Introduction

Every newly incorporated company in India must file Form INC-20A with the Registrar of Companies (ROC) before commencing business.

This declaration confirms that the company’s subscribers have paid the share capital and that the business is ready to begin operations.

Failure to file within 180 days of incorporation can result in heavy penalties or even the company being struck off.

In this guide, Bisways Consulting Group explains the importance of Form INC-20A, required documents, filing process, and consequences of delay.

What Is Form INC-20A?

Form INC-20A is a declaration under Section 10A of the Companies Act 2013 confirming that the company has received its subscribed share capital and is authorised to commence business.

Applicable to all companies incorporated after 2 November 2018, it must be filed within 180 days from the date of incorporation.

Without filing this form, a company cannot legally start operations or borrow funds in its name.

Documents Required

• 1. Bank statement of the company showing credit of paid-up capital.

• 2. Certificate of Incorporation and MOA/AOA for reference.

• 3. Board Resolution authorising a director to file Form INC-20A.

• 4. Digital Signature Certificate (DSC) of a director.

• 5. Certification by a practising CA, CS or CMA.

Filing Process

• 1. Log in to the MCA Portal.

• 2. Select Form INC-20A – Declaration for Commencement of Business.

• 3. Enter CIN, incorporation date, registered office, and capital details.

• 4. Attach required documents and bank proof.

• 5. Sign digitally using DSC of a director and practising professional.

• 6. Pay prescribed ROC fees and submit the form.

• 7. Download the SRN Acknowledgement for records.

⚠️ Note: Filing must be completed within 180 days from incorporation.

Consequences of Non-Compliance

• Company penalty: ₹50,000.

• Officers in default: ₹1,000 per day (up to ₹1 lakh).

• Registrar’s power: ROC may strike off the company’s name if INC-20A is not filed.

• Banking impact: Accounts may be frozen or loans denied until compliance.

Conclusion

Form INC-20A ensures that every incorporated company is genuinely ready to operate and financially sound.
Timely filing builds compliance credibility and prevents legal or financial restrictions that can affect business continuity.