If you have been allotted Director Identification Number i.e. DIN, it is essential for a DIN holder to file DIR-3 KYC every year. Director’s KYC needs to be updated annually by 30th September on MCA portal as a part of Compliance, otherwise Rs. 5000 will be levied as penalty.
Form DIR-3 KYC is a form that is used by directors in India to update their Know Your Customer (KYC) details with the Ministry of Corporate Affairs (MCA). The purpose of the form is to maintain accurate and up-to-date information about directors and to prevent fraudulent activities.
As per MCA recent announcement, any director who was allotted a DIN by or on 31st March 2018 and whose DIN is in approved status, will have to submit his KYC details to the MCA. Further, this procedure is mandatory for the disqualified directors too.
In case a director who is supposed to file the e-Form does not file it by 30th September on MCA 21 portal, the department will mark the DIN of such director as ‘Deactivated due to Non-filing of DIR-3 KYC’. If the director wishes to re-activate his DIN in future by filing the missed out eForm DIR-3 KYC, he can do so after paying a late fee of Rs 5,000.
Types of DIR-3 KYC Form:
Filing Form DIR-3 KYC is a legal requirement for directors of companies registered in India, and failure to file the form on time can result in penalties and fines. By filing the form, directors can ensure that they are in compliance with the law and avoid any legal consequences.
The form requires directors to update their personal and financial information with the MCA, which helps to maintain a centralized database of directors that is accurate and up-to-date.
The MCA's centralized database of directors helps to improve transparency in the corporate world by ensuring that information about directors is accurate and easily accessible.
The KYC process involved in filing Form DIR-3 KYC helps to prevent fraudulent activities by verifying the personal and financial information of directors.
By complying with the MCA's requirements and filing Form DIR-3 KYC, directors can demonstrate their good standing with the government and avoid any negative consequences for their business.
By having accurate and up-to-date information about directors, the MCA and other government agencies can more efficiently process any business-related applications or requests from directors.
