: When a new director is appointed to the board.

Change in the designation: If a director’s role changes, such as from a non-executive director to an executive director, or vice versa.

Resignation of directors: If a director resigns from the board, Form DIR-12 must be filed to notify the RoC of the change.

Reappointment: In cases of directors whose term is about to end and they are reappointed.

Importance of Filing Form DIR-12

Ensures Compliance with the Companies Act: Form DIR-12 ensures that the company’s record with the Registrar of Companies (RoC) remains up-to-date, thus maintaining compliance with the Companies Act, 2013. The law mandates that the company inform the RoC about any changes in the board composition in a timely manner.

Regulatory Requirement: Failure to file DIR-12 within the stipulated 30-day period attracts penalties. Late filing could result in fines imposed on the company, directors, and even officers in default.

Transparency and Good Governance: By submitting Form DIR-12, the company maintains transparency regarding its governance structure, showing external stakeholders, regulators, and investors that it has a proper framework for director appointments and removals.

Protects Director’s Rights and Legal Standing: When a new director is appointed, Form DIR-12 officially recognizes their position, making their appointment valid in the eyes of the law. The consent filed along with the form acts as proof that the director was aware of and agreed to take on the role.

Penalties for Non-Compliance
If the company fails to file Form DIR-12 within 30 days of the appointment or change, it is liable to pay a penalty. Under Section 447 of the Companies Act, 2013, if the delay is significant, penalties could go up to Rs.1,000 per day of delay (subject to a maximum of Rs.5,00,000).
Conclusion
Post-incorporation compliance is a aspect of running a private limited company in India. From obtaining necessary registrations, maintaining records, to filing mandatory forms with the Registrar of Companies (RoC), every task contributes to the legality, transparency, and operational efficiency of the business. Staying on top of these compliances not only avoids penalties and legal hurdles but also ensures the company’s smooth functioning in the long run. Engaging with a professional service provider or compliance expert can help streamline these processes and make business operations hassle-free. 
                                        
General Queries
Q1. What are the key post-incorporation compliance requirements for a Private Limited Company? 
Ans. After the incorporation of a Private Limited Company, the key post-incorporation compliance requirements include:

Appointment of directors and filing Form DIR-12.

Issuance of share certificates to the subscribers.

Commencement of business by filing Form INC-20A (if applicable).

Opening a bank account in the company’s name.

Maintaining statutory registers, such as the register of members, directors, and charges.

Filing of annual financial statements and holding Annual General Meetings (AGMs).

Q2. When should a Private Limited Company file its first financial statements and annual return? 
Ans. A Private Limited Company must file its first set of financial statements within 9 months from the end of the first financial year. For subsequent years, the company is required to file its financial statements and annual return with the Registrar of Companies (RoC) within 30 days from the date of the Annual General Meeting (AGM).
Q3. Is it mandatory for Private Limited Companies to hold an Annual General Meeting (AGM)? 
Ans. Yes, holding an AGM is mandatory for all Private Limited Companies under the Companies Act, 2013. The first AGM should be held within 9 months from the end of the first financial year, and subsequent AGMs must be held within 6 months from the end of each financial year. The AGM is essential for approving the financial statements and the appointment/reappointment of directors.
Q4. What are the penalties for failing to comply with post-incorporation compliance requirements? 
Ans. Failure to comply with post-incorporation compliance obligations can lead to penalties under the Companies Act, 2013. For example:

Failure to hold an AGM can result in a penalty of Rs.1,00,000 to Rs.5,00,000, with a further fine of Rs.1,000 to Rs.5,000 per day for continued non-compliance.

Late filing of financial statements or annual returns can incur late fees, which may vary depending on the delay duration.

Q5. What statutory registers must a Private Limited Company maintain after incorporation? 
Ans. A Private Limited Company is required to maintain several statutory registers, including:

Register of Directors and Key Managerial Personnel: A record of the company's directors, their personal details, and their roles.

Minutes Book: A record of the minutes of meetings held, including Board Meetings and AGM.

These registers must be updated regularly and kept at the company's registered office.

With the incorporation of a Private Limited Company in India, several other registrations and approvals are now streamlined into a single integrated process. As part of the government’s Ease of Doing Business (EODB) initiative, multiple statutory registrations have been consolidated under a unified system, allowing businesses to apply for them simultaneously through the Ministry of Corporate Affairs (MCA) online portal.

