Commencement of Business Certificate
As per Companies (Amendment) Ordinance 2018, obtaining Certificate of Commencement of Business is mandatory for every Company within 180 days of incorporation. A director has to declare that every subscriber to the memorandum has paid the value of shares agreed to be taken by him/her on the date of making such declaration.
Penalty
Levied on Company: A Penalty of Rs. 50,000/-
Levied on the all officers in default : A penalty of Rs. 1,000/- per day of default up to Rs. 1 Lakh
Company Strike Off
After 180 days from incorporation, the Registrar may remove the name of the company from the register of companies if the Registrar has enough reasons to believe that the company is not carrying out any operations.
Fee for obtaining Commencement of Business Certificate
|
Nominal Share Capital |
Fees applicable |
|
No Share Capital |
Rs. 200 |
|
Less than 1,00,000 |
Rs. 200 |
|
From 1,00,000 to 4,99,999 |
Rs. 300 |
|
From 5,00,000 to 24,99,999 |
Rs. 400 |
|
From 25,00,000 to 99,99,999 |
Rs. 500 |
|
1 Crore or more |
Rs. 600 |
Form to be submitted
Form INC-20A (Declaration for commencement of business) is to be filed with the Registrar of Companies and it shall be processed in a Straight Through Process (STP).
Attachments
-
Subscribers Proof of payment for value of shares
-
Certificate of registration issued by RBI (only in case of NBFCs)
-
Certificate of Registration issued by other regulatory bodies (only in case the affairs are regulated by those bodies)