Form MGT-7 is an electronic form introduced by the Ministry of Corporate Affairs for every registered company in India to file their annual returns to the ROC which in return saves the data electronically.
It is mandatory for every company registered with MCA whether private, public or OPC have to file their annual returns through Form MGT-7.
Every company at the closing of their financial year have to file their annual returns containing the particulars to ROC by filing form MGT-7 along with the following details:
While filing the Form MGT-7, there are a certain set of documents which are needed to be attached along with the prescribed form
It is mandatory for companies to file the Form MGT-7 within 60 days after holding the company’s annual general meeting. The fees for filing the company’s annual returns are based on the share capital of the company.
When the company surpasses the due date of filing the form then it is required to pay an additional fee in addition to a normal fee which is calculated on the no. of days of delay
Under section 92(5) of Companies Act, 2013 if a company fails to file its annual returns within the prescribed time limit then the company under section 403 shall be liable to additional fee along with a punishable fine which may extend from INR 50,000 to INR 5,00,000. Plus the officer in charge who is in default shall be sentenced to imprisonment which can extend up to 6 months with the fine.
Also under section 92(6), if a company secretary in practice certifies the annual returns which are not in confirmation with the requirements laid down by the Companies Act, then he shall be punishable with the fine extending from INR 50,00 to INR 5,00,000.