What Are The Annual Compliance Requirements For A One Person Company?

Annual Compliance Requirements for a One Person Company (OPC) in India

1. Annual General Meeting (AGM): As per the reference material, OPCs must conduct an Annual General Meeting within six months of the financial year's end, where important company decisions and performance are discussed.

2. Financial Statements: The reference material states that OPCs must create financial statements for each financial year, which must be audited by a qualified Chartered Accountant for accuracy and compliance.

3. Director's Report: The OPC's director must prepare a Director's Report, which includes information about the company's financial performance, activities during the year, and other relevant details.

4. Filing of Annual Returns: As per the reference material, OPCs must submit annual returns to the Registrar of Companies (ROC) within 60 days of the AGM, containing data about the company's shareholders, directors, and financial performance.

5. Statutory Audit: According to the reference material, OPCs must appoint a statutory auditor to audit their financial statements and ensure compliance with accounting standards, with the auditor's report being a vital part of the financial statements.

6. Board Meeting: Even though OPCs usually have a single owner-director, they are required to hold at least one board meeting during the financial year to discuss financial statements, approve the annual accounts, and address other business matters.

7. Record Keeping: OPCs must maintain proper records, books of accounts, and other financial documents in compliance with accounting and auditing standards.

8. Tax Returns: According to the reference material, the owner-director of an OPC should file personal income tax returns, including income from the OPC and other sources, and it's crucial to meet the filing deadline.

9. Goods and Services Tax (GST): If the OPC is registered under GST and exceeds the GST turnover threshold, it must file regular GST returns, including GSTR-3B and GSTR-1, as applicable. 

10. TDS Returns: If the OPC is required to deduct tax at source (TDS), it must file TDS returns on payments subject to TDS deductions.

11. Compliance with ROC Annual Requirements: The reference material underscores that OPCs must fulfill ROC's annual requirements, such as submitting annual returns and keeping statutory registers, as non-compliance may result in penalties and legal repercussions.