Obtaining certificate of commencement business

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This query is : Resolved

CMA Sachin Warat (Querist)

02 January 2016 Dear Sir,

If Public Company is incorporated under Companies Act, 1956 and Company has not started its business activity till date and not file any form for obtaining Certificate of Business Commencement. Under Companies Act, 2013 , Section 11 has been removed and Form 21 which is for obtaining certificate of business commencement has been removed from MCA Website.

Now, Company Wants to obtain its business Commencement Certificate , whether is it possible ?? or if yes , then what is the procedure ???

CA. Divyansh Agarwal

CA. Divyansh Agarwal (Expert)

02 January 2016 Requirement of certificate of commencement has been dispensed with in companies(amendement) Act 2015.

CMA Sachin Warat

CMA Sachin Warat (Querist)

02 January 2016 Yes, Sir I agree with you but Companies Amendment Act, 2015, applicable for those Companies incorporated under Companies Act, 2013. My query is for Companies incorporated under 1956 act.

CA. Divyansh Agarwal

CA. Divyansh Agarwal (Expert)

02 January 2016 there is no transitional provisions regarding applicability of old companies act on existing company when companies act 2013 was incorporated it was mentioned that new section would replace the old section hence old section can not be applicable for existing company, it was a relaxation provided in view of ease of doing business in companies amendment act 2015 hence no need to file any form whatsoever since mca has also deleted the section 11 thereby our liability ceases from retrospective effect if not complied as on date.

Pratik Shah

Pratik Shah (Expert)

04 January 2016 I agree with Divyansh bhai. No need to obtain certificate of commencement of business. Because as on date, there is no provision in the Act which mandates company to obtain COCB.
Even though Company had been incorporated under old Act, the company has not done any non-compliance bcz it did not start any business till date.

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