The Ministry of Corporate Affairs (MCA) has notified the Companies (Registration Offices and Fees) Amendment Rules, 2026 vide Gazette Notification G.S.R. 300(E). This regulatory update introduces pivotal revisions to the fee schedule governing the annual filing of Form DIR-3 KYC and the web-based verification module DIR-3 KYC WEB under Rule 12A of the Companies (Appointment and Qualification of Directors) Rules, 2014.
The notification reinforces the central government's ongoing mandate to maintain an authenticated, active register of corporate leadership across India while establishing clear statutory disincentives for compliance delays.
Executive Summary of Revised Fee Slabs
Under the amended Annexure to the Companies (Registration Offices and Fees) Rules, the fee structure is codified as follows:
Statutory Framework & Legal Mandate
The requirement for director identification and ongoing credential verification originates from Sections 153 and 154 of the Companies Act, 2013, read with Rule 12A of the Companies (Appointment and Qualification of Directors) Rules, 2014.
Every individual who has been allotted a Director Identification Number (DIN) as of the close of the financial year (31st March) is legally obligated to submit their KYC details to the Central Government annually on or before the 30th of September of the immediately following financial year.
1. Annual Electronic Filing (eForm DIR-3 KYC)
An individual submitting KYC for the first time following DIN allotment, or an individual whose personal particulars (legal name, nationality, father's name, PAN, passport number, permanent or present address) have changed since the previous filing, must file the comprehensive eForm DIR-3 KYC. This form requires:
- Digital Signature Certificate (DSC) of the applicant director.
- Professional certification by an independent practicing professional — Company Secretary (CS), Chartered Accountant (CA), or Cost & Management Accountant (CMA) in whole-time practice.
- Self-attested identity proof (PAN card mandatory for Indian nationals; Passport mandatory for foreign nationals) and residential proof (utility bill or bank statement not older than two months).
2. Web-Based Annual Re-Verification (DIR-3 KYC WEB)
Where a director has already filed the detailed eForm DIR-3 KYC in any previous financial year and no changes have occurred in their personal credentials, mobile number, or email ID, the director may complete their annual compliance through the simplified DIR-3 KYC WEB service on the MCA21 V3 Portal.
- This process is OTP-based, requiring dual OTP authentication sent to the director's registered Indian mobile number and personal email address.
- Neither a Digital Signature Certificate (DSC) nor professional certification is required for the web-based re-verification.
Severe Repercussions of Non-Filing or DIN Deactivation
Failing to complete DIR-3 KYC by the statutory deadline of September 30 triggers automatic technical and regulatory consequences across the MCA21 ecosystem:
- Immediate DIN Deactivation: The MCA system automatically marks the director's status as "Deactivated due to non-filing of DIR-3 KYC".
- Inability to Sign or File Statutory Forms: A deactivated DIN prevents the director from digitally affixing their DSC or being nominated as a signatory on any MCA e-form. Critical filings such as Form AOC-4 (Financial Statements), Form MGT-7 (Annual Return), Form ADT-1 (Auditor Appointment), and Form CHG-1 (Charge Creation) cannot proceed if the designated director's DIN is inactive.
- Disqualification Exposure under Section 164(2): If an enterprise defaults on mandatory annual return or financial statement filings for continuous periods because a director's DIN was locked, all directors on the board risk statutory disqualification under Section 164(2) of the Companies Act, 2013, barring them from directorships across all Indian entities for 5 years.
- Substantial Financial Penalty: The statutory fee to reactivate a deactivated DIN remains fixed at ₹5,000 per DIN, representing an avoidable deadweight cost for compliance departments managing multiple group company directorships.
Step-by-Step Procedure for DIN Reactivation on MCA V3 Portal
If a director's DIN has been deactivated due to missed deadlines, compliance professionals must execute the following protocol to restore active status:
- Log into MCA21 V3 Portal: Access the official portal using registered business user credentials.
- Access MCA Services: Navigate to MCA Services > DIN Services > DIR-3-KYC Web or download the offline e-form where biographical updates are required.
- Validate Director Credentials: Enter the deactivated 8-digit DIN. The system automatically fetches pre-filled details.
- Generate & Submit OTPs: Click 'Send OTP'. Enter the distinct one-time passwords received on the registered mobile number and email ID.
- Fee Payment of ₹5,000: Proceed to the integrated Bharatkosh / MCA payment gateway. Pay the statutory reactivation fee of ₹5,000 via Net Banking, Credit/Debit Card, or UPI.
- Instant SRN Generation: Upon successful payment confirmation, an Service Request Number (SRN) is generated, and the DIN is reinstated to "Active" status within 24 hours.
Compliance Best Practices for Corporates & CS Professionals
To ensure seamless governance and zero disruption during annual closing cycles:
- Conduct a DIN Audit Every July: Compile an internal master registry of all board members across parent and subsidiary entities to verify that current mobile numbers and email addresses remain accessible for OTP delivery.
- Track Foreign Directors Early: Expatriate and NRI directors frequently change foreign phone numbers or experience delays in receiving international SMS OTPs. Initiate their verification well ahead of the September 30 deadline.
- Utilize Fee Computation Tools: Calculate applicable late filing penalties and statutory ROC timelines using our dedicated MCA DIR-3 KYC Fee Calculator.
Frequently Asked Questions (FAQs)
Q1. Is DIR-3 KYC mandatory for disqualified directors?
Yes. As clarified by MCA circulars, even if a director has incurred disqualification under Section 164(2), they must still complete DIR-3 KYC filing to keep their identity credentials updated with the Registrar of Companies.
Q2. Can a deactivated DIN be reactivated without paying the ₹5,000 fee?
No. There is no waiver or condonation of fee available for DIR-3 KYC reactivation unless the Central Government issues a specific statutory scheme (such as the earlier CFSS). The ₹5,000 fee is mandatory under the Companies (Registration Offices and Fees) Rules.
Q3. How can a director update their registered mobile number or email ID?
If there is any change in mobile number or email address, the director cannot use the DIR-3 KYC WEB facility. They must file the comprehensive eForm DIR-3 KYC with supporting documentation, digitally signed with their DSC and certified by a practicing CS, CA, or CMA.
