According to the ComPANies Act, 2013, compliances for a private limited Company in India, have to be done in adherence to the laws, regulations and guidelines. The ROC, also known as the Registrar of ComPANies, is that sector of the Ministry of Corporate Affairs responsible for handling the compliance of every Company or firm that falls within its jurisdiction.
The XBRL is a standardized communication language in electronic form for expressing financial statements or reports by the comPANies. Though it is only a method of presentation, the comPANies have to file them under section 137 of the ComPANies Act, 2013.
Any Company which fulfils the following criteria has to file annual compliance. The following are the conditions:
- All public comPANies who have been listed in a stock exchange in India, and their respective subsidiaries.
- Any Company which has an annual turnover of Rs. 100 crores or more
- Any Company which has a paid-up capital up to 5 crores or more.
- All comPANies which have to prepare their financial statements in accordance with ComPANies (Indian Accounting Standards) Rules, 2015 except insurance comPANies, banking comPANies, power comPANies and NBFCs
Guidelines to be kept in mind
The following are the guidelines which are to be kept in mind:
- Within 30 days of the incorporation of the firm, the Company has to appoint a CA or an auditor for the auditing of the financial documents.
- The balance sheet and profit & loss account have to be prepared at the end of the financial year.
- This is mandatory, to get his accounts to be audited by the CA.
All about the meeting pROCedure
There has to be a minimum of 4 meetings of the Board of Directors of the Company and a minimum of 2 meetings in case of a small Company. This meeting has to be done on a quarterly basis in every financial year.
Moreover, for a newly Incorporated Company, the Annual General Meeting has to be held within 18 months from the date of registration or 9 months from the date of closing of the financial year, whichever is earlier. After this, the meeting has to be held every 6 months prior to the ending of the financial year.