Form INC-20A: Declaration of Commencement of Business
File Form INC-20A with the Registrar of Companies on time, with the paid-up capital verified, so your new company stays compliant.
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Form INC-20A is the declaration of commencement of business that a newly incorporated company with share capital files with the Registrar of Companies under Section 10A of the Companies Act, 2013. It is meant for founders of companies incorporated after the provision came into effect, and it confirms that every subscriber has paid for the shares agreed in the memorandum. Until it is filed within the statutory period, the company should not start business or exercise borrowing powers. Our team of Company Secretaries checks the registered office record, confirms the capital receipts in your bank account, prepares the declaration and files the form with the necessary attachments.
Who provides this service: our team of Company Secretaries and compliance specialists.
Who Needs Form INC-20A (Commencement of Business)?
- Founders of newly incorporated private or public companies with share capital
- Directors who have just obtained the certificate of incorporation and need to start business
- Companies that are close to the end of the statutory period without having filed
- Companies that incorporated some time ago and are not sure the filing was made
- Promoters planning to open a bank account or borrow soon after incorporation
Key Benefits
- Filing is prepared against the statutory period so that the company does not slip into default
- Paid-up capital receipts are matched with the bank statement before the declaration is made
- Registered office compliance is checked, since the form depends on a valid registered office record
- Director declaration and required professional verification are organised in one filing flow
- Clear advice on what the company can and cannot do until commencement is declared
- Support for late filing, with explanation of the consequences and the available way to regularise
How It Works
Applicability check
We confirm that the company has share capital and was incorporated after the provision applied, note the incorporation date to track the statutory period, and rule out companies, such as certain Section 8 companies, for which it is not relevant.
Capital receipt verification
Our team reviews the bank statement and subscription records to confirm that each subscriber has paid the value of shares agreed in the memorandum, and flags any shortfall that must be cleared before filing.
Registered office confirmation
We check that the registered office has been notified to the Registrar through the appropriate incorporation record and that the address proof on file is valid, because the declaration builds on that information.
Preparing the declaration
The form is prepared with the director declaration, bank evidence of payment and any attachments that the e-form requires, then reviewed by a professional where verification or certification is part of the filing.
Digital signatures and MCA filing
Authorised signatories sign using their digital signature certificates, and the form is filed on the MCA portal along with the prescribed attachments and fee. We keep the filing acknowledgement for your records.
Follow-up and next compliance steps
After the filing is accepted we confirm the status and outline what comes next, such as first auditor appointment, statutory registers, director KYC and the annual filings that the company must follow each year.
Documents Required
- Certificate of incorporation of the company
- Memorandum and articles of association
- Bank statement showing receipt of subscription money from all subscribers
- Details of subscribers and the shares allotted to each of them
- Registered office address proof and the related notice filed with the ROC
- Digital signature certificates of the authorised director and certifying professional
- Board resolution authorising the filing, where required
- PAN of the company and director identification details
Timeline and Fees
Indicative timeline: Filing can generally be completed within a few working days once capital receipts and the registered office are in order; processing and approval depend on the Registrar of Companies.
Professional fee: Our professional fee depends on how soon the filing has to be made, whether the capital receipts are already in order and whether a late-filing review is needed. Government filing fees are charged as per the MCA portal. Contact us for a fixed quote.
What Can Go Wrong if This Is Missed or Done Incorrectly
- Non-filing within the statutory period is a default that can lead to penalties on the company and its officers
- The Registrar may initiate proceedings to remove the name of a company that has not commenced business
- The company is restricted from commencing business or using borrowing powers until the declaration is filed
- Filing a declaration that is not supported by bank records creates legal and audit exposure for the directors
Frequently Asked Questions
What is Form INC-20A?
Form INC-20A is an e-form filed on the MCA portal under Section 10A of the Companies Act, 2013. A company having share capital declares in it that it has commenced business and that every subscriber has paid for the shares agreed. It has to be filed within the period set by the section after incorporation.
Who has to file Form INC-20A?
It applies to companies having share capital that were incorporated after Section 10A came into force through the 2018 amendment. Older companies need not file it. Companies without share capital, which includes many Section 8 companies, are generally outside the requirement. Check your incorporation date and capital structure before filing.
What is the time limit for filing Form INC-20A?
The law gives a fixed period from the date of incorporation, which is 180 days. Counting begins from the incorporation date on the certificate, not from the day business actually begins. We note the due date at onboarding so that the company has enough time to complete the capital payment and filing.
What happens if Form INC-20A is not filed?
Non-filing is a default under the Act and can result in penalties on the company and its officers. The Registrar may also begin proceedings to strike off the name of a company that has not commenced business. The company is also restricted in starting business or exercising borrowing powers until the declaration is made.
Do all subscribers need to pay up their shares before filing?
Yes. The declaration confirms that every subscriber to the memorandum has paid the value of the shares agreed to be taken, and the bank statement must reflect this. If a subscriber has not paid, the company should arrange the payment before filing rather than filing a declaration that cannot be supported by records.
Can we file Form INC-20A after the due date?
A late filing may be possible, but additional fees and penalty exposure arise, and the position should be reviewed professionally first. If the company has been inactive, there may be other compliance gaps. Our team examines the company status and recommends the cleanest way to regularise the filings.
Official Sources
Rules, forms and fees change. Check the current position on the official portal:
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Last reviewed: . Laws, fees and procedures change; check the official portal before you act.
Disclaimer: The information on this page is for general informational purposes only and does not constitute professional legal, tax or compliance advice. Requirements vary by situation. Please consult a qualified CA or CS for advice specific to your needs. Government fees and timelines are subject to change; verify with the relevant authority before proceeding.