Does Annual Filing required where there is a cease in business operations

Section 248 read with the Rules  clearly specifies about doing annual filings in case of cease of business operations.

As per Rule 4 – Every company should adhere to section 137 and 92 and file the financial statements till it cease to carry its business operations.

Therefore, every company after ceasing the business operations, which means after the financial year in which there is no business, need not filed the financial statements and can make an application for striking off its name from the Register of Members.

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Removal of Name of Company

Practical aspects for Closure of Company:-

  1. Check all the Compliance and Annual Filing have been done like filing of Income Tax Return, Closure of Bank Account and GST Registration etc.
  2. Attache Bank Closure Letter along with other closure certificates with STK-2.
  3. Statements of Account must not be older then 30 days from General Meeting.
  4. At MCA V3 Portal it is also asking for SRN of MGT-14 as Mandatory, accordingly filing of MGT-14 is mandatory.
  5. At MCA V3 Portal Statement of Accounts needs to be attached in excel file as mandatory attachment.

 

Plain simple English and the art of drafting legislation and agreements

Influenced by the British legal system, the Indian drafting, of legislation or otherwise, is also a product of its time and generally retains the more formal, complex, and sometimes the archaic tone. The Victorian touch is quite evident in many pieces of the legislation. Archaic phrases and peppered with liberal dose of jargons, sentences can be long and convoluted. However, the Plain English campaigners in the UK were somewhat influential in getting the legal profession or at least the draftsmen, to recognise the importance of clear and concise communication in legal documents, and therefore, the use of plain simple English.

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