To become a director or Designated Partner Any company/LLP required a prerequisite DIN/DPIN for the same and after obtaining a valid DIN/DPIN, all Individual needs to do the Annual Compliance of DIN which is called DIR-3 KYC of Individuals (Those who have Valid DIN). DIN KYC is applicable on Individual. Its mean if Person having Valid DIN but DIN is free and nowhere used presently while filing DIN KYC, still required to file his/her DIN KYC every year to make the DIN Active.
First Time compliance of DIN KYC Annually by all Individuals having Valid DIN as on the closure of the Financials year in Form DIR-3 KYC if filing First time or If need to update any DIN particulars or change in DIN particulars and if subsequent filing then, DIR-3 Web KYC need to be done only via OTP Verification.
Many times due date extended by the MCA for many reasons giving relaxation to file without penalty. During Pandemic period MCA has notified the
Companies (Appointment and Qualification of Directors) Third Amendment Rules, 2019 which shall come into force on the date of their publication in the Official Gazette i.e 25th July 2019 and amended the Due date to 30th September 2019 all times. Further, as per the said notification, eForm DIR-3 KYC is to be filed by an individual who holds DIN and is filing his KYC details for the first time or by the DIN holder who has already filed his KYC once in eform DIR-3 KYC but wants to update his details and Web service DIR-3-KYC-WEB is to be used by the DIN holder who has submitted DIR-3 KYC eform in the previous financial year and no update is required in his details. Necessary amendments are also carried out to capture the fee for filing of eForm DIR – 3KYC-WEB upto 30th September, 2019.
The first time compliance requirements of a Director KYC was introduced in 2018 w.e.f. 10.07.2018 through the new Rule “12A” Inserted by Companies(Appointment and Qualification of Directors) Third Amend Rules 2019 Dated 25th July 2019-
As part of updating its registry, MCA would be conducting KYC of all Directors of all companies annually through the eform DIR-3 KYC. Accordingly, every Director who has been allotted DIN on or before 31st March and whose DIN is in ‘Approved’ status, would be mandatorily required to file form DIR-3 KYC on or before 3Oth September every year.
In case of Indian nationals, Income-tax Permanent Account Number (Income-tax PAN) is mandatory in all cases even if there is no change in Income-tax PAN. In such cases, director details should be as per Income-tax PAN.
In case the details as per Income-tax PAN are incorrect, director/designated partner is advised to first correct the details in Income-tax PAN.
Explanation of New Rule
- Every individual who holds a Director Identification Number (DIN) as on 31st March of a financial year as per these rules shall, 4[6[submit e-form DIR-3-KYC for the said financial year to the Central Government on or before 30th, September of immediate next financial year.
- Where an individual who has already submitted e-form DIR-3 KYC in relation to any previous financial year, submits web-form DIR-3 KYC-WEB through the web service in relation to any subsequent financial year it shall be deemed to be compliance of the provisions of this rule for the said financial year.
- In case an individual desires to update his personal mobile number or the e-mail address, as the case may be, he shall update the same by submitting e-form DIR-3 KYC only. (Not required to file DIR-6)
- A unique personal email id and the personal mobile number (Registered In Aadhar) would have to be mandatorily indicated which would be duly verified by a One Time Password (OTP). Further, the Form should be filed by every Director using his/her own DSC and should be duly verified by a practicing professional (CA/CS/CMA).
How to check which KYC is applicable to me ?
WEB Based KYC-
Web-based KYC, there is Neither required to submit or upload any document nor details apart from OTP verification . However, the director required to check that the director's DIN particulars are correct and not required any changes at the MCA Portal.
The Web based KYC of Director/Individual is applicable after filing of first time Form based KYC (First time Form based KYC is applicable). If Individual desire to amend the DIN particulars like-Name, Address, Citizenship, PAN, Father Name and other DIN particulars, then before filing we CCL will suggest to file DIR-6 with MCA without any legal fees and once all particular get updated in Ministry Records. More, in case of change or update of mobile and email address , Individual can update the same while filing Form based KYC.
If web based DIN KYC-
- OTP linked with Email
- OTP linked with Mobile no
Note: if any changes in the DIN particulars need to file DIR-6 before doing the DIN KYC.
What is the due dates for Annual compliance of KYC?
