Annual Compliance for OPC in Hyderabad – A Simple Guide

A One Person Company (OPC) is a popular business structure for solo entrepreneurs who want to enjoy the benefits of a private limited company. However, just like other companies, an OPC also needs to follow certain annual compliances as per the Companies Act, 2013. If you're running an OPC in Hyderabad, here's a simple guide to help you understand what needs to be done.

What is Annual Compliance?

Annual compliance requires submitting specific documents and reports to the Registrar of Companies (ROC) on a yearly basis. These filings show your company’s financial health and legal status. Failing to do so may lead to penalties and legal issues.

Key Annual Compliances for OPC in Hyderabad

1. Annual Return (Form MGT-7A)

• Filed with the ROC within 60 days from the conclusion of the Annual General Meeting (AGM).
• Since OPCs are not required to hold AGMs, this is filed within 180 days from the end of the financial year.
• It contains basic company details, such as directors, shareholding structure, and more.

1. Financial Statements (Form AOC-4)

• Must be filed within 180 days from the end of the financial year.
• This includes the Balance Sheet, Profit & Loss Account, and Auditor’s Report.

1. Income Tax Return (ITR-6)

• OPCs must file their income tax returns annually, regardless of whether they have a profit or a loss.
• The due date is usually 30th September (if the audit is applicable).

1. Director's Report

• Though not mandatory to conduct a board meeting, a Director’s Report must be prepared and attached with AOC-4.

1. Statutory Audit of Accounts

• Every OPC must get its accounts audited by a Chartered Accountant.
• The audit report should be prepared before filing AOC-4.

Why is Compliance Important?

• Avoid penalties and legal complications.
• Maintain a good reputation and creditworthiness.
• Stay eligible for business loans or funding.
• Ensure smooth business operations in Hyderabad or anywhere else in India.

Final Thoughts

Annual compliance for OPCs in Hyderabad is not overly complex, but it must be taken seriously. It’s always wise to consult a professional or hire a compliance service provider to ensure timely and error-free filings.