All about DIR 3 KYC Forms for Directors

From permanent to annual

There was a time when only one-time filing of e Form Dir-3 as needed from the directors to get access to the Director’s Identification Number. However, with more scrutiny towards the filing approach, this has changed as well. To that end, in order to update the registry, the MCA has put forward a rule where all the directors that have access to the DIN have to fill their annual details in eForm DIR-3 KYC.

Who is going to need to file the DIR-3 KYC?

As per the recent announcement made by the Ministry of Corporate affair, any director of the company who has been allotted KYC either oh 31st Mark 2018 or before this period of time, will need to submit the duly filled KYC eForm. The due date that has been granted for this is 31st August 2018. However, in the forthcoming financial years, they granted date for this purpose is by 31st April 2018. Furthermore, this new application is required to be filed by the disqualified directors as well.

Filing the eForm DIR-3 KYC: The checkpoints

The checkpoints pertaining to filing the eForm DIR-3 KYC are as follows:

1. One Time Password: Within the eForm, every director would have to provide a unique personal mobile number along with their email addresses. The reason for this requirement is to accommodate the one time Password verification system.
2. Digital signature: This is the second checkpoint required is the digital signature. The director would have to fill the form using their own digital signatures.
3. The Right information: It is one of the most necessary things to remember: make sure that each and every information that you put forward in the columns is a right one. To the end make sure that you get this form filled by a chartered account or a company secretary or a cost and management accountant who are registered.

The consequences of not filling the DIR-3 KYC form in the due time

If one director fails to comply with filing this form, there are consequences associated with this. The due date that has been given this year is 31st August 2018. If by that time, the form has not been filled, then the department will mark the DIN of that director as “Deactivated”, with the reason for that given as “Non Filing of DIR-3 KYC”.

Is there a way to get DIN back once the date is over?

Fortunately, the MCA has provided a way to get back the access of the DIR once the date is over. To that end, if one director fails to comply with filing the form before the date that has been presented, they are given another chance to do so. That being said, they will be penalized INR 5000 for that. Once they have paid the penalty and filled the eForm, they will get back the access of their DIN.

What are the documents required for Filing the DIR-3 KYC?

The documents required for the DIR-3 KYC are the following:

1. Details pertaining to the nationality of the director and other details like the gender and the date of birth.
2. The PAN (Permanent account number)
3. Voter Identity Card (A proof of identity)
4. A Passport (a mandatory documents for the foreign nationals who have access to the DIN)
5. Driving License (it is one of the optional documents that can be provided instead of the voter’s ID for Identification)
6. Aadhar Card
7. Personal Email address
8. Personal Mobile number

(The above two are needed for the OTP verification method)

Details pertaining to the residential address

You can get access to these documents on your own. The following are the ones which will require the assistance of a certified charted accountant, company secretary of a cost Accountant:

1. A Digital signature that belongs to the individual who is filing the form.
2. The documents that have been mentioned in the above list are to be attested by the practising professionals like the following:
   • Cost Accountants.
   • Company secretary.
   • Chartered Accountant.
3. Furthermore, there is also need of a declaration that is to be provided by the applicants. This declaration is to be attested by the professionals who are “currently” practicing.

What is the fee that is involved with the filing of this eForm?

As of right now, there is no fee required to fill this form. However, as all of this is needed to be attested by the professionals, you might need to provide the professionals with the fee to fill this. Furthermore,   if you have deferred for long and you are filing e Form after the due date, then you already are aware of the mentioned penalty of INR 5000.

Process of Filing DIR3 KYC

The following are the steps that you need to follow through in order to fill the aforementioned eForm:

1. Go to the official website to initial the process: Go to the MCA website first and download the said form.
2. Provide all the pertaining details that are related to the DIN: Once you are on the website, you need to provide all the details pertaining to your Director’s Identification Number in the KYC form.
3. Enter your name and other relevant credentials in the form: The application would have to first enter their first and the last names.  Now, while you are filing this detail, make sure that these details are accurate in the sense that they match the details that you have given in the PAN. The other relevant credential is your address. Make sure that it matches the PAN database as well.
4. Declare your nationality: One of the most important things to declare and fill correctly in this form is your nationality. If you are a foreigner, you must select the passport as the document provided to prove that you are a foreigner.
5. Declare your age: Enter your date in the dd/mm/yyyy format. You need not be told that the minimum age should be 18.
6. Enter your permanent address: while you are inputting the details pertaining to your permanent address, make sure that you are aware of each and every facet of your address. For example, if you have chosen your nationality as “India”, you need to be aware of the pin code to be put here. Furthermore, the address that you have provided should match completely with the residential proof that you have provided.
7. PAN verification: Once you have entered your Permanent Account Number or PAN, you will be prompted to select the “Verify income-tax PAN”. Doing so will start the verification process of your details in respect to your PAN number. The Pan that you enter should be the same as the PAN that you have entered in the Digital signature (DSC). As for the foreign nationals with no access to PAN, the name that they have mentioned must be the same as given in the DSC.
8. Update your contact details: Once you enter your contact number, your number will be verified with the One-time password.  Similar is the case with the email address as this one will also be verified with a One Time Password.
9. After the form completion and adding the required documents, you need to click on the submit button. Once you do that, the MCA will provide you with a serial number for future correspondence. Furthermore, you will also receive an email that would entail the attachments of the approval receipt.

Attachments that are required along with the eForm

You will have to upload the following attachments along with the eForm in order to provide the Authentication of what you have filled in the form:

1. Permanent address proof
2. Aadhar Card Copy
3. Passport Copy
4. Present address Proof

The latter 3 attachments are conditional and should be provided along with digital signature.

Once you have filled the form, you wait for the next year to do the same, only then, you will have to do it sooner as the due date is much sooner as well.