Who can forget these evergreen, powerful dialogues from the 1975 Bollywood blockbuster film Deewar ?
Vijay (played by Amitabh Bachchan) : “Aaj mere paas paisa hai, bangla hai, gaadi hai, naukar hai, bank balance hai, aur tumare paas kya hai ?”
(“Today I have money, bungalow, car, servants & bank balance….and what do you have ?”)
Ravi (played by Shashi Kapoor) : “Mere paas Maa hai !” (“I have mother with me”).
The mother dialogue stole the thunder. It made the actor immortal. The movie an all-time hit. These few words said it all back then. Say it even today. Whether in the film world or history or mythology or the present day tech-driven world, Maa or Mother (in whatever form) shall remain the most loved, respected, revered and immortal figure in our lives. Across countries. Spanning cultures. Encompassing languages.
Mother’s Day just went by. Bombarded by Happy Mother’s Day messages and wishes from all and sundry. Like any other ‘Day’ it has got as commercial as it can with cards, gifts, events, social media posts and what not. Even my driver, shyly offered a single rose to me through my son – reminding me that 12th May, Sunday is ‘My Day’. How blessed should I feel ☺
In my view mother is not a noun. Not a gender. Mother represents certain attributes, qualities and emotions that can be displayed by both a man and a woman. While from friends to family to strangers, almost everyone chooses to pay tribute to this wonderful being called ‘Mother’, the best and most touching one came to me a few months back from one of my senior readers about his wife, as below :
“Thanks to my wife, she keeps my morale boosted from time to time, from morn till night. I am not exaggerating. At this ripe age I realise how important my friend turned my wife / turned my children’s mother / turned my grandchildren’s grandmother / turned my daughter-in-law’s mother-in-law is. She continues to keep all these dependants in good health, happy frame of mind and develops in them the importance of love and affection.
Oh, My God! But for my being elder than her, I would have fallen flat on her feet and sought her blessings. In expressing these thoughts of mine, I am not just praising my wife. I can imagine in every household there is one such lady. Thus the mankind praises all the Ammas.” Salutations to the Amma in each one of us.
Now to the mother of all laws – Companies Act, 2013 – the mother legislation. A newbie in that sense, I would say she is still young. Just crossing into her teens – raw, unrefined, playful, reckless, provocative, adventurous, experimenting, uncertain, unpredictable, nebulous, ever-changing……hopefully she finds her feet soon and gets stable. This 212th issue of Samhita carries a few more notifications issued by MCA which are supposed to be clarificatory and prescriptive in nature, more often than not raising more questions and adding to the prevailing confusion.
Catch up on the regulatory updates plus the thoughtful article on “Impasse in Mediation”. For any previous issues of Samhita and the readers feedback, please
MCA Updates :
Company Name availability Rules Amended
The Government claims that it is easy to incorporate a company in India – RUN form introduced to reserve a name with minimum details and company formation made possible with “Zero Fees” upto capital of 15L !! Only entrepreneurs and professionals who have undergone the saga of getting a name of their choice (after complying with all the dos and don’ts of name-selection) and providing the address proof, bills with signatures for registered office (some of them are ridiculously stringent to comply) know the birthing-pain of starting a company. It is to be “experienced” to be believed !!
Impasse has been defined by Oxford dictionary as a “situation in which no progress is possible, especially because of disagreement, a deadlock”.Mediation is a voluntary process where the parties decide to participate and explore options for resolution of their disputes. The parties do however encounter impasse in mediations because they are not willing to go any further in the… Read more
MCA has amended the Companies Incorporation Rules, in its attempt to clarify (with illustrations) the desirable and undesirable names for companies. All of 11 pages – to be read and referred to each time before the name application, hoping the rule maker also knows the changes and abides by it !!
Conclusion is yours – whether the rules are clarificatory or confusing in nature. As they say “Proof of the pudding is in the eating”. Only time will tell whether the elaborate rules are easing the Company incorporation process or not. However, we welcome the MCA’s efforts in the Rules.
Clarification for e-form ADT-1 – ACTIVE
INC-22A (ACTIVE) has some constraints in filing which has now been clarified through a Circular.
If e-form ADT-1 has been filed through Form GNL-2 as an attachment during the period 01.04.2014 to 20.10.2014 (for appointment of auditor for the period 01.04.2014 to 31.03.2019), now ADT-1is required to be filed by the company. No additional filing fees till 15.06.2019.
If GNL-2 was used to file auditor appointment related information even after 20.10.2014, the date on which ADT-1 was released, companies will now have to pay additional fees file ADT-1. Post the above ADT-1 filings, INC-22A (ACTIVE) can be filed.
Removal of Companies – Rules Amended
The Companies (Removal of Names from the Register of Companies) Amendment Rules, 2019 has been notified w.e.f 10.05.2019.
Fee for application for removal of name of the company in Form STK-2 has been increased to INR 10,000 from INR 5,000.
All annual filings to be completed till the FY in which the company ceases to carry on its operations, before an application for strike off is made by the company. Similarly, even if the strike off is initiated by the RoC the company is to file all overdue returns.
Once strike off notice is issued by the RoC, the company cannot apply for voluntary strike off / closure
Statement of Accounts to be provided in the newly introduced form STK-8 and certified by a practicing CA.
Class Action Suit Eligibility notified
The MCA has notified the National Company Law Tribunal (Second Amendment) Rules, 2019 w.e.f 08.05.2019.
The eligibility for filing class action suit (u/s 245) w.r.t a company having share capital is as below:
5% of total members or 100 whichever is less
Listed Company – Atleast 2% of issued share capital
Unlisted Company – Atleast 5% of issued share capital
5% of total no of deposits of the company or 100 depositors of the company whichever is less
Depositors to whom the company owes more than 5% of total deposits
ICSI updates :
ICSI releases Auditing Standards
The ICSI (Institute of Company Secretaries of India) has released the following Auditing Standards which have been developed after much deliberations and stakeholder feedback :
CSAS-1: Auditing Standard on Audit Engagement
CSAS-2: Auditing Standard on Audit Process and Documentation
CSAS-3: Auditing Standard on Forming of Opinion
CSAS-4: Auditing Standard on Secretarial Audit
Above Standards are recommendatory for audits accepted on or after 01.07.2019 and mandatory from 01.04.2020 onwards.
GST Updates :
GST Rate options for Residential Projects
The date for exercising option for residential real estate projects to stay at either the old rate (8% or 12 % with ITC) or to avail new rate (1% or 5% with ITC) has been extended to 20.5.2019 from 10.5.2019.
Income Tax :
TDS Rules for issue of Form 16 Amended
The procedure, format and standards for issuance of certificate for tax deducted at source in Part B of Form No. 16 in accordance with the provisions of section 203 of the Income-tax Act, 1961 read with the Rule 31 of the Income-tax Rules, 1962 through TRACES has been amended. Kindly go through the notification for more details.
Note: The contents of this Newsletter are only a summary and has not dealt with any issue in detail. Any action taken or proposed to be taken must be in consultation with professionals and not merely based on the articles / news updates. S. C. Sharada & Associates disclaims all liability on action taken without professional advice.