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Exemption from Penalty for delayed Board meeting

482 views 2 replies

Accounts YFTI

6 Points Posted on 20 January 2026

Dear Sir/Madam,

We are Section-8 Charitable Pvt ltd Co with a smal size. We held AGM on 7.10.25 instead of 30.9.25 because the financials were signed by the auditor with the date as 7.10.25. Now can anybody guide me how to escape from compounding penalty. I heard that the penalty may be in lakhs.Our company secretary has already filed MGT-7 and AOC-4 . KIndly guide me

Thanks

Regards

Mahesh S V

Replies (2)

Quick Summary

A 7-day delay in AGM for a Section 8 company can't be fully exempted, but penalty is usually not huge. File compounding (GNL-1) promptly to show good faith; cost is likely moderate, not in lakhs for such short delay.

Aashok F C Advisory

Finance & Compliance Consultant | FP

362 Points Posted on 20 January 2026

Can you escape completely? No, because the forms are filed with the late date.
Will it cost lakhs? Unlikely for a 7-day delay if you file for compounding.
Immediate Action: Ask your Company Secretary to prepare the Compounding Petition (GNL-1) immediately to show good faith.