OPC Closure / Strike Off
Quick Answer
OPC Closure / Strike Off India refers to the process of voluntarily removing a One Person Company (OPC) from the Register of Companies, effectively ending its legal existence. This business closure procedure is governed by the Companies Act, 2013 and is handled by the Registrar of Companies (ROC).
OPC Closure / Strike Off — detailed explanation below
Governing Act — OPC Closure / Strike Off India
The primary legislation governing OPC closure / strike off India is the Companies Act, 2013. Specifically, Section 248 of the Act empowers the Registrar of Companies to strike off the name of a company from the register on grounds such as failure to commence business within one year of incorporation or cessation of operations. The Companies (Removal of Names of Companies from the Register of Companies) Rules, 2016 provide the procedural framework for voluntary strike off.
Government Department & Website for OPC Closure / Strike Off India
The Ministry of Corporate Affairs (MCA) is the government department responsible for OPC closure / strike off India. All applications for strike off are filed through the MCA21 portal (www.mca.gov.in). The Registrar of Companies (ROC) having jurisdiction over the registered office of the OPC processes the application.
OPC Closure / Strike Off India Application Process
The process for OPC closure / strike off India involves several steps. First, the OPC must pass a board resolution authorizing the closure. Then, the company must file Form STK-2 (Application for Removal of Name of Company) along with the required documents. The ROC reviews the application and may issue a notice seeking objections. If no objections are received, the ROC publishes a notice in the Official Gazette and strikes off the company's name.
Key Forms Required for OPC Closure / Strike Off India
The key form for OPC closure / strike off India is Form STK-2 (Application for Removal of Name of Company). Additionally, the company must file Form STK-3 (Statement of Accounts) and Form STK-4 (Indemnity Bond) as part of the application. These forms are available on the MCA21 portal.
Eligibility Criteria for OPC Closure / Strike Off India
An OPC is eligible for OPC closure / strike off India if it has not commenced business within one year of incorporation, or has ceased operations, or has no assets or liabilities. The company must also have no pending litigations or dues to creditors. The OPC must have filed all annual returns and financial statements up to the date of closure.
Timeline for OPC Closure / Strike Off India
The timeline for OPC closure / strike off India depends on the ROC's processing. After filing Form STK-2, the ROC typically takes a few months to review and issue a notice. If no objections are raised, the strike off is published in the Official Gazette. No specific time estimate can be given as it varies by case.
Fees for OPC Closure / Strike Off India
The government fees for OPC closure / strike off India are prescribed under the Companies (Registration Offices and Fees) Rules, 2014. The fee for filing Form STK-2 is based on the nominal capital of the OPC. Below is the fee structure:
| Nominal Capital | Fee (INR) |
|---|---|
| Up to ₹1,00,000 | ₹500 |
| ₹1,00,001 to ₹5,00,000 | ₹2,000 |
| ₹5,00,001 to ₹50,00,000 | ₹5,000 |
| Above ₹50,00,000 | ₹10,000 |
Note: Additional fees may apply for late filing of documents.
Frequently Asked Questions
What is OPC Closure / Strike Off India?
OPC Closure / Strike Off India is the process of voluntarily removing a One Person Company from the Register of Companies, thereby ending its legal existence. It is governed by Section 248 of the Companies Act, 2013.
Who can apply for OPC Closure / Strike Off India?
An OPC that has not commenced business within one year of incorporation, or has ceased operations, or has no assets or liabilities can apply for OPC Closure / Strike Off India. The company must have no pending dues or litigations.
What forms are required for OPC Closure / Strike Off India?
The key forms for OPC Closure / Strike Off India are Form STK-2 (Application for Removal of Name), Form STK-3 (Statement of Accounts), and Form STK-4 (Indemnity Bond). These are filed on the MCA21 portal.
What is the fee for OPC Closure / Strike Off India?
The government fee for OPC Closure / Strike Off India depends on the nominal capital of the OPC. For capital up to ₹1,00,000, the fee is ₹500; for capital up to ₹5,00,000, it is ₹2,000; and so on as per the prescribed fee schedule.
Can an OPC be struck off without filing annual returns?
No, for OPC Closure / Strike Off India, the company must have filed all annual returns and financial statements up to the date of closure. Failure to do so may result in rejection of the application.
What happens after the OPC is struck off?
After OPC Closure / Strike Off India, the company ceases to exist as a legal entity. The ROC publishes a notice in the Official Gazette, and the company's name is removed from the register. The director(s) are relieved of further compliance obligations.
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