The SPICe+ (Simplified Proforma for Incorporating Company Electronically Plus) platform, introduced by the MCA, enables applicants to obtain various essential registrations such as PAN, TAN, and GSTIN at the time of company incorporation itself. This integrated filing system significantly simplifies the compliance process and accelerates the time it takes to start a business in India.

Incorporation is one process to get the Registration certificate but post incorporation many other mandatory compliances need to be done. Post incorporation startups in India should prioritize the mandatory compliances or statutory compliances required under the companies Act.

In addition to these mandatory compliances, startups should also focus on other important compliances such as statutory compliances like maintaining proper books of accounts, conducting regular board meeting and annual general meetings, and filing annuals returns and income tax returns on time.

Bonus Points: Startups should ensure that they adhere to these compliances to avoid penalties, fines, and legal repercussions, and to maintain their legal and regulatory compliance. Once a company is incorporated in India, there are various post-incorporation compliances that need to be fulfilled. After the incorporation of a company in India, there are several post-incorporation compliances that the company needs to adhere to. These compliances are mandatory in nature and failure to comply with them can result in penalties and legal consequences.

Post- incorporation compliance in India after a Private Limited Company Registration:

Opening of Bank Account

Once a Private Limited Company is incorporated, the first practical step is to open a current bank account in the company’s name. This account will be used for all financial transactions of the business. It is mandatory to deposit the initial share capital collected from the shareholders into this bank account. Without a functional bank account, the company cannot commence transactions, receive payments, or fulfil statutory declarations such as filing Form INC-20A. It also serves as an essential KYC and operational tool for financial discipline.

Issue of Share Certificates

Every company is required to issue physical or digital share certificates to its shareholders within 60 days of incorporation, as per Section 56 of the Companies Act, 2013. A share certificate is legal proof of ownership and must include details such as the number of shares allotted, the face value, and the shareholder’s name. Issuing timely and valid share certificates ensures compliance and protects shareholder rights. Failure to issue share certificates on time can attract financial penalties and lead to compliance issues in future audits or funding rounds.

Appointment of Statutory Auditor

A newly incorporated Private Limited Company must appoint its first statutory auditor within 30 days of incorporation. The appointment is made either by the Board of Directors or by the shareholders in a general meeting, if the board fails to do so. The auditor is responsible for examining the company's financial records and preparing audit reports in compliance with accounting standards and applicable laws. Timely appointment is crucial because the statutory auditor certifies the company’s financial health and is instrumental during tax filings, financial audits, and assessments.

Filing of Form INC-20A (Declaration of Commencement of Business)

All companies with share capital are required to file Form INC-20A within 180 days from the date of incorporation. This form is a declaration confirming that the company has received the initial subscription money from its shareholders into the company's bank account. The form must be digitally filed with the Registrar of Companies (ROC) and is a pre-condition for commencing business activities or borrowing funds. If INC-20A is not filed within the prescribed time, the company becomes liable for penalties and may also face action under Section 10A of the Companies Act, including strike-off proceedings.

GST Registration (If Applicable)

If the newly incorporated company is expected to have an annual turnover exceeding the threshold limit (Rs.40 lakhs for most states, Rs.20 lakhs for special category states) or is involved in interstate supply, e-commerce, or online business, it is mandatory to register under the Goods and Services Tax (GST). GST registration allows the company to legally collect GST from customers, file returns, and claim input tax credit. Even if not immediately applicable, businesses should evaluate the need for GST registration early to avoid compliance gaps and ensure smooth invoicing and tax reporting.

Professional Tax Registration

Professional tax is a state-imposed tax that applies to salaried employees and business owners in certain states such as Maharashtra, Karnataka, Tamil Nadu, and West Bengal. If the company has employees or a physical office in such states, it must register for professional tax both as an employer and as an employee deduction. This ensures legal compliance with labour tax regulations and avoids fines for non-deduction or non-payment of dues. Registration is usually required within 30 days of hiring the first employee in a professional tax–applicable state.

Shops and Establishment License

This license is issued by the local municipal corporation and is mandatory for all commercial establishments, including Private Limited Companies with an office or physical workplace. It governs working hours, conditions of employment, employee rights, and operational compliance. While requirements vary by state, registration is typically needed within 30 days of commencing operations. Obtaining this license helps the company stay compliant with local labour laws and supports hassle-free business inspections or renewals in the future.

