Due to the Covid-19 pandemic, the ministry of corporate affairs has reduced the compliance burden on the corporate sector which partially opened up the industry. MCA has received several representations to allow companies to provide an extension of AGM (Annual General Meeting) date for the financial year which is about to due on 30.09.2020.
Recently, CBDT has extended the due date for filing Income tax returns but there was no relaxation announcement given by Registrar of Companies for company annual compliances.
Extension of AGM Date
Due to the widespread of COVID-19 and social distancing measures and consequential restrictions, MCA has received several requests to allow companies to extend the AGM date for the financial year ended 31.03.2020.
The matter was earlier reviewed where MCA published the circular number dated 05.05.2020 regarding holding of AGM through video conferencing. However, holding AGM via video conferencing is not possible for everyone.
Accordingly, again MCA published the General Circular no. 28/2020 dated 17th August 2020 in which issued a clarification on the extension of AGM date beyond 30th September 2020 for the financial year ended as at 31.03.2020.
Note- The extension of the AGM date has granted for a maximum of 3 months.
Provisions of Companies Act, 2013 for holding AGM
|In Prime AGM company|
|In subsequent AGM of the company|
Key Aspects by MCA
The ministry of corporate affairs has discussed many aspects regarding the extension of AGM date –
- MCA has already provided a digital AGM program to all the Companies and issued vide General Circular No. 20/2020 which has clarified that Companies can hold AGM for the calendar year 2020 through video conferencing.
- Companies can voluntarily file an application for Extension of AGM date.
- With the concerned Registrar of Companies (despite availing the relaxations provided in the General Circular 20/2020)
- MCA has extended the due date for AGM by 29.09.2020.
- Also, the Registrar may extend the time by a period but not exceeding 3 months.
If you require any other guidance with respect to Company Annual compliance, please feel free to contact our business advisors at 8881-069-069.
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