Active Company Tagging Identities and Verification (ACTIVE)

The Central Government, in exercise of the powers conferred by sub-section (9) of section 12 and sub-section (1) of section 469 of the Companies Act, 2013 (18 of 2013), notifies the Companies (Incorporation) Amendment Rules, 2019 to amend the Companies (Incorporation) Rules, 2014.

The Companies (Incorporation) Amendment Rules, 2019 has come into effect from 25th February, 2019. Rule 25A of Companies (Incorporation) Amendment Rules, 2019 has been newly inserted after Rule 25 of Companies (Incorporation) Rules, 2014.

Newly Inserted Rule 25A – Active Company Tagging Identities and Verification (ACTIVE)

Every company incorporated on or before the 31st December, 2017 shall file the particulars of the company and its registered office, in e-Form ACTIVE (Active Company Tagging Identities and Verification) on or before 25.04.2019.

Provided that any company which has not filed its due financial statements under section 137 or due annual returns under section 92 or both with the Registrar shall be restricted from filing e-Form-ACTIVE, unless such company is under management dispute and the Registrar has recorded the same on the register.

Provided further that companies which have been struck off or are under process of striking off or under liquidation or amalgamated or dissolved, as recorded in the register, shall not be required to file e-Form ACTIVE.

Consequences if the company does not file INC 22A within 25th April, 2019

In case a company does not intimate the said particulars, the Company shall be marked as “ACTIVE-non-compliant” on or after 26th April, 2019 and shall be liable for action under sub-section (9) of section 12 of the Act.

Provided also that no request for recording the following event based information or changes shall be accepted by the Registrar from such companies marked as “ACTIVE-non-compliant”, unless “E-Form ACTIVE” is filed-

  • SH-07 (Change in Authorized Capital);
  • PAS-03 (Change in Paid-up Capital);
  • DIR-12 (Changes in Director except cessation);
  • INC-22 (Change in Registered Office);
  • INC-28 (Amalgamation, de-merger)

 

Where the company files E-Form ACTIVE on or after 26th April 2019, the company shall be marked as “ACTIVE Compliant”, on payment of fee of ten thousand rupees.

Information Required to be submitted in E-Form INC 22A:

  • Name of the Company
  • Address of the Registered Office (Photo of the Registered Office also showing therein at least one Director(s)/KMP who has affixed his/her Digital Signature to this form is mandatory)
  • Latitude and Longitude of the Registered Office’s Address
  • Email of the Company for OTP
  • Names of directors, DIN and Status of DIN
  • Details of Statutory Auditor i.e. Name, Membership Number or Firm Registration Number, Period of appointment.
  • Details of Cost Auditor (same as that of Statutory Auditor), if any appointed by the Company.
  • Details of MD, CEO, WTD, Manager, CFO (Name, DIN/PAN, Designation)
  • Details of Company Secretary (Name, PAN, Membership Number)
  • Details of Annual Filing of Financial Statements for F.Y 2017-18 i.e. SRN Numbers of the E-form AOC-4/AOC-4 XBRL and MGT-7.

INTRODUCTION OF NEW GST FORMS – NORMAL, SAHAJ & SUGAM

 

The Central Board of Indirect Taxes and Customs which is the apex authority of Indirect taxation in India has recently announced new forms namely GST Return (Sahaj), GST Return (Sugam) and GST Return (Normal) for monthly/quarterly filing of GST returns by businesses having an annual turnover of up to Rs. 5 crore. These forms (uploaded in pdf format on the GST portal) will be available as a pilot project for use by such organisations and firms from 1st April, 2019. However, the current GST return Filing Forms such as GSTR 1 (description of total outward supplies), GSTR 2A (purchase report), GSTR 3B (summary of Input-output and payment of net tax liability) will be in existence along with the new forms.

The new forms would be mandated from 1st July, 2019 according to the decisions of GST Council.

 

What was the Need of Introducing New GSTR Forms??

The new GSTR forms are introduced in order to reduce the hassles of the small businesses (having annual turnover of up to Rs. 5 crore) from filing separate returns such as GSTR 1 (sale return) and GSTR 3B (summary of input-output and payment of net tax liability) and reconciliation of purchases from GSTR 2A (auto populated).

After the introduction of three new forms GSTR Sahaj, GSTR Sugam and GSTR Normal, registered individuals/businesses will no longer need to file GSTR 1 and GSTR 3B separately.

The taxpayers up to an annual turnover of Rs. 5 crores would have an option to file any of the three forms from the newly introduced Sahaj, Sugam and Normal GSTR Forms. The various annexures such as Form GST ANX 1 for outward supplies, imports and inward supplies attracting reverse charge and Form GST ANX 2 for inward supplies are attached with the Newly Introduced GSTR Forms.

Who should opt for which GSTR Form??

GSTR Normal Return (FORM GST RET – 1) – Taxpayers who must declare all types of outward supplies, inward supplies and take credit on all invoices (including missing invoices). These forms can be used by the taxpayers for monthly as well as quarterly GST return filing.

GSTR Sahaj Return (FORM GST RET – 2) – Taxpayers who have incurred supply only under B2C category and inward supplies attracting reverse charge mechanism. Such taxpayers cannot make supplies through e-commerce operators on which tax is required to be collected under section 52. Such tax payers shall not take credit on missing invoices and shall not be allowed to make any other type of inward or outward supplies. However, such taxpayers may make Nil rated, exempted or Non-GST supplies which need not be declared in the said return.

GST Sugam Return (FORM GST RET – 3) – Taxpayers who have incurred outward supply both under B2C and B2B Category and inward supplies attracting reverse charge only. Such taxpayers cannot make supplies through e-commerce operators on which tax is required to be collected under section 52. Such taxpayers shall not take credit on missing invoices and shall not be allowed to make any other type of inward or outward supplies. However, such taxpayers may make Nil rated, exempted or Non-GST supplies which need not be declared in said return.

Points to be taken into consideration before choosing GSTR Form:

  • Periodicity of filing return will be deemed to be monthly for all taxpayers unless quarterly filing of the return is opted for.

  • For newly registered taxpayers, turnover will be considered as zero and hence they will have the option to file monthly, Sahaj, Sugam or Quarterly (Normal) return.

  • Change in periodicity of the return filing (from quarterly to monthly and vice versa) would be allowed only once at the time of filing the first return by a taxpayer.

  • The periodicity of the return filing will remain unchanged during the next financial year unless changed before filing the first return of that year.

  • The taxpayers opting to file quarterly return can choose to file any of the quarterly return namely – Sahaj, Sugam or Quarterly (Normal).

  • Taxpayers filing return as Quarterly (Normal) can switch over to Sugam or Sahaj return and taxpayers filing return as Sugam can switch over to Sahaj return only once in a financial year at the beginning of any quarter.

  • Taxpayers filing return as Sahaj can switch over to Sugam or Quarterly (Normal) return and taxpayers filing return as Sugam can switch over to Quarterly (Normal) return more than once in a financial year at the beginning of any quarter.