After Public Limited Company incorporation, next legal complication from ROC (Registrar of Companies) is annual compliances. It is mandatory for all Public Limited companies to file annual compliances on time as per dates defined by ROC. Failure in filing compliance on time leads to heavy penalties on business.
As per Company Law, every Public Limited Company needs to file annual compliances. Annual compliances for Public Limited Company fall under the Companies Act, 2013. Annual General meeting must be held once a year after 6 months from the end of financial year, but for newly incorporated Companies, the Annual General Meeting should be held within 18 months from date of incorporation or 9 months from the date of closing of financial year, whichever is earlier. Financial year starts from 1st of April and ends on 31st March.
Decision: Is annual compliance must for a public limited company?
It is mandatory for all public limited companies to file annual compliance and other tax-related returns. Failing which will lead to heavy penalties or your Company in Defaulter list of the ROC.