CLL_Art1570 - Taxpublishers.in

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The Tax Publishers Companies Act, 2013--Annual Filing Requirement of Filing Provisional Financial Statements of a Company with the Registrar Purnendu Sahai Financial statements of a company are to be prepared in accordance with Schedule III of the Companies Act, 2013 showing financial position and condition of the company. The financial statements need to be adopted in annual general meeting and filed with Registrar in the specific time frame. But, what if, the financial statements are not adopted in annual general meeting? The present article attempts to answer this question in the light of statutory provisions and case law. 1. Background The financial statements of a company includes balance sheet as at the end of a financial year, a profit and loss account/income or expenditure account for the financial year, cash flow statement for the financial year, statement of changes in equity, if applicable and any explanatory note forming part of aforesaid documents. OPCs, small companies and dormant companies may exclude cash flow statement from the part of financial statements. The financial statements should comply with accounting standards and should be in the prescribed form(s) as specified in Schedule III to the Companies Act, 2013. As per section 129(2), the board of directors of the company are required to lay down the financial statements for the financial year at every annual general meeting held for adoption by the shareholders. The statutory auditor's report and board report are also attached to the financial statements presented before the shareholders. 2. Requirement of filing financial statements with the Registrar Section 137 of the Companies Act, 2013 stipulates the requirement of filing financial statements with the Registrar. The tabular representation of filing financial statements is given below: SUBSCRIBE FOR FULL CONTENT

The Tax Publishers

Companies Act, 2013--Annual Filing

Requirement of Filing Provisional Financial Statements of a Company with the Registrar

Purnendu Sahai

Financial statements of a company are to be prepared in accordance with Schedule III of the Companies Act, 2013 showing financial position and condition of the company. The financial statements need to be adopted in annual general meeting and filed with Registrar in the specific time frame. But, what if, the financial statements are not adopted in annual general meeting? The present article attempts to answer this question in the light of statutory provisions and case law.

1. Background

The financial statements of a company includes balance sheet as at the end of a financial year, a profit and loss account/income or expenditure account for the financial year, cash flow statement for the financial year, statement of changes in equity, if applicable and any explanatory note forming part of aforesaid documents. OPCs, small companies and dormant companies may exclude cash flow statement from the part of financial statements.

The financial statements should comply with accounting standards and should be in the prescribed form(s) as specified in Schedule III to the Companies Act, 2013.

As per section 129(2), the board of directors of the company are required to lay down the financial statements for the financial year at every annual general meeting held for adoption by the shareholders. The statutory auditor's report and board report are also attached to the financial statements presented before the shareholders.

2. Requirement of filing financial statements with the Registrar

Section 137 of the Companies Act, 2013 stipulates the requirement of filing financial statements with the Registrar. The tabular representation of filing financial statements is given below: