Overview: Private Limited Company incorporation and compliances

 A Private Limited Company (Pvt Ltd) is the most popular and widely used business entity in India for startups and small to medium enterprises. It offers a perfect blend of limited liability protection and corporate structure, while ensuring ease of operations and investor confidence.

✅ Key Characteristics:

• Separate Legal Entity – Company has its own legal identity separate from its shareholders and directors.

• Limited Liability – Shareholders are liable only to the extent of their shareholding.

• Perpetual Succession – The company continues to exist irrespective of changes in ownership or management.

• Minimum 2 Directors & Shareholders – Required to start; maximum of 200 members allowed.

• Minimum capital – Can be started with Rs.100,000 as capital.

📋 Checklist for Incorporation of a Private Limited Company

🔷 Proposed Company Details

1. Proposed Name(s) of the Company (Preferably 2–3 options)

2. Complete Office Address

3. Proof of Address of Registered Office:

   1. Latest Electricity Bill (not older than 2 months)

   2. Rent Agreement if rented / NOC from owner if using owned premises

4. Nature of Business Activities (Brief Description)

5. Authorized Capital (Maximum capital up to which shares can be issued)

6. Number of Directors – Minimum 2

7. Number of Shareholders – Minimum 2 (can be same as directors). Mention the share holding pattern.

8. Paid-up Capital – ₹1,00,000/- (i.e., 10,000 shares @ ₹10 each). This shall be infused at the time of opening of bank account in the name of company. Each director shall contribute according to their share capital.

💰 Capital Contribution & Bank Account

• The Paid-up Capital of ₹1,00,000/- (i.e., 10,000 equity shares of ₹10 each) shall be infused by the shareholders after incorporation of the company.

• This amount shall be deposited at the time of opening the company’s bank account.

• Each shareholder (director) shall contribute to the company’s capital in proportion to their shareholding as mentioned in the incorporation documents.

📌 Example:
If there are two shareholders, each holding 50% of the equity (5,000 shares each), they will contribute ₹50,000/- each.

• The capital must be deposited from the personal bank account of the respective shareholder to the company’s bank account, and bank statements shall be maintained as proof of capital infusion.

🔷 Documents Required from Each Director/Shareholder

Document	Format
Passport-size Photograph	JPG/PNG/Hard Copy
PAN Card (self-attested)	PDF
Aadhaar Card (self-attested)	PDF
DIN (Director Identification Number) – if available	Optional
Email ID	Text
Mobile Number	Text

📘 Regulatory Filings & Compliance for a Private Limited Company

To ensure smooth functioning and avoid penalties, a Private Limited Company must comply with various statutory filings under the Companies Act, 2013, Income Tax Act, and other applicable laws.

🧾 Company Law Filings

S. No.	Form / Activity	Purpose	Due Date	Periodicity / Remarks
1	INC-20A	Declaration for commencement of business	Within 180 days of incorporation	Mandatory before starting business operations
2	ADT-1 (First Auditor)	Appointment of First Statutory Auditor	Within 30 days of incorporation	One-time (if not appointed in incorporation forms)
3	ADT-1	Appointment/Reappointment of Auditor	Within 15 days of AGM	Every 5 years (filing required on reappointment too)
4	DIR-3 KYC	Director KYC	30th September every year	For each director with DIN
5	DPT-3	Return of Loans/Advances (if applicable)	30th June	Annually, if company has received any unsecured loan
6	AOC-4	Filing of Financial Statements	Within 30 days from AGM	Annually
7	MGT-7A (or MGT-7)	Filing of Annual Return	Within 60 days from AGM	Annually (MGT-7A for small companies)
8	Board Meetings	Minimum 2 (for Small Co.) or 4 per year	Once every quarter / 6 months	Minutes to be maintained, even if held virtually
9	AGM	Approval of Financials and Auditor	Within 6 months from F.Y. end	Every year (not required in 1st year)
10	DIR-12	Change in Directors	Within 30 days of change	Event-based

💰 Tax Filings

S. No.	Filing	Purpose	Due Date	Periodicity
1	Income Tax Return (ITR-6)	Annual Income Tax Filing	30th September	Annually
2	Tax Audit Report	Mandatory if turnover > ₹1 Cr/₹10 Cr	30th September	Annually (if applicable)

🧾 GST Compliance (If Registered)

Return Type	Purpose	Due Date	Frequency
GSTR-1	Details of outward supplies	11th of next month	Monthly/Quarterly
GSTR-3B	Summary of GST liability and ITC	20th of next month	Monthly
GSTR-9	Annual GST return	31st December	Annually (if applicable)

👷‍♂️ Labour Law Compliance (If Applicable)

Compliance	Purpose	Due Date	Frequency
PF (EPFO)	Provident Fund Contributions	15th of every month	Monthly
ESI	Employee State Insurance Contribution	15th of every month	Monthly (if >10 employees)
PT (Professional Tax) payment	State-level tax on salary	10th of every month	Monthly

💸 TDS (Tax Deducted at Source) Compliance

If the company is required to deduct TDS (e.g., on salary, contractor payments, rent, professional fees, etc.), the following compliance must be ensured:

🗓️ TDS Payment Due Dates

• For April to February: TDS must be paid by the 7th of the next month
  (Example: TDS deducted in July → pay by 7th August)

• For March: TDS must be paid by 30th April

🧾 TDS Return Filing (Form 24Q / 26Q)

Quarter	Period	Return Due Date
Q1	April – June	31st July
Q2	July – September	31st October
Q3	October – December	31st January
Q4	January – March	31st May

📌 Key Notes

• DIR-3 KYC is mandatory even if there is no change in the director’s details.

• DPT-3 is applicable only if the company has received loans or advances.

• GST registration and returns are mandatory if turnover exceeds the prescribed limit or if the business falls under compulsory registration criteria.

• Tax audit is triggered based on turnover thresholds (₹1 Cr/₹10 Cr as per applicability).

• PAN and TAN will be automatically allocated along with incorporation.

• All filings with the Registrar of Companies (ROC) under the Companies Act, 2013 must be submitted online via the MCA (Ministry of Corporate Affairs) portal. To ensure authenticity and security, these forms must be digitally signed using a valid DSC. The DSC will be prepared during incorporation and will be valid for 2 years.