One Person Company Registration In India

One person company registration occurs when there is only one person who is a member of the company. A company known as One person company (OPC), is a company that has one member instead of the usual practice of having at-least two members. A person who is a member of an OPC cannot be a member of another OPC. The Companies Act, 2013 has entirely changed the business in India by introducing new concepts and ideas. One person and one idea. A company is an entity which provides the flexibility and control that a company. The Companies Act, 2013 also gives advantage of limited liability, which was absent in sole proprietorships and partnerships. Registration of One person company is not mandated to include a cash flow statement in its financial statement. There is no need to hold an Annual general meeting in OPC. In accordance with the Companies Act, 2013 the “One person company” means a company that has only one person as a member. Formation of OPC under company law It is formed only by a natural person who is a citizen and resident of India- The term ‘resident of India’ states that a person who has stayed in India for a period not less than 182 days immediately preceding one calendar year. One person company is a private company created by a single person by signing the Memorandum of Association. One person company registration must also meet the requirements of the Companies Act, 2013. A MOA must include the details of the nominee who will be the person responsible to take over as the sole member of the company in the event of death or incapacity. In addition to the application for registration, the MOA and the consent of the nominee must be submitted to the Registrar of Companies. The nominee can withdraw his name at any time by giving the appropriate application to the Registrar. A member can apply for cancellation of his nomination at any time. 1. Private Company – As per the act, one person company registration can be done by a single person for any lawful purpose. It describes OPC as private companies 2. Single member- OPC can be incorporated by one member or shareholders, unlike other private companies. 3. Nominee- This is a unique feature that separates OPC from other kinds of companies in that the sole member of the company has to nominate a nominee while registering the company. 4. No perpetual succession- As per the law, there is only one member of OPC, and the death of the member will result in the nominee choosing or rejecting to become its sole member. 5. Minimum one director- One person company registration has to appoint a maximum one person (the member) as director. Here are the process for One Person Company Registration includes: Step 1: Apply for DSC Step 2: Apply for DIN Step 3: Name approval application Step 4: Documents required Step 5: Filling/Approvals of forms with MCA- Documents attached to the SPICe Form, e-MOA, and e-AOA along with the DSC of the director and the professional. The PAN and TAN have been generated automatically at the time of the Incorporation of the company. Step 6: Issue of Certificate of Incorporation A. Shareholder/Director Details: The One person company registration documents are listed below:- 1. PAN card 2. Identity proof from any one of the following: 3. Address proof Both the address proof and identity proof must be self-attested. 4. Mobile number and e-mail ID of the applicant 5. Passport size photo 5. Director Identification Number 6. Digital signature certificate B. Nominee details 1. 1. PAN card 2. Identity proof from any one of the following: 3. Address proof Both the address proof and identity proof must be self-attested. C. Registered address proof – It must be in the name of the owner of the premises and signed by the same. One person company registration provides the benefit from the following exemptions and privileges under the Companies Act After registration, every company gains a separate legal entity status and it becomes liable to comply with all the legal requirements mandated under the act. The basic Mandatory compliance by One person or company comprises: 1. At least One Board meeting in each half of the calendar year and the time gap between two board meetings should not be less than 90 days 2. One person company registration has to maintain proper books of accounts 3. Statutory audit of financial statements 4. Filing of income tax returns for every year before 30th September 5. Filing of annual filing form AOC-4 and ROC Annual Return in Form MGT-7. If you want to know more about it then you can search One person company Wikipedia on your search browser. One Person Company Registration Under Company Law
Concept of One Person Company
Features of OPC
Process for registering one person Company
Documents Required for Registration of OPC
Advantages of One Person Company
Limitation of one person company
Checklist for One person company registration
Mandatory compliance by One person company under Companies Act, 2013