Don’t Make These ROC Compliance Mistakes & Remain Legally Safe
All Indian listed companies are required to adhere to the ethos of compliance with law, including ROC filing. These filings are neglected by all but a few companies and result in legal complications and penalties as a reward. They are some of the frequent blunders along with how to avoid them:
1. Ignorance Regarding What ROC Filing Means
ROC filing means providing financial statements, annual statements, and other mandatory reports to the state.
Avoidance: Understand what filing your business type would mean and prepare the documents beforehand.
2. Assuming ROC Filing is for Large Firms
Small firms alone assume that ROC filing is for large firms, while it is for all registered firms.
How to Avoid: If your firm is a Private Limited, LLP, or OPC, file ROC timely.
3. Failure to Meet ROC Filing Deadlines
Late filing causes enormous penalties and compliance problems.
Prevention: Highlight deadlines and remind yourself to file on time.
4. Filing Incomplete or Misleading Information
Filing defective financial reports or annual reports invokes inquiry and fines.
Preventive Steps: Verify all information prior to submission and hire a professional if needed.
5. Overlooking MCA Announcements
New rules and deadlines are published, but most companies fail to keep them up to date in an efficient manner.
Methods to Avoid: Monitor announcements made by MCA or hire a consultant to keep up with compliance.
6. Assuming ROC Filing Is a One-Time Task
Some companies believe that they have to file ROC documents once, but it is a recurring process.
How to Avoid: Realize that ROC filing is a recurring process and has to be done several times.
7. Not Hiring a Professional for ROC Compliance
Confusing the ROC filings can land one in legal trouble.
How to Avoid: Take assistance from a company secretary or legal expert to file it properly.
8. Assuming that ROC Filing is Irrelevant
Non-filing of ROC returns can lead to your company being reported as non-compliant or even struck off.
Carelessness: Make the filing of ROC the central element of your business compliance policy.
Conclusion
ROC filing is unavoidable for all registered companies, promoting compliance with the law and hassle-free business. If you are prudent and file in time, you will be free from penalties and remain legally compliant.
Need ROC filing services? Call LEGAL DALAL today!