First Board Meeting and Statutory Registers

The company must conduct its first Board Meeting within 30 days of incorporation to discuss key matters like the appointment of auditors, opening of bank accounts, issue of share certificates, and the approval of initial resolutions. Additionally, the company must maintain statutory registers, such as the Register of Members, Register of Directors, and Register of Share Transfers, as prescribed under the Companies Act, 2013. These records ensure legal documentation of all corporate actions and serve as evidence during audits or legal proceedings.

Director Disclosures (Form MBP-1 and DIR-8)

Each director of the company must disclose their interest in other entities and declare their eligibility to act as a director. Form MBP-1 captures details of companies, firms, or bodies corporate in which the director holds interest, while DIR-8 is a declaration that the director is not disqualified under Section 164 of the Companies Act. These disclosures must be taken in the first board meeting and annually thereafter. They promote transparency, prevent conflict of interest, and ensure the company’s governance practices are ethically sound.

Setting Up Accounting and Bookkeeping Systems

Even in the initial phase, it is essential to establish a sound accounting system to maintain books of accounts, track cash flows, and ensure financial discipline. This includes choosing accounting software, appointing accountants, and preparing for periodic statutory filings such as GST returns, TDS, and annual returns. Proper bookkeeping not only aids in meeting compliance deadlines but also provides vital insights for decision-making, budgeting, and future funding requirements.

Compliance with other laws and regulations

Apart from the Companies Act, 2013, a startup company must also comply with other applicable laws and regulations, such as the income Tax Act, 1961, and the Goods and Services Tax Act, 2017 including labour laws, environmental Laws and Competition Laws etc.

INC 22 (Situation of Registered Office)

INC-22 is a form that needs to be filed with the Registrar of Companies (ROC) of India, as per the Companies Act, 2013. It is used to inform the ROC about the situation of the registered office of a company. At the time of incorporation, the cor5respondence address has been shown instead of the registered office address, the company needs to select the option to file INC- 22 within 30 days post incorporation, along with the requisite documents.

Why is Form INC- 22 Important?

Form INC-22 is a statutory form mandated under the Companies Act, 2013, and is filed with the Registrar of Companies (ROC) to officially notify the Ministry of Corporate Affairs (MCA) about the registered office address of a company. It serves as an essential compliance requirement, as the registered office acts as the legal point of contact for all government and statutory communications. This form is required to be filed in specific instances first, at the time of incorporation if the registered office address was not provided in the SPICe+ (Simplified Proforma for Incorporating Company Electronically Plus) form. Alternatively, if the address was not finalized during incorporation, the company must submit Form INC-22 within 30 days from the date of incorporation. Additionally, whenever there is a change in the existing registered office address, the company is obligated to file INC-22 within 15 days of the change to update its records with the MCA. Timely filing ensures legal compliance and avoids penalties or regulatory issues.

It serves as the official communication address for the company.
The registered office is where legal notices, ROC correspondence, and official documentation are sent.
Filing INC-22 ensures compliance with Section 12 of the Companies Act, 2013.
Non-filing or delay can result in penalties and legal consequences.

When to file Form INC-22?

Scenario	Time Limit
Registered office not finalized at the time of Incorporation	Within 30 Days from incorporation
Change of existing registered office	Within 15 days of such change

Documents required for filing Form INC-22

Proof of Registered Office Address

Utility Bills: A copy of the latest utility bill (Electricity, Water, Gas, or Telephone) not older than two months.
Property Tax Receipt: A copy of the property tax receipt, if available.

No Objection Certificate (NOC)

If the registered office is rented or leased, a No Objection Certificate (NOC) from the landlord must be provided, indicating that the company is allowed to use the premises as its registered office.

Board Resolution

A Board Resolution passed by the company’s board of directors, approving the registered office address. This is mandatory for the filing.

Rent/Lease Agreement

If the office premises are rented or leased, attach a copy of the rent/lease agreement. This should mention the company's name as the tenant and the address as the registered office.

Digital Signature Certificate (DSC)

The form must be digitally signed by a director or authorized signatory of the company using a valid Digital Signature Certificate (DSC).

Certificate of Incorporation (if applicable)

If this form is being filed post-incorporation and the registered office address is being declared within 30 days, the Certificate of Incorporation must be attached.

Filing of DIR-12 for Director Appointment

Filing of DIR-12 for Director Appointment is as follows:

Form DIR-12 is an essential document under the Companies Act, 2013, which is filed with the Registrar of Companies (RoC) to officially record the appointment, resignation, or any change in the details of directors and key managerial personnel (KMP) of a company.

