The Ministry of Corporate Affairs (MCA) through its notification dated 22 January 2019 made certain amendments to the Companies (Acceptance of Deposits) Rules, 2014 (Deposit Rules). Following are the key amendments relating to return of deposits:
- Annual return (Rule 16): Every company (other than a government company) should use form DPT-3 (return of deposits) to file:
a) A return of deposit
b) Particulars of a transaction not considered as deposit or
This return should be filed with the Registrar of Companies (ROC) on or before 30 June, of every year (comprising information contained therein as on 31 March of that year duly audited by the auditor of the company).
(Emphasis added to highlight change)
- One-time return (Rule 16A): A one-time return is required to be filed by every company (other than a government company) with respect to the receipt of money or loan outstanding from 1 April 2014 till 22 January 2019 but not considered as deposits. Further, MCA through its notification dated 12 April 2019, changed the period for the one-time form from 22 January 2019 to 31 March 2019 (i.e. information to be provided from 1 April 2014 to 31 March 2019).
Additionally, MCA clarified that on account of a delay in deployment of revised DPT-3 form on MCA portal, no additional fees as applicable under the Companies (Registration Offices and Fees) Rules, 2014 would be levied while filing of the one-time return upto 30 days from the date the new form would be deployed on the MCA portal.
- Revised Form DPT-3: A revised Form DPT-3 has been issued.
Following are the recent amendments issued by the MCA:
- Date of filing of one-time return of deposits: On 30 April 2019, MCA amended Rule 16A to provide that every company (other than a government company) would need to file with the ROC a one-time return in Form DPT-3 by 29 June 2019 (i.e. within 90 days from 31 March 2019) along with specified fees. Earlier the requirement was to file one-time return within 30 days from the date the new form would be deployed on the MCA portal.
- Upload of electronic Form DPT-3: On 1 May 2019, MCA has uploaded revised electronic Form DPT-3 on its portal. The revised form can be used for filing of both annual and one-time return.
The electronic form has following differences as compared to the format of Form DPT-3 issued by MCA on 22 January 2019:
o Point 9 – This deals with details of total number of deposit holders as on 1 April. The electronic DPT-3 form additionally requires total number of deposit holders at the end of financial year as well.
o Point 12 – This deals with details of liquid assets, where companies are mandatorily required to provide amount of deposits maturing by the end of financial year. The electronic form clearly specifies that this information is to be provided for deposits maturing on or before 31 March next year.
o Point 16 – The electronic form inserted a new clause, which requires companies to provide details of credit rating obtained such as name of the agency, rating and date of the rating obtained.
- One-time return: As per the revised requirements all companies now need to file the one-time return by 29 June 2019 along with an auditor’s certificate.
- Annual return: Rule 16 requires that even if a company has not accepted deposits (but has receipts of money or loan of the nature which are not deposits), it should still file the annual return by 30 June 2019 along with an auditor’s certificate. In relation to this, the revised electronic form requires disclosure of 13 categories of financial transactions not considered as deposits. The coverage of these transactions is quite pervasive, as it is likely to cover many financial transactions including amounts received from governments, both Indian and foreign, including government bodies, loans from banks and financial institutions, advances from customers for goods, services and property, inter-corporate receipts, proceeds from issue of commercial paper, bonds and debentures, share application money and loans from directors.
Therefore, it would practically require almost all companies to file an annual return as companies would have receipts of money of falling in one of the 13 categories.
- Compilation of information: The extension of time period for one-time return by MCA provides relief to companies, as the requirement for both the forms i.e. one-time return and annual return has several overlaps in the information that is to be reported. Now companies can plan to file both the returns together as it would help save the cost and efforts involved in data collection, compilation of the financial information and the follow on certification by the auditors for both the returns. The companies should take note of the revised requirements to ensure timely filing of returns.