Once a company is registered, it is imperative to prioritize compliance with various legal and regulatory requirements to ensure efficient and uninterrupted functioning. Compliance not only mitigates legal risks but also fosters trust among stakeholders and enhances the company's reputation. As the saying goes, it is easier to do things right the first time than to explain why mistakes were made later. Failure to comply with regulations can result in consequences ranging from fines to legal penalties, tarnishing the company's credibility and hindering its growth prospects.

Time-Bound Actions and Reporting:

After incorporation, there are several crucial time-bound actions and associated reporting requirements that companies must adhere to:

1. Appointment of Auditors: Within 30 days of incorporation, the company must appoint its first auditor. If the board fails to appoint one, shareholders can do so within 90 days.

2. Finalizing Registered Office: The company must finalize its registered office within 30 days of incorporation, as it determines the jurisdiction for legal matters.

3. Reporting of Receipt of FDI: If the company receives foreign direct investment (FDI) towards share subscription money, it must report this to the Reserve Bank of India (RBI) and file the Foreign Currency-Gross Provisional Receipt (FC-GPR) for issuing shares.

4. Issue of Share Certificates: Share certificates must be issued to shareholders within a reasonable time frame after incorporation.

5. Filing for Commencement of Business (INC 20A): Within 180 days of incorporation, the company must file a declaration of commencement of business with the Registrar of Companies (RoC).

6. Half-Yearly Return MSME Form 1: Companies must submit half-yearly returns in MSME Form 1, detailing outstanding payments to Micro, Small, and Medium Enterprises (MSMEs).

7. IEC Registrations: Depending on the nature of business operations, companies may need to obtain Import Export Code (IEC) registrations for engaging in international trade activities.

Compliance under Companies Act 2013:

The Companies Act 2013 governs various compliances for companies registered in India. These include:

• Conducting board meetings and stakeholder meetings as per prescribed timelines.
• Appointment of directors, key managerial personnel, and auditors.
• Creation or modification of charges on company assets.
• Maintenance of statutory records such as minutes, registers, and related documents.

Compliance under Labour Laws:

India has recently enacted four new labor codes, consolidating and replacing 29 national-level labor laws. These codes cover aspects such as wages, employment conditions, social security, and occupational health and safety. The implementation of these codes is expected to commence from April 1, 2022.

Additionally, the Sexual Harassment of Women at Workplace (Prevention, Prohibition, and Redressal) Act, 2013 mandates companies with 10 or more employees to constitute an Internal Committee (IC) to address sexual harassment complaints and submit an annual report by January 31st each year.

Compliance under Tax Laws:

Tax compliance involves filing various returns under the Income Tax Act, 1961 (including income tax returns and tax deduction at source), Goods and Services Tax (GST), customs, and excise laws. These filings ensure compliance with tax obligations and contribute to the company's financial transparency.

Compliance under FEMA:

For companies receiving inward remittances and subscriptions from non-residents at the time of incorporation, compliance with the Foreign Exchange Management Act (FEMA) is essential. This includes reporting remittances to the RBI and ensuring adherence to foreign exchange regulations.