Circular
General Circular No. 01/2026
F.No. Policy-02/2/2020-CL-V
Issued On
24 February 2026
Scheme Opens
15 April 2026
Scheme Closes
15 July 2026
Additional Fee Relief
Pay Only 10%
90% waived on annual filings
Signatory
Dr. Amit Kumar, I.C.L.S.
Deputy Director (Policy), MCA
⏰ URGENT — SCHEME CLOSES 15 JULY 2026 | ACT NOW
The Ministry of Corporate Affairs has launched the Companies Compliance Facilitation Scheme, 2026 (CCFS-2026) vide General Circular No. 01/2026 dated 24 February 2026. The scheme is active from 15 April 2026 to 15 July 2026. Companies with pending annual filings can pay only 10% of the applicable additional fees. Dormancy available at half the normal fee. Strike-off at 25% of filing fees. No separate form required. After 15 July 2026, ROC shall initiate action against companies that did not avail the Scheme — including adjudication notices and strike-off proceedings; companies with 3 consecutive years of non-filing also risk director disqualification under Section 164(2).
The Ministry of Corporate Affairs (MCA), Government of India, vide General Circular No. 01/2026 (F.No. Policy-02/2/2020-CL-V) dated 24th February, 2026, issued from the 3rd Floor, Kartavya Bhavan-1, New Delhi — signed by Dr. Amit Kumar, I.C.L.S., Deputy Director (Policy) and addressed to DGCoA, all Regional Directors, all Registrars of Companies, and all stakeholders — has introduced the Companies Compliance Facilitation Scheme, 2026 (CCFS-2026). The Scheme is issued by the Central Government in exercise of powers conferred under Section 460 read with Section 403 of the Companies Act, 2013. The fees framework is governed by the Companies (Registration Offices and Fees) Rules, 2014.
The Scheme condones delay in filing of annual returns and financial statements, and enables inactive or defunct companies to opt for dormancy or closure at concessional fees. It is a one-time opportunity operative from 15 April 2026 to 15 July 2026. With effect from 1st July 2018, an additional fee of ₹100 per day is applicable for delay in filing annual returns and financial statements, without any upper limit — meaning accumulated additional fees can run into lakhs for companies with multi-year defaults. CCFS-2026 reduces this burden to just 10% of the accumulated additional fees for eligible companies.
Why MCA Launched CCFS-2026
📈 20 Lakh+ Active Companies
The number of active companies in India has crossed 20 lakh — driven by MSMEs, new-age entrepreneurs, producer companies, and OPCs. Many of these entities have faced difficulty in completing annual compliances in time.
💸 ₹100/Day — No Upper Limit
Since 1 July 2018, additional fees of ₹100 per day apply on delayed annual returns and financial statements without any upper ceiling. Illustrative example: for companies with 3–4 years of pending filings, this can work out to roughly ₹1.5 lakh+ per form (calculation, not an MCA-published figure).
📢 Stakeholder Representations
MCA received representations from various stakeholders — particularly MSMEs and private companies — requesting waiver of accumulated additional fees through a scheme, citing genuine compliance difficulties.
🗄️ Registry Accuracy
A meaningful share of active companies have fallen behind on annual compliances. CCFS-2026 aims to ensure the MCA-21 registry reflects accurate, up-to-date information on company status and compliance.
📋 REGULATORY FOUNDATION
CIRCULAR
General Circular No. 01/2026 | F.No. Policy-02/2/2020-CL-V | Dated 24 February 2026
LEGAL BASIS
Section 460 read with Section 403, Companies Act, 2013
FEES GOVERNED BY
Companies (Registration Offices and Fees) Rules, 2014
SIGNATORY
Dr. Amit Kumar, I.C.L.S., Deputy Director (Policy), MCA
ADDRESSED TO
DGCoA, All Regional Directors, All Registrars of Companies, All Stakeholders
ISSUED FROM
3rd Floor, Room No. 13020, Wing-D, Kartavya Bhavan-1, Dr. R.P. Road, New Delhi – 110001
Three Options Under the Scheme (Para 4)
A
Annual Filings — 10% of Additional Fees
Companies with pending annual filings (Annual Returns and Financial Statements) can complete them by paying normal fees as prescribed under the rules PLUS only 10% of the total additional fees payable on account of delays.
Fee table (Para 5(iv)(a)):
Normal fees → As prescribed under the rules
Additional fees → 10% of additional fees as prescribed under the rules
Normal fees → As prescribed under the rules
Additional fees → 10% of additional fees as prescribed under the rules
B
Dormant Company — Half of Normal Filing Fee
Inactive companies may apply for Dormant Company status under Section 455 of the Companies Act, 2013 by filing e-form MSC-1. Under the scheme, only one-half of the normal filing fees applicable under the rules are payable. Dormant status enables the company to remain on the register with minimal compliance requirements.
