Compliance & Control

Compliance & Control

Compliances related to FEMA & RBI

For a country where capital is not readily available, Foreign Direct Investment (FDI) has been an important source of funds for companies. Under FDI, overseas money, either by an individual or entity, is invested in an Indian company.

In India, Foreign Direct Investment policy is regulated under the Foreign Exchange Management Act, 1999 governed by the Reserve Bank of India. According to Organization for Economic Co-operation and Development (OECD), an investment of 10% or above from overseas is considered as FDI.

FEMA has acted as an important source for the growth and development of various sectors in India. The main aim of FEMA is to facilitate external trade, balance payments, promote the orderly development, and maintain the foreign exchange market in India. Below is the list of important compliance to be followed under the provisions of FEMA:

  • Annual Return on Foreign Liabilities and Assets
  • Annual Performance Report (APR)
  • External Commercial Borrowings
  • Single Master Form (w.e.f. 30.06.2018)
  • Advance Reporting Form (ARF)
  • Form FC-GPR
  • Form FC-TRS
  • Form ODI”
ESI & PF – Monthly & Annual compliances

It is mandatory to provide some additional benefits to employees, which include Provident Fund (PF) and Employee State Insurance (ESI). These components are contributed by the employer as well as the employee in the required percentage. The EPF Act 1952 and ESI Act 1948 govern the allocation of these benefits for social security.

Compliance related to Shops & Establishement Act

ROC Annual Compliances

Compliances which are required to be made once a year by all the companies and LLP incorporated under the Companies Act. ROC compliances are mandatory and cannot be skipped. Noncompliance can lead to penalties and other legal issues pertaining to the Company. All the financial records should be maintained carefully in order to file accurate annual returns. All the Companies and LLP incorporated under the Companies Act are mandatorily required to file various forms, returns, and documents with the Registrar of Companies (ROC) in an electronic mode within the Perscribed time along with the Perscribed fees. It includes filling of various forms like ADT-1, AOC-4, and MGT-7 for companies, and FORM – 8, FORM -11 for LLP. NOTE – If a Company fails to comply with the provisions of annual filing, then the Company and every officer who is in default shall be punishable with the fine for the period for which default continues. Digital Signature (Class-2)There are certain forms and application which required to be signed digitally i.e. for MCA fillings, for e-tender filings, for ITR and GST of corporate entities. In all these cases the applicant must have to possess his signatures in digital forms. Apart from the above-mentioned cases, DSC can be applied to various electronic documents also Director Resignation & Appointment-Whenever there is an appointment or resignation of Directors or Partners in any Company or LLP, then intimation to the ROC in electronic forms, within due date is required. Failing to which attracts penalties. Company and every officer who is in default shall be punishable with the fine for the period for which default continues.Issuing/Allottment/Transfer of Shares & Share Certificate-Whenever shares are being issued, allotted and transferred, then few formalities are required to be complied with i.e. passing of resolutions, filling forms with ROC, and making entry in registers. These compliances are mandatory to comply within due dates to avoid penalties. Private Limited Windup-Winding up of Private Limited Company is a lengthy and time-consuming process, it requires Perparation and filling of various documents and forms with concerned ROC. Professionals who are dealing with these matters regularly can be of great help to peruse the process smoothly because visiting various government departments and liasioning with the concerned officer is required in this process.LLP WIndup-Winding up of LLP is a lengthy and time consuming process, it requires Perparation and filling of various documents and forms with concerned ROC. Professionals who are dealing with these matters regularly can be of great help to peruse the process smoothly, because visiting in various government departments and liasioning with concerned officer is required in this process.OPC Wind-up-Winding up of One Person Company is a lengthy and time-consuming process, it requires Perpar-ation and filling of various documents and forms with concerned ROC. Professionals who are dealing with these matters regularly can be of great help to peruse the process smoothly because visiting various government departments and liasioning with the concerned officer is required in this process.Change in Name-For changing name of any entity approval from Central Government is required. Along with this approval, few forms with required documents will be filed to concern ROC for approving the change of name. Desired name availability must be checked before proceeding for name change.Change in Objective-For expanding the business many organizations pursue to change its business objective. Change in objective is a time consuming and lengthy process as it requires the drafting of resolutions, getting approval from members and filing forms with concerned ROC.Change in Capital Name-Changing the registered address of any company or LLP requires filling of various forms and documents with ROC. After approval of the form, these changes shall be appearing on every document of the company i.e. Letterheads, Visiting Cards, Websites, Name Plates etc.Digital Signature (Class-3)There are certain forms and application which required to be signed digitally with class – III DSC only, i.e. for filling various government or private e-tender, class – III Digital Signature is mandatory. In these cases, the applicant must have to possess his signatures in class – III digital signature certificate only. Apart from the above-mentioned cases, class – III DSC can be applied to various electronic documents also.Maintaining & Updating Statutory Register & Records-There are few registers record which are manda-tory to be maintained and proper entry shall be made to these. register as per required laws. I.e. Register of Members, Register of Debenture-holder, Minute Books of Board of Directors and Committees of the Board, Minutes Books of General Meetings and Creditors Meetings, Books of accounts, etc.Drafting Resolutions/Minutes related to Board /General/Committee meetings-Being a separate legal entity, companies can give effect to its decision by way of proper resolutions. The decision of various meetings i.e. board and committee meetings are recorded in the minutes’ books of the company at regular interval as required by the Company Act and the decision of these meetings shall be recorded in the minute’s book of the company, which shall be kept at the registered office of the company.”

