Section 8 Company Compliance
All Section 8 Company Companies are required to submit the Section 8 Compliance with the Ministry of Corporate Affairs in accordance with the Companies Act of 2013. The major reason for founding Section 8 Company is to support, nurture, and encourage endeavors in the fields of science, art, athletics, charity, business, and so forth. The category of Non-Governmental Organizations includes Section 8 Companies. These businesses appreciate being referred to as "Limited Companies," but the word "Limited" is not put to the end of the company name. In summary, Section 8 businesses seek to support India's underserved populations and sectors. These corporations are ineligible to pay partners or members a dividend or an income.
The Advantages of Section 8 Company Compliance
The following documents are required for Section 8 Company's annual compliances:
List of requirements for Section 8 business compliance
- Appointment Of Auditor
It is mandatory for a Section 8 company to place an auditor to check and maintain their financial recordings and statements every year.
- Conduct Board Meeting
Board meeting of the company should be conducted twice a year and the gap between the two board meetings should not be more than 3 months or 90 days.
- Income Tax Return Filing
Section 8 company are needed to file for IT Returns on or before 30th September of the preceding fiscal year. In order to give complete details of the company’s income, and it is mandatory to file for Income Tax return for the company. In case, the company is registered under Section 12A and 80G, then it can use the advantage of tax exemption.
- Filing Of Financial Return With RoC
E-form AOC-4 is used to submit the copy of financial reports and statements. It has to be filed within a month or 30 days from the date on which the annual general meeting is conducted.
- Conduct an Annual General Meeting
Annual General Meeting of this type of Company should be conducted yearly on or before 30th September. It is mandatory for all the directors, shareholders, members, and auditors to be present in the meeting. The formal notice regarding the meeting has to be sent all concerned members within 21days notice. Form MGT-15 is used to file the report of the Annual General Meeting and has to be submitted within a month or 30 days of conducting the meeting.
- Filing of Annual Return with RoC
Form MGT-7 is a form which has to be file the annual return of the section 8 company. The annual return has to be filed within 60 days from the date of the Annual General Meeting is held. If there is no Annual General Meeting is held in a year, then the yearly return should be recorded within sixty days from the time period or days on which the yearly General Meeting should have been held and it is 30 September.
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