Companies Fresh Start Scheme 2020
The Ministry of Corporate Affairs (MCA) has introduced a new scheme called the “Companies Fresh Start Scheme 2020” to help companies make good on any default in filing, irrespective of duration of default, and make a fresh start as a fully compliant entity. This scheme is similar to the LLP Settlement Scheme, 2020 – wherein a one-time opportunity was provided for all LLPs to regularise overdue compliances without any penalty.
As the name of the scheme suggests it is a one time opportunity for the companies to do due diligence to find out if there is any lapse in the filing of any document, statement or return to the ROC.
The scheme is available to all defaulting companies which has not filed any form to the ROC within its due date and thus has defaulted under the Companies Act, 2013. This scheme is available to all companies irrespective of its type.
Every document, statement or returns as prescribed under the companies act have a prescribed due date. When a company fails to file the ROC Forms/Returns the same can be filed with an additional fee as per section 403 of the act. The additional fee for default in filing the annual return is Rs. 100 per day. Under this scheme, the additional fee, as well as penalty, has been completely waived off.
If your company has defaulted in filing any ROC Return, don't miss this opportunity and take maximum advantage of it. Act fast and file the pending returns with normal ROC Filing Fee. We can help you to check ROC Due Diligence of your company without any charges.
A Company after filing all its pending forms, documents, statement, and returns need to make an application in the prescribed form within six months of the close of this scheme. It means the last date of filing an immunity application under CFSS 2020 will be 31st March 2021.
As per General Circular No 12/2020, the Company Fresh Start Scheme shall come to an end on 30th September 2020. After the scheme is closed the fee for filing shall return to its ordinary form as per section 403 of the Companies Act.