Periodically TDS/TCS related compliances

Annual & Other Periodic Compliances, Reconciliations and Audit

Transfer Pricing Documentation & Records

“Contemporaneous documentation means information, records and other documents which exist or brought into existence at the time the taxpayer is developing or implementing any arrangement that might raise transfer pricing issues. It is important that documentation on which assessee is placing reliance to establish arm’s length price should be the one which was available when the transaction was entered into between parties or latest by the time analysis was made and not created afterwards. In India the regulations provide that documentation must be existing latest by due date of filing form 3CEB is to be submitted with the return of income which contains the details of international transactions, transfer price as per books and arm’s length price computed by the methods selected by the taxpayer. The documents which were relied for computing arm’s length price or making comparability of transactions should be available by that date.

The concept of contemporaneous documentation is used in the transfer pricing regulations of many countries. Sub-rule (4) of rule 10D provides that information and documents should as far as possible, be contemporaneous and available latest by the specified date which is the due date of filing return of income. The words “as far as possible” used in the rule means that unless there are exceptional circumstances the documentation cannot be created at any available later date for evidentiary purpose. For example, if the taxpayer relies on the terms and conditions of a contract for provision of services, the contract must be entered into when the transaction is made or before due date of return. Any agreement made to support the transaction after due date even though given effect from earlier date cannot be regarded as contemporaneous documentation. The contemporaneous documentation can be in form of books, records, studies, budgets, plans, etc.”

CA Certification

Details For 15CA & 15 CB:

  • Details of Payment made to NRI
  • Amount of TDS deducted
  • Banking Details through which payment is made
  • Banking Details to Whom Payment is made


AR, AP, Payrol Accounting Outsourcing


The accounts payable and receivable service is a huge asset to all of our subscribed clients. Our team of experienced and certified accountants has a knack for keeping their eye on the ball and not letting anything slips through the cracks which guarantees all bills are paid on time. In addition to paying bills, our clients never have to chase down payments since we also stay on top of the accounts receivable. Attention to detail is just one of the many positive traits that our clients use to describe our accounts payable and receivable service.

AP & AR Services Included

Payable Services:

Invoice Management – We process all invoices that are sent to our clients. All questions regarding items, prices or general information about the invoices will be clarified by our team. Before payment is approved we verify all data on each invoice to ensure the correct total, the item listed, date, vendor, invoice number, etc.

Reporting – Reports of all transactions are generated monthly, quarterly and annually. Reports include all previous payments to each vendor along with the description and invoice number. Client invoices combined with the payroll and other expenditures allows us to provide the accurate reporting of all expenses generated by the company.

Recording – Records of post business transactions, invoices processed, payroll distribution along with other financial data is securely stored on our database. All transactions and correspondence from the beginning can quickly be retrieved at our client’s request.

Receivable Services

Debt Collections – Our team of accountants and collections personnel verify the delinquency of accounts and solicit payments on overdue debts. We compile all documents needed to prepare and post invoices and debit memos.

Banking – We prepare customer statements, bills and invoices and reconcile expenses to our client’s ledger. Our accounting team will make copies of all checks and deposits to verify details of transactions like funds received and total account balances.

Reporting – Reports of all transactions are generated monthly, quarterly and annually. Reports include all previous payments received along with the description and amounts. Our 100% accurate receivable tracking allows us to provide accurate reporting of all income generated by the company.”

