Applicability On Companies
The MCA has notified the new provision on 26th January 2019 which shall have retrospective effect to all companies incorporated on or after 2nd November 2018. Hence every applicable company must take steps to file INC-20A ASAP.
No Activity until approval of INC-20A
A company must not enter into any transaction or business activity before approval of INC-20A. In other words, any agreement, sale, purchase without the issue of the certificate of commencement of business shall be an illegal activity.
Deposit of Capital from Promoters
The share capital amount must be deposited in the company bank A/c through Banking Channels only. However, it may be deposited in parts but the aggregate transfer should exactly match with the paid-up capital.
List of Documents for Filing INC-20A
The company must check if the registered address has been reported to ROC at the time of incorporation or not and obtain Bank Statement of Company Showing transaction pertaining to capital. Now file INC-20A with DSC.