When is Form DIR-12 Required?

Form DIR-12 must be filed within 30 days of the appointment, reappointment, or change in the director's details. This includes:

Appointment of new directors: When a new director is appointed to the board.
Change in the designation: If a director’s role changes, such as from a non-executive director to an executive director, or vice versa.
Resignation of directors: If a director resigns from the board, Form DIR-12 must be filed to notify the RoC of the change.
Reappointment: In cases of directors whose term is about to end and they are reappointed.

Importance of Filing Form DIR-12

Ensures Compliance with the Companies Act: Form DIR-12 ensures that the company’s record with the Registrar of Companies (RoC) remains up-to-date, thus maintaining compliance with the Companies Act, 2013. The law mandates that the company inform the RoC about any changes in the board composition in a timely manner.
Regulatory Requirement: Failure to file DIR-12 within the stipulated 30-day period attracts penalties. Late filing could result in fines imposed on the company, directors, and even officers in default.
Transparency and Good Governance: By submitting Form DIR-12, the company maintains transparency regarding its governance structure, showing external stakeholders, regulators, and investors that it has a proper framework for director appointments and removals.
Protects Director’s Rights and Legal Standing: When a new director is appointed, Form DIR-12 officially recognizes their position, making their appointment valid in the eyes of the law. The consent filed along with the form acts as proof that the director was aware of and agreed to take on the role.

Penalties for Non-Compliance

If the company fails to file Form DIR-12 within 30 days of the appointment or change, it is liable to pay a penalty. Under Section 447 of the Companies Act, 2013, if the delay is significant, penalties could go up to Rs.1,000 per day of delay (subject to a maximum of Rs.5,00,000).

Conclusion

Post-incorporation compliance is a aspect of running a private limited company in India. From obtaining necessary registrations, maintaining records, to filing mandatory forms with the Registrar of Companies (RoC), every task contributes to the legality, transparency, and operational efficiency of the business. Staying on top of these compliances not only avoids penalties and legal hurdles but also ensures the company’s smooth functioning in the long run. Engaging with a professional service provider or compliance expert can help streamline these processes and make business operations hassle-free.

General Queries

Q1. What are the key post-incorporation compliance requirements for a Private Limited Company?

Ans. After the incorporation of a Private Limited Company, the key post-incorporation compliance requirements include:

Appointment of directors and filing Form DIR-12.
Issuance of share certificates to the subscribers.
Commencement of business by filing Form INC-20A (if applicable).
Opening a bank account in the company’s name.
Maintaining statutory registers, such as the register of members, directors, and charges.
Filing of annual financial statements and holding Annual General Meetings (AGMs).

Q2. When should a Private Limited Company file its first financial statements and annual return?

Ans. A Private Limited Company must file its first set of financial statements within 9 months from the end of the first financial year. For subsequent years, the company is required to file its financial statements and annual return with the Registrar of Companies (RoC) within 30 days from the date of the Annual General Meeting (AGM).

Q3. Is it mandatory for Private Limited Companies to hold an Annual General Meeting (AGM)?

Ans. Yes, holding an AGM is mandatory for all Private Limited Companies under the Companies Act, 2013. The first AGM should be held within 9 months from the end of the first financial year, and subsequent AGMs must be held within 6 months from the end of each financial year. The AGM is essential for approving the financial statements and the appointment/reappointment of directors.

Q4. What are the penalties for failing to comply with post-incorporation compliance requirements?

Ans. Failure to comply with post-incorporation compliance obligations can lead to penalties under the Companies Act, 2013. For example:

Failure to hold an AGM can result in a penalty of Rs.1,00,000 to Rs.5,00,000, with a further fine of Rs.1,000 to Rs.5,000 per day for continued non-compliance.
Late filing of financial statements or annual returns can incur late fees, which may vary depending on the delay duration.

Q5. What statutory registers must a Private Limited Company maintain after incorporation?

Ans. A Private Limited Company is required to maintain several statutory registers, including:

Register of Members: A record of the company’s shareholders and their shareholding details.
Register of Directors and Key Managerial Personnel: A record of the company's directors, their personal details, and their roles.
Register of Charges: A record of any charges or liens created on the company’s assets.
Minutes Book: A record of the minutes of meetings held, including Board Meetings and AGM.
Register of Contracts: A record of contracts entered into by the company with directors or related parties.