Manufacturing Process Audit
  • A manufacturing process audit will identify the strengths and vulnerabilities of your automation process. Through the audit, you open the door to meeting requirements for operations, achieving a more efficient workplace, and creating high-quality products.
  • Our industrial engineering team knows your system inside and out. From actual systems to conceptual designs, we work with you to achieve your objectives when it comes to automation.
  • Here’s how getting a manufacturing process audit can help give your business the boost it needs to succeed.
  • Benefits of a Manufacturing Process Audit
    Choosing an experienced company to perform an independent evaluation of your systems can help you create the perfect flow for your workplace.
  • Our auditors know exactly how your processes should work. We rate and classify any problems we find and provide you with the opportunity to resolve issues to better support your operations.
  • Once we find any problematic areas, our team suggests corrective solutions and actions to boost your productivity. Our turn-key project solutions and our automation engineering services are just two of the expert support services we provide to help you boost operations.
  • Getting a manufacturing process audit can also help you with management support. Our audit is conducted through a comprehensively documented and thorough process to reveal various ranks of management. Through this process, employees are encouraged to help in order to provide their input while management focuses on corrective actions.
Receivable Services

“The Secretarial Audit is the fragment of Legal Compliance reporting system. The Government of India analyzes the requirement for Secretarial Audit India only by rewarding it with the due Statutory recognition to such an audit. It’s the responsibility of the company to undertake Company Secretarial audit on its own.

This audit assures the board of directors about compliance of different provisions affecting corporate entities and, in this way, help justify their Bonafede of non-involvement in any commission or omission, any technical error, violation or contravention and breaches. This direct the directors to adopt measures for mitigating the consequences of the offences they hadn’t committed deliberately. The secretarial auditor performs as a catalyst in case of multiple corporate laws dealing with corporate functions and handles the situation well in case of alarming increment in the implications. In this way it supports the Board of Directors and Government of India.

According to section 383 A (1), any company which doesn’t require a full-time secretary and bears the paid-up capital up to 10 lakhs. The Compliance Certificate was made compulsory under the Companies (Amendment) Act, 2000, w.e.f. 13-12-2000, which inserted a provision in section 383A (1) of the Companies Act making it mandatory for every company not required to employ a whole-time secretary under sub-section. The certificate is a proof of the completion of the procedure complying with all the relevant provisions. The copy of the certificate is to be attached with the Board’ s report referred in section 217. The company secretary audits the documents before being submitted to board of directors for concluding the position of the company.

The content, scope and criteria of the company secretarial audit are framed by the Central Government of India and the rules and regulations are devised accordingly. According to 2000, Compliance Certificate Rules, the secretarial Audit is always conducted in interest of every corporate management as; an independent professional can approve that the company has walked by the compliances under the Act. It also serves as the thing of larger interest for the shareholders, creditors and employees. It assists in department of company affairs and registrar offices, the documents filed by the small and medium companies enveloped in this provision, assure proper compliance. This will even be helpful in reducing work of the inspection department. The inherent objectives of secretarial Audit are:

  • Protection of apex management from uninvited hassles
  • Compliance of Statutory requirements by the company
  • The services cater exclusively to investors, lenders, shareholders for mitigating the scam levels.
Secretarial Audit Advantage:

Below are the respective advantages of the Secretarial Audit:

It is conducted for ensuring the owners that the management undertakings and other affairs of the company are conducted in accordance with the statutory requirements and the owner’s stake is in safe zone.
Ensures the Management of a company that those who are charged with the duty and responsibility of compliance with the legislation requirements are performing their duties competently, effectively and efficiently, so that the personality in charge of the regular monitoring of the management of the company doesn’t get exposed to penalty or other liability in case of non-compliance with the laws.

Assuring them of being thoroughly complied with the necessary regulations Repose faith in them that the company has complied with the laws and therefore they are free from any action by the enforcement agencies for non-compliance issues.

The secretarial audit being pro-active measure for compliance with a plethora of laws, it will have a salutary effect of substantially reducing the burden of the law-enforcement authorities The secretarial audit provides assistance to bodies like SEBI, Stock Exchanges, Financial Institutions, Banks, etc. for measuring the parameters of compliance and non-compliance by the concerned companies The Secretarial audit can prove an effective strategy for the prospective acquirer of the company and for the joint venture partners interests.

Comforting with hand on shoulder as an assurance for legal undertakings and the safe investment. SA will help unearth and check these practices and also enable law-enforcing agencies take well-timed corrective action by bringing to book the guilty. Secretarial audit provides comfort to the shareholder regarding the compliance and for ensuring them the safety of their investments.”


Drafting of Agreements

Accomplish the required objectives it’s critical for an company to have all the paperwork in proper order. However, this may be a challenging and sometimes stressful task for businessmen, start-ups and small companies. Records circumsphere Identification, Order, MOU, Ascent Act, Conveyance, Agreement Act, Market Records. The field legal drafting services in India is well developed field of Indian laws. It includes legal drafting, legal vetting and conveyance and contract law services. Documentation department provides all types of in-house documentation services which include venture deeds, Notary, agreements, collaboration agreements, drafting of court petitions, probate petitions, Special Power of Attorney and General Power of Attorney.

Commercial Agreements MOU’s

  • NDA’s
  • Confidentiality
  • Joint Venture
  • Research & Developments
  • Employee Engagement
  • Dealership/Distributorship
  • Franchisee
  • Miscellaneous
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