Form: e-form MSC-1
Fee: 50% of normal filing fees
Fee: 50% of normal filing fees
C
Strike Off — 25% of Filing Fees
Companies that wish to close permanently may file an application in e-form STK-2 during the currency of the scheme and pay only 25% of the applicable filing fees under the Companies (Removal of Name of Companies from the Register of Companies) Rules, 2016.
Form: e-form STK-2
Fee: 25% of applicable filing fees
Fee: 25% of applicable filing fees
Relevant E-Forms Covered Under CCFS-2026 (Para 5(ii)(c))
📄 UNDER COMPANIES ACT, 2013
MGT-7 Annual Return
MGT-7A Annual Return (OPC/Small Co.)
AOC-4 Financial Statements
AOC-4 CFS Consolidated Financial Statements
AOC-4 NBFC (Ind AS) NBFC Financial Statements
AOC-4 CFS NBFC (Ind AS) Consolidated NBFC
AOC-4 (XBRL) Financial Statements (XBRL)
ADT-1 Auditor Appointment
FC-3 Annual Accounts — Foreign Company
FC-4 Annual Return — Foreign Company
📜 UNDER COMPANIES ACT, 1956 (OLD FORMS)
Form 20B Annual Return (listed company)
Form 21A Annual Return (unlisted company)
Form 23AC Balance Sheet
Form 23ACA Profit and Loss Account
Form 23AC-XBRL Balance Sheet (XBRL)
Form 23ACA-XBRL P&L Account (XBRL)
Form 66 Compliance Certificate
Form 23B Information by Auditor
Eligibility — Who is Excluded (Para 5(iii))
All companies are eligible to file relevant e-forms under CCFS-2026 except the following five categories:
EXCLUDED (a)
Companies against which action of final notice for striking off under Section 248 of the Companies Act, 2013 (previously Section 560 of Companies Act, 1956) has already been initiated by the Registrar.
EXCLUDED (b)
Companies which have filed application for striking off their name from the register of companies.
EXCLUDED (c)
Companies which have already filed for Dormant Status under Section 455 of the Companies Act, 2013 before the inception of this Scheme.
EXCLUDED (d)
Companies which have been dissolved pursuant to a scheme of amalgamation under the Companies Act, 2013.
EXCLUDED (e)
Vanishing companies.
Immunity Provisions (Para 5(v)) — Critical Details
(a) Immunity for Section 92 and Section 137 Defaults — Annual Return and Financial Statements
Under the proviso to Section 454(3) of the Companies Act, 2013, the relevant proceedings under Section 92 (Annual Return) or Section 137 (Financial Statements) shall be concluded and no penalty shall be leviable if filings are made under the scheme:
✅ CASE (i) — FULL IMMUNITY
Filing made prior to issuance of notice by the adjudicating officer → proceedings concluded, no penalty leviable
✅ CASE (ii) — FULL IMMUNITY
Filing made within 30 days of issuance of notice by the adjudicating officer → proceedings concluded, no penalty leviable
⚠️ NO IMMUNITY IN THESE CASES: Where filing is made under the scheme but (i) the 30-day period after issuance of adjudication notice has already expired, OR (ii) an adjudication order imposing penalty under Section 92 and Section 137 has already been passed — the liability to pay penalties shall NOT change by virtue of having made filings under this Scheme.
(b) Immunity for ADT-1, FC-3, FC-4 and Old Act Forms
For the following forms, immunity is granted against prospective penal action in respect of delayed filing:
Covered forms: ADT-1, FC-3, FC-4, Form 20B, Form 21A, Form 23AC, Form 23ACA, Form 23AC-XBRL, Form 23ACA-XBRL, Form 66, Form 23B
Conditions for immunity (both must be satisfied):
✅Condition (i): The said forms are filed under the Scheme; AND
✅Condition (ii): No prosecution has been filed, or adjudication proceedings initiated by issuance of a show cause notice, for such default, before the filing of such forms under the Scheme.
📌 KEY FEATURE — NO SEPARATE FORM REQUIRED (Unlike CFSS-2020)
Unlike the earlier CFSS-2020 scheme which required companies to separately file e-form CFSS-2020 to claim immunity, CCFS-2026 does not prescribe any separate registration or immunity application form. There is no requirement to file a separate form to avail immunity under the Scheme. Filing the relevant overdue form itself is sufficient. The immunity provisions operate automatically based on the timing of filing relative to any adjudication notice.
Before vs. After: Fee Comparison
What Happens After 15 July 2026 (Para 6)
⚠️ ENFORCEMENT AFTER SCHEME CLOSURE
The circular (Para 6) explicitly states: "At the conclusion of the Scheme, the Registrars of Companies concerned shall take necessary action under the Act against the companies who have not availed this Scheme and are in default of filing these documents in a timely manner."
