Annual Compliances OF Nidhi Company
Nidhi’ is defined under rule 3 (da) of the Nidhi Rules, 2014 which means a company incorporated as Nidhi with the object of – Cultivating habit of thrift and savings amongst the members, and Receiving deposits from and lending to the members for their mutual benefit, and duly complying with the rules formed by the Central Government.
Compliances: The act of obeying an applicable law, rule, regulation, guidelines, and the requirements from the regulatory authorities etc.
Why is compliance important for companies:
- Avoids fines and penalties
- Protect from legal prosecution and action
- Build the good market reputation
- Protect the interest of the stakeholders and investor
- Increase the revenue of the business.
The Mandatory Annual Compliances of a Nidhi Companies are as Follows
| S.NO | REQUIRED FORM | DESCRIPTION | TIMELINE |
|---|---|---|---|
| 1 | NDH-1 | Return of statutory compliances. | within 90 days from closure of financial year. |
| 2 | Form NDH-2 | Application for Extension of Time. | NDH-2 must be filed with the Regional Director within 30 days from the closure of the financial year along with the prescribed fees. |
| 3 | Form NDH 3 | Half-yearly return | Within 30 days from the conclusion of half a year |
| 4 | NDH-4 | Declaration of Nidhi Company | Within 60 days from the closure of financial year |
| 5 | Income Tax Return | Income Tax Return | By 30th September |
| 6 | MGT-7A | Filing of annual return | Within 60 days from the date of AGM. |
| 7 | AOC-4 | Filing of annual accounts. | Within 30 days from the date of AGM. |