The Companies Fresh Start Scheme 2020 allows defaulting companies to file overdue documents without additional fees and receive immunity from prosecution, effective from April 1 to September 30, 2020. A similar LLP Settlement Scheme also permits limited liability partnerships to regularize filings during the same period with standard fees. Certain entities, such as those facing striking off actions or applications for dormant status, are exempt from these schemes.

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Company Fresh Start
Scheme 2020
S&A Knowledge Series
Prepared by Atin Kumar Agarwal Assistant Manager
www.sethspro.com info@sethspro.com New Delhi | Lucknow | Coimbatore

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The Corporate Affairs Ministry (MCA) has come up with the ‘Companies Fresh Start
Scheme 2020’ to enable companies make good of any filing-related defaults, irrespective
of duration of default, and make a fresh start as a fully compliant entity.
To provide a similar facility to Limited Liability partnerships (LLP), the MCA has also
revised the LLP Settlement Scheme 2020 which is in vogue now. Below is the synopsis
for both the schemes. Kindly contact us incase you have any defaulting companies or
LLP’s and seek to regularize them.
COMPANIES FRESH START SCHEME 2020
Applicability
Any Defaulting Company is permitted to file belated documents which were due for filing
on any given date in accordance with the provisions of this scheme.
Time Frame
This Scheme shall come into force on 01st April 2020 and shall remain in force till 30th
September 2020
Fees and Immunity
Every defaulting company shall be required to pay normal fees as prescribed under the
Companies Act on the date of filing each belated document and no additional fee shall
be payable. Furthermore, immunity from the prosecution and proceedings will be
provided only on the filing of belated documents.

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Non-Applicability
1 Companies against which action for final notice for striking off the name has already
been initiated.
2 Where any application has already been filed by the companies for action of striking
off the name of the company from the ROCs.
3 Companies which have been amalgamated.
4 Where application has already been made for Dormant Status.
5 To vanishing Companies.
6 Where any increase in authorized capital or charge related is involved.
LLP Settlement Scheme 2020
1 Scheme in Force: 01st April 2020 to 30th September 2020.
2 All Defaulting LLPs permitted to file belated documents which were due for filing till
31st August 2020.
3 Normal fees to be paid on belated documents.
4 Defaulting LLPs which have filed their belated documents till 30th September 2020
shall not be subjected to prosecution by the Registrar for such defaults.
5 Scheme shall not apply to LLPs which have applications in Form 24 to the Registrar,
for Striking off their name from the register.
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