Required Documents, When to File Them, Fees and Penalties
A firm notifies the Registrar of Companies (ROC) on form ADT-1, in the specified manner, of the appointment of its auditor each year. According to section 139(1) of the Companies Act, 2013, a firm must notify the ROC of the employment of an auditor. Within fifteen days of the organization’s first board meeting or annual general meeting, it must be filed.
- What is Form ADT-1?
- When should one file Form ADT-1?
- Records required to submit Form ADT-1
- Form ADT-1 filing fees
- Penalties for Form ADT-1 submission late
- Crucial information for Form ADT-1
- Frequently Asked Questions
What is Form ADT-1?
Every company must file Form ADT-1, an announcement concerning the appointment of the firm’s auditor, with the MCA portal’s registrar of companies. All corporations are required by section 139 of the corporations Act, 2013 to submit this form no later than 15 days following the annual general meeting at which the new auditor is appointed. It serves as a notice of the Auditor’s appointment and must be sent to ROC annually following the annual general meeting.
When Should the Form ADT-1 be Filed with MCA?
Within 15 days of the Annual General Meeting where the Auditor was appointed or reappointed, the ADT-1 Form must be filed with the Registrar of Companies. For instance, the corporation needs to submit the Form ADT-1 on the MCA portal by October 14, 2021, if the AGM was held on September 30, 2021.
If a firm is newly incorporated, Form ADT-1 must be filed within 15 days of the first board meeting. The board of directors appoints the company’s auditor at the first board meeting, which must take place within 30 days after establishment.
Records Needed to Be Submitted with Form ADT-1
- A copy of the board resolution for the company
- The auditor’s written consent to the appointment
- A certificate from the auditor stating that they are eligible to be appointed as auditors under Section 141.
- A copy of the notification that the business provided to the auditor
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Fees for Using the MCA Portal to File Form ADT-1
The following fees are associated with filing Form ADT-1 with the registrar of companies:
| Serial No. | Share capital of company (₹) | Fees (₹) |
| 1 | Less than 1 lakh | 200 |
| 2 | Between 1,00,000 and 4,99,999 | 300 |
| 3 | Between 5,00,000 and 24,99,999 | 400 |
| 4 | Between 25,00,000 and 99,99,999 | 500 |
| 5 | 1,00,00,000 or above | 600 |
Penalties for Late Form ADT-1 Filing
Penalties for late or incomplete submission of Form ADT-1 include the following:
| Serial No. | Delay in Filing (No. of Days) | Penalty Applicable |
| 1 | Upto 30 days | Twice the Normal Fees |
| 2 | Between 30 days to 60 days | 4 times of Normal Fees |
| 3 | Between 60 days to 90 days | 6 times of Normal Fees |
| 4 | Between 90 days to 180 days | 10 times of Normal Fees |
| 5 | More than 180 days | 12 times of Normal Fees |
Crucial Information about Form ADT-1
- Whether a firm is listed, unlisted, private, public, or something else entirely, it has to file Form ADT-1.
- Form ADT-1 must be filed by the corporation, not the auditor.
- Even when an auditor is appointed to fill a temporary position, the business must still submit Form ADT-1.
- Since section 139(1) of the company regulations of 2014 only addresses the appointment of auditors and does not address section 139(6), which addresses the appointment of the first auditor, it is commonly accepted that Form ADT-1 need not be filed to initiate the appointment of the first auditor. It is a good practice to file Form ADT-1 for the appointment of the first auditor, though.
Frequently Asked Questions (FAQs)
Yes, filing Form ADT-1 for the appointment of the first auditor is recommended and is a good practice.
A one person company must indeed file Form ADT-1 annually.
An annual notification form called ADT-1 is used to notify the company’s registrar of the appointment of its auditor.
Form ADT-1 must be filed by the corporation, not the auditor.
Every corporation must file Form ADT-1 within 15 days following the date of the first board meeting or annual general meeting.
Yes. Every firm must notify the ROC of the appointment of its auditor in the ADT-1 Form by section 139(1) of the Companies Act, 2013.