Companies Fresh Start Scheme (CFSS)

A. Benefits for the Active Companies:

The Companies Fresh Start Scheme (CFSS) is applicable between the 1st of April, 2020 and the 30th of September, 2020.
As per Scheme the company Shall pay only the normal fees as prescribed by the Companies Rules, 2014 for all filings with the MCA 21 registry. No additional fees to be paid.
Scheme is not applicable in the Case any appeal filed by the company against any notice, complaint or order issued with regard to prosecution and proceedings related to the delay in statutory filing. The following steps are to be followed in scenario of aforesaid situation: -

1. Before registering under the CFSS 2020, the appeal filed by the company

should be withdrawn.

2. At the time of making the application for the scheme, the company must

furnish a copy of such withdrawal along with the application as proof.

Where the order has been passed by the court and the last date to file appeal against it falls between 1st March 2020 to 31st May, 2020. The company has not filed an appeal against the same as on the commencement of the scheme: -

1. The company is allowed 120 days to file an appeal before the Regional

Director.

2. During this period of 120 days, for the non – compliance of the order

passed by the court with regard to the delay in filing of any documents for

the same shall be condoned and no further action shall be initiated against

the company.

Form CFSS – 2020 to be filed by the companies under the scheme within 6 months from the closure of the scheme.

1. No fees to be paid on this particular form.

2. Immunity Certificate shall be granted by the designated authority.

Extension granted to file DIR-3 KYC/DIR-3KYC Web: Extended timelines between 1st April 2020 and 30th September 2020 is provided by MCA for the directors’ whose DIN is deactivated to come forward and file DIR-3KYC/DIR-3 KYC-Web. The filing fee of Rs 5,000 will not apply.

B. Benefits for the Inactive Companies:

Extension granted to file e-Form ACTIVE: An extended timeline between 1st April 2020 and 30th September 2020 is provided by MCA for the ‘ACTIVE non-compliant’ companies to come forward and file e-Form ACTIVE. The filing fee of Rs 10,000 will not apply.
Submit an application for striking off the name of the company from the Register of Companies by the companies which are Inactive by MCA
Submit an application for Dormant Status under Section 455 of the Companies Act, 2013 by way of filing of e-Form MSC – 1 along with the prescribed fees.

C. Non-Applicability of the Scheme:

Where the action for final notice of striking off the name as per the Companies Act, 2013 has already been initiated by the Designated Authority.
Where the company has already filed the Form STK – 2 along with the prescribed fees for the striking off of the name of the company from the Register of Companies.
Where the companies have been amalgamated under the scheme of arrangement or compromise.
Where the application for Dormant Status has been filed by way of Form MSC – 1 along with the prescribed fees.
Vanishing companies.
Companies that are marked for the Corporate Insolvency Resolution Process or Liquidation.
Where the following are involved: -

LLP Settlement Scheme

The LLP Settlement Scheme-2020 is applicable between the 1st of April, 2020 and the 30th of September, 2020.
Any “defaulting LLP” is permitted to file belated documents, which were due for filing till 31st August, 2020 in accordance with the provisions of this Scheme.
The defaulting LLPs may file form still 30th September,2020, till then No Additional fees will be charged to file forms.
The Scheme is not applicable on the LLPs that made an application in Form 24 to the Registrar, for striking off its name from the register as per provisions of Rule 37(1) of the LLP Rules, 2009.
The defaulting LLPs, which have filed their pending Forms till 30th September, 2020 and made good the default, shall not be subjected to prosecution by Registrar for such defaults.