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Year-end review 2025: Ministry of Corporate Affairs Threshold limit of paid-up share capital and turnover for small companies enhanced The Companies (Removal of Names of Companies from the Register of Companies) Rules, 2016 on 31st December, 2025 amended to provide easier procedure for closure of
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FAQ :
The scope of Fast Track Mergers and Demergers has been widened to include additional classes of companies, such as two or more unlisted companies (excluding Section 8 companies) meeting specific thresholds, and holding and subsidiary companies (unless the transferor is listed). This aims to reduce the time and cost of corporate restructuring.
As of September 2025, creditors have realised £3.99 lakh crore under the IBC, which represents 170.09% against the liquidation value and 93.79% of the fair value.
The MCA has enhanced the threshold for small companies to £10 crore paid-up share capital and £100 crore turnover. The annual KYC requirement for directors has been replaced with a simpler KYC intimation every three years. Procedures for closing government companies have also been made easier.
The Investor Education and Protection Fund Authority (IEPFA) launched an Integrated Portal and Dedicated Call Centre in August 2025 to expedite claim settlements and enhance investor support. This digital process significantly reduces the time for transferring shares and dividends.
Three new Regional Directorates (RDs) and six new Registrar of Companies (RoCs) offices are scheduled to become operational from 1st January 2026.
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