Form AOC – 4

What is Form AOC 4 ?

All businesses registered in India pursuant to the Companies Act of 2013 are expected to submit a copy of their financial statements, along with all supporting documentation that was duly approved at the annual general meeting of the business.

Every year, a corporation must submit its financial accounts to the Ministry of Corporate Affairs.

The AOC-4 MCA form is used to submit financial statements.

Who must submit AOC 4?

Each business must provide financial statements using Form AOC 4.

Each Non-Banking Financial Company (NBFC) that is obliged to follow Indian Accounting Standards (Ind AS) must submit its financial statements with Form AOC 4 NBFC (Ind AS) and any consolidated financial statements with Form AOC 4 CFS NBFC (Ind AS).

Every business subject to the provisions of Section 135(1) of the Companies Act of 2013 is required to submit a report on corporate social responsibility in Form CSR-2 as an addendum to Form AOC 4 or AOC 4 XBRL or AOC 4 NBFC (Ind AS), as the case may be, beginning with the preceding financial year (2020-2021). For the fiscal year 2021–2022, however, Form CSR-2 can be submitted separately on or before March 31, 2023, following the submission of Form AOC 4 or AOC 4 XBRL or AOC 4 NBFC (Ind AS), as applicable.

The financial statements should be uploaded in the XBRL format in cases where the companies are subject to the XBRL requirement under the Companies (Filing of documents & Forms in Extensible Business Reporting Language) Rules, 2015.

Companies in the grouping below ought to submit their financial statements and other documents in e-Form AOC 4 XBRL:

  • All businesses and their domestic subsidiaries that are listed on any Indian stock exchange.
  • All businesses with a minimum capital of 5 crores.
  • All businesses with annual revenue of at least 100 crores.
  • According to the 2015 Companies (Indian Accounting Standards) Rules, all companies must prepare their financial accounts.
What Paperwork is Required with Form AOC 4?
  • With its Notes, the Balance Sheet ● Statement of Profit and Loss with Notes ●            Flow of Cash Statement.
  • Statement of Equity Change.
  • The auditor’s reports
  • Board of Directors’ Reports
  • If any, a report on corporate social responsibility
  • If applicable, Statement of Subsidiaries in Form AOC-1
  • Additional Documents, If Any, That Are Relevant

The Importance  of submitting AOC 4

Financial Statements are official records of the Company’s financial performance and condition. To shareholders and investors, financial statements reveal the true state of a corporation.

Financial statements’ primary goal is to inform a variety of stakeholders who are involved in business decisions about the financial health, growth, and changes in a company’s financial status.

The most significant method of communication between the Board of Directors and its shareholders is through the yearly financial statements that are created and filed. A way of informing the public and shareholders about the company’s financial activities and status is through mandatory disclosures made through financial statements, including the Board’s Report and Auditor’s Report.

All stakeholders, investors, and financial institutions can benefit from financial statements because they reveal the company’s genuine financial situation and aid in decision-making.

Submitting Form AOC-4

According to the Companies Act of 2013, every business registered in India must submit a copy of its financial statements, along with all supporting documentation that was duly adopted at its annual general meeting, within 30 days of the meeting. One Person Companies must file a copy of the financial statements duly adopted by its members within 180 days of the end of the fiscal year because they do not hold an annual general meeting.

If a company’s annual general meeting was postponed for any given year, the financial statements, all required attachments, a statement of the facts, and the justifications for the postponement must be filed with the Registrar within 30 days of the last date on which the annual general meeting was supposed to have taken place.

Late filing fees for Form AOC 4

If the annual returns, balance sheets, or financial statements are filed later than the time allowed by Section 137(1) of the Act, late fees of Rs. 100 per day must be paid. The due date for filing AOC 4 is thirty days after the annual general meeting.

The following costs are charged for late annual returns, balance sheets, and financial statements:

  • If the delay lasts up to 30 days, there will be additional costs equal to twice the regular filing costs.
  • For delays of more than 30 days and up to 60 days, there would be additional charges equal to four times the regular filing fees.
  • Greater than 60-day and up to 90-day delay The extra costs would be six times the regular filing fees.
  • More than a 30-day delay and a 180-day delay The extra filing costs would be 10 times the standard filing costs.
  • If the delay lasts longer than 180 days, there will be additional costs equal to 12 times the regular filing fees.

Penalty for completely failing to file Form AOC 4

A company will be subject to a punishment of 1,000 rupees for each day that the failure persists, up to a maximum of Rs. 10 lakhs, if it fails to submit AOC-4 together with a copy of the financial statements by the deadline.

Additionally, the company’s managing director, directors, and chief financial officer could receive a fine of at least one rupee and up to five lakh rupees, or they could be imprisoned for a time that could last up to six months.

AOC 4 Certification Form

The Director, Manager, Secretary, CEO, and CFO must declare in writing that all the information supplied on the form is accurate and true and complies with the law.

The form must be digitally signed and include the director’s DIN or manager/CEO/PAN. CFO’s

A full-time practising chartered accountant, cost accountant, or company secretary must sign a declaration certifying that all the information is true, correct, and complete and that they have verified all the papers attached.

Additionally, the practising professional must indicate their membership number and status, such as fellow or associate.

All one-person businesses are required to submit an annual report using the forms AOC 4 and MGT 7. If you don’t do that, you could receive the punishment outlined in the requirements.