There are various privileges that has been provided to a company upon its registration, but a company registered under Companies Act, 2013 has certain obligation also, which has to be complied with within the time stipulated under the Act, defaulting which may lead to the hazardous consequences.
Today we will discuss the consequences of non filing of financial statement and Annual Return of the company with the registrar of companies in form AOC-4 and MGT-7 respectively.
By saying the Latest penal provisions it is clear that the penalties payable under the act for default in complying with the provisions applicable has been revised to a great extent.
From 1st July, 2018 significantly higher penalties will be payable on the same default.
Table of delay and consequencial penalties has been shown below:
| Period of Delay | Proposed Penalty | |
| Upto 15 days (sections 93,139 and 157) | Upto Rs.3000 | |
| More than 15 days and upto 30 days (Sections 93, 139 and 157) and upto 30 days in remaining forms. | Upto Rs.6000 | |
| More than 30 days and upto 60 days | Upto Rs.12000 | |
| More than 60 days and upto 90 days | Upto Rs.18000 | |
| More than 90 days and upto 180 days | Upto Rs.36000 | |
| More than 180 days and upto 270 days | Upto Rs.54,000 | |
| Delay beyond 270 days | Rs. 100 per day per form |
Hence, all the Stakeholders who are holding stakes in the Companies are advised to hereby go through the new penal provisions before making a default in complying with the aforesaid provisions.
Therefore, having a penalty for Rs. 200 per day for two forms for more than one year can easily go into lakhs which Is a significantly higher amount.
Other notable provisions
As per section 403 of the Companies Act, 2013 with additional fee, the company shall be punishable with fine which shall not be less than ₹50,000/- but which may extend to ₹5,00,000/- and every officer of the company who is in default shall be punishable with imprisonment for a term which may extend to six months or with fine which shall not be less than ₹50,000/- but which may extend to ₹5,00,000/-, or may be both