ADJUDICATION NOTICES
ROC may issue adjudication notices for penalties under Section 454 for defaults under Sections 92 and 137
STRIKE-OFF PROCEEDINGS
ROC may initiate suo motu strike-off proceedings under Section 248 against continuously defaulting companies
DIRECTOR DISQUALIFICATION
Continued non-filing for 3 consecutive years may trigger director disqualification under Section 164(2)(a)
FULL ADDITIONAL FEES
₹100/day additional fees resume in full — without any upper limit or scheme benefit
Who Benefits and How
Compliance Action Points
🔴 IMMEDIATE — DO TODAY
☐ Check eligibility — confirm the company does not fall in any of the 5 excluded categories (final strike-off notice issued, application for strike-off already filed, dormant status already applied for, dissolved under amalgamation, vanishing company)
☐ Pull the company's filing history from MCA portal — identify all pending forms: MGT-7, MGT-7A, AOC-4, ADT-1, and any old 1956 Act forms
☐ Calculate the fee relief — compute total additional fees accumulated and determine 10% amount payable under CCFS-2026
☐ Check for any adjudication notices already received — if notice issued within 30 days, file immediately under scheme to avail immunity
📋 FOR ACTIVE DEFAULTING COMPANIES
☐ File all pending MGT-7 / MGT-7A (Annual Returns) on MCA-21 portal by July 15, 2026 — pay normal fees + only 10% of accumulated additional fees
☐ File all pending AOC-4 / AOC-4 CFS / AOC-4 XBRL (Financial Statements) — same fee structure as annual return
☐ File pending ADT-1 if applicable — immunity available against prospective penal action if no prosecution/SCN issued before filing
☐ Do NOT file a separate form for immunity — filing the overdue form itself is sufficient under CCFS-2026
📋 FOR INACTIVE / DEFUNCT COMPANIES
☐ Decide between dormancy and strike-off: (i) If company intends to resume operations later → file MSC-1 for Dormant Status at 50% fees; (ii) If company is permanently closed → file STK-2 for strike-off at 25% fees
☐ For strike-off — confirm the company has not already received a final notice under Section 248 (per the Scheme's exclusion list); if any Registrar-initiated process is underway, verify current MCA-21 status and clear pending filings before filing STK-2
📋 FOR CS/CA PROFESSIONALS
☐ Conduct a portfolio-wide audit — identify all client companies with pending MGT-7, AOC-4, ADT-1, FC-3, FC-4 filings and flag them immediately
☐ Brief clients on immunity conditions — particularly the critical distinction: (i) full immunity if no adjudication notice or filed within 30 days of notice vs. (ii) no penalty immunity if adjudication order already passed
☐ Do not wait until July — MCA portals experience congestion at deadline. File early within the April 15–July 15 window
☐ Separately confirm the company's INC-22A (Active) filing status — pending INC-22A may have its own implications independent of CCFS-2026. Verify the current MCA position on this before advising clients, as it is not addressed in General Circular No. 01/2026
📎 SOURCE & REFERENCES
Primary Source: MCA General Circular No. 01/2026 | F.No. Policy-02/2/2020-CL-V | Dated 24 February 2026
Issued by: Ministry of Corporate Affairs, 3rd Floor, Room No. 13020, Wing-D, Kartavya Bhavan-1, Dr. R.P. Road, New Delhi – 110001
Signed by: Dr. Amit Kumar, I.C.L.S., Deputy Director (Policy)
PDF: mca.gov.in (Official PDF)
MCA Official FAQs on CCFS-2026: Issued April 22, 2026 — available on mca.gov.in
Legal Basis: Section 460 read with Section 403, Companies Act, 2013; Companies (Registration Offices and Fees) Rules, 2014
Related Provisions: Section 92 (Annual Return); Section 137 (Financial Statements); Section 248 (Strike-off); Section 455 (Dormant Company); Section 454(3) (Adjudication); Section 164(2) (Director Disqualification); Companies (Removal of Name of Companies from the Register of Companies) Rules, 2016
Issued by: Ministry of Corporate Affairs, 3rd Floor, Room No. 13020, Wing-D, Kartavya Bhavan-1, Dr. R.P. Road, New Delhi – 110001
Signed by: Dr. Amit Kumar, I.C.L.S., Deputy Director (Policy)
PDF: mca.gov.in (Official PDF)
MCA Official FAQs on CCFS-2026: Issued April 22, 2026 — available on mca.gov.in
Legal Basis: Section 460 read with Section 403, Companies Act, 2013; Companies (Registration Offices and Fees) Rules, 2014
Related Provisions: Section 92 (Annual Return); Section 137 (Financial Statements); Section 248 (Strike-off); Section 455 (Dormant Company); Section 454(3) (Adjudication); Section 164(2) (Director Disqualification); Companies (Removal of Name of Companies from the Register of Companies) Rules, 2016
Disclaimer: This article is prepared for informational purposes only and does not constitute legal advice. Readers should refer to the original MCA General Circular No. 01/2026 and official FAQs dated April 22, 2026 before acting. CorpLawUpdates.in is not responsible for any action taken in reliance on this content.
