Compliance
Late filing under Section 403 adds ₹100 for each day a form is overdue, with no ceiling, so a dormant company can accrue thousands of rupees before the form is finally lodged, hurting cash flow and creditworthiness.
Check your DPDP readiness — free More on the blogThe first task is to list every document the Registrar expects from the company each financial year. Typical filings include the annual return (Form MGT‑7) and the financial statements (Form AOC‑4). Each form has its own statutory due date, usually within 60 days of the annual general meeting. Knowing exactly which forms are due prevents the mistake of assuming a single deadline covers all obligations.
Once the forms are identified, the board should set internal cut‑off dates well before the statutory deadlines. The finance manager or company secretary is usually tasked with gathering the data, while the chief executive signs off the final draft. Documenting these internal dates in the corporate calendar creates a clear audit trail and signals to the team when the filing process must start.
The designated officer collects the required financial statements, directors' details and shareholding patterns, then populates the statutory templates. Accuracy is crucial because any error can trigger a separate compliance breach. After the draft is ready, it is reviewed by the auditors, signed by the directors, and finally converted into the electronic format accepted by the Ministry of Corporate Affairs portal.
If the internal deadline is missed, the company must compute ₹100 for each day the form remains unfiled. The calculation is per form, so a delay on both MGT‑7 and AOC‑4 doubles the daily charge. The fee is payable online at the time of filing; the portal will not allow submission until the amount is settled. There is no upper limit, so the fee continues to grow until the form is finally lodged.
After filing, the company should keep a copy of the submitted form, the payment receipt for the late fee, and the internal memo that authorised the filing. Storing these records for at least eight years satisfies any future inspection by the Registrar or the income tax authority. Having the paperwork readily available also helps the board demonstrate that the delay was remedied promptly, limiting further penalties on the officers.
At the end of each financial year, the compliance team should review the timeline, note any delays and the associated costs, and adjust internal deadlines accordingly. This continuous improvement loop reduces the risk of the ₹100‑per‑day charge spiralling out of control and ensures that even dormant companies meet their filing obligations on time.
The fee is ₹100 for every calendar day a form remains unfiled after its statutory due date. The amount is calculated separately for each form, so two overdue forms generate two independent daily charges that add together.
No. Section 403 sets no ceiling on the total late‑filing fee. The charge continues to accrue each day until the document is actually filed, meaning the liability can become very large for prolonged delays.
Yes. The filing requirement applies regardless of whether the company has commenced business or generated revenue. Failure to file triggers the same daily fee as for an active company.
Keep the electronic copy of the filed form, the payment receipt for the late fee, and any internal approvals or minutes that authorised the filing. These documents should be retained for at least eight years for regulatory inspection.
Published 9 October 2026. Founder & CEO at VidhiSar. I have watched four companies pay for the same mistake, and it was never the mistake anyone expected. VidhiSar is software, not a law firm: every answer names the section it relies on so you can check it, and anything turning on your specific facts is worth putting to a professional. More about who builds this
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