DORMANT COMPANY UNDER SECTION 455 OF COMPANIES ACT – Semantic Taxgen Pvt Ltd
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DORMANT COMPANY UNDER SECTION 455 OF COMPANIES ACT

The term Dormant itself defines an inactive, non-functional or suspended state. Keeping in line, the Section 455 of The Companies Act, 2013 also describes a Dormant Company as a company which has no significant accounting transaction. The term Significant Accounting Transaction indicates transaction other than:- 

  • The payment of fees to Registrar,
  • The payment made to fulfill requirements of the Act,
  • The payment made in order to maintain office or record, and
  •  Allotment of shares.

Moreover, a Dormant Company must have:-

  • 3 Directors in case of Public Company,
  • 2 Director in case Private Company, and
  • 1 Director in case of One Person Company

What are the documents required to be attached while filing form?

The following are documents are required to be attached:-

  1. Latest Financial Statement
  2. Statement of Accounts
  3. List of Shareholders
  4. List of Directors
  5. Notice of EGM
  6. Special Resolution
  7. Auditor’s Certificate

How to revitalize a Dormant company?

  • For obtaining the status of an Active company an application shall be made in Form MSC-4 and shall also file return in Form MSC-3of financial year in which application for obtaining the status of Active Company is being filed.
  • The Registrar shall, after considering the application in Form MSC-4, issue a certificate in Form MSC-5 allowing the status of an Active company to the applicant.

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