As per the provisions of Rule 12A of the Companies (Appointment and Qualification of Directors) Rules, 2014, every individual who is allotted DIN as on 31st March of a financial year must submit his KYC on or before 30th September of the immediately next financial year.
Therefore The Due Date of filing DIR-3 KYC for the financial year 2020-21 is 30th September 2021 and anyone can start doing KYC with effect from 01.04.2021 onwards.
Example:- All DIN approved on or before 31.03.2021 and DIN status is approved, need to be done KYC up to 30.09.2021
What Documents and details Required for the Form DIR-3 KYC ?
If Form based KYC-
Indian Resident
- Self-attested copy of PAN Card (Income tax PAN is mandatory for Indian Citizens).
- Self attested copy of Aadhar Card if having (not mandatory to be linked with the updated mobile number)
- Self attested Proof of Present address like-bank statement/ Electricity Bill/ Mobile Bill (Not older than two months) if present address is different from permanent address
- Self attested copy of Proof of Permanent address - Address proofs like passport, election (voter identity) card, and ration card, driving license, electricity bill, telephone bill or Aadhaar shall be attached and should be in the name of applicant only
- Unique Personal Email Address & Mobile Number belongs to the applicant only
- Self attested copy of Passport if having VALID (“Whether Citizen of India”)
In case of Foreign Resident-
- Foreign nationals shall select the nationality as declared in the passport
- In case of foreign national residing in India, self-attested copy of Visa along with arrival stamp is also required.
- Mobile No Shall be belongs to that country only.
Documents of foreign national authentication: (Notary/apostilled)
- Commonwealth nations, all the documents shall be notarized by a Notary (Public) in that part of the nation; or
- Hague Convention, all the documents shall be notarized and duly apostilled.
- Neither Common wealth nations nor Hague Convention, all the documents shall be notarized before the Notary (Public) of such Country and the Certificate of the Notary (Public) shall be authenticated by a Diplomatic or Consular Officer empowered in this behalf under Section 3 of the Diplomatic and Consular Officers (Oaths and Fees) Act, 1948 or, where there is no such officer by any of the officials mentioned in Section 6 of the Commissioners of Oaths Act, 1889, or in any Act amending the same.
Who required to sign the Form Digitally ?
- eForm is digitally signed by the same person i.e. applicant who is filing the application.
- Please note that the PAN mentioned in the form and the PAN mentioned in the DSC affixed, must be same for successful validation.
- In case of foreign nationals, who do not have PAN, the name mentioned in the form must be same as the name mentioned in the DSC affixed for successful validation
- Apart from the applicant eForm is digitally signed by a Chartered Accountant/ Cost Accountant or Company Secretary in whole-time practice.
- Enter the details of the practicing professional and attach the digital signature .
- In case of foreign nationals, the name in the DSC affixed should match with the name entered in the form. DSCs affixed on the form should be duly registered on the MCA portal.
Is any Legal fees need to pay for the DIN KYC?
ZERO FEES – on or before due date filing
KYC filed before 30th September by applicant who has been allotted DIN on or before 31st March and whose DIN is in ‘Approved’ status.
5000 PENALTY-After due date filing
KYC filed after 15th September 2018 by applicant whose DIN status is ‘deactivated and the reason for deactivation is ‘Non filing of KYC in DIR-3 KYC’.
Fees payable is subject to changes in pursuance of the Act or any rule or regulation made or notification issued thereunder.
What is the Procedure for filing WEB DIN KYC?
The following is the procedure: This Service is after Login Service
- Login to MCA www.mca.gov.in through using Username and Password.
- Select MCA Service → DIN Services → DIR-3-KYC-Web.
- Enter DIN/DPIN of the concerned Individual.(DIN/DPIN is same)
- Pre-filled mobile number (last 2 digit no) and Email ID (Like x****************@gmail.com) shall be appear.
- Click on send OTP.
- Enter both OTP for mobile number and Email ID.
- Click on verify OTP.
- Confirm the particulars of the concerned individual appearing on screen and click to Submit if all is ok.
- A zero rupee challan along with the SRN shall be generated (if filing on or before 30th September which is the due date)
What is the penalty for non-filing of DIN KYC?
In case the DIN gets deactivated due to the reason of non-filing of Form DIR-3 KYC before the due date as mentioned, the filing of Form for such deactivated DINs shall be allowed upon payment of a specified fee of Rs 5000/- only, without prejudice to any other action that may be taken by MCA.
Compliance Calendar ®