Running a business or company isn’t any cakewalk. To run a business successfully, the right decisions have to be taken at the right time. As such, whether it be a small or well-established business, new decisions and choices have to be made now and then for the successful execution of the plans and strategies. All the companies have to be registered with the government and so, any new changes and decisions that are taken for the company also have to be informed and filed. The decisions so taken are called resolutions. While for the minor resolutions they need not be filed, but for some special and important ones the form has to be filed. This is where the role of MCA Form MGT-14 comes into play.
Under the Companies Act 2013, this form was introduced and brought into action, under which certain resolutions had to be mandatorily registered with the Registrar of Companies (ROC). The resolutions so formed are filed with (ROC) after the board meeting is held, and the approval is received from all the members. Before knowing the documents and how MCA form MGT-14 is to be filed, one must know the types of resolutions.
There are 3 types of resolutions are these include:
For all the board resolutions, annexure A has to be filed.
Annexure B has to be filed, for the special resolutions.
For the ordinary resolutions, annexure C has to be filed.
The time period for filing the form MGT-14
One approved and decided by the board members, the resolution has to be mandatorily filed with the RoC within 30 days of the decision.
While filling the form, the list of documents that have to be submitted along with it includes the following:
Details included in the MCA form MGT-14
The content that is included in the form MGT-14 include the following:
Depending on the share capital that the company holds, the fee structure varies accordingly. The fee structure is as follows:
Depending on the number of days by which the registration is delayed, the penalty has to be paid accordingly. If the delay is for up to 30 days, the fees doubles, and similarly more the delay, greater is the penalty that is charged.
Let us see the penalty charges for the company and the officer:
Penalty charges for the company: In case, the company is unable to file the document (resolution) within 30 days after it has been passed, they are liable to pay a fine of Rs.1,00,000 and Rs.500 for every subsequent day.
Penalty charges for the officer: The officers who are a part of the default, have to pay Rs.50,000 and Rs.500 for every subsequent day.
It is important to take correct decisions, it is equally important to register and file them through correct legal procedures.