The due date for DIR 3 KYC update is Sept 30, 2022.
A Director identification number (DIN) refers to a unique identification number of 8 digits allotted to an individual who is willing to become a director or is an existing director of a company.
MCA vide amendment of Companies Rules, 2014 came with a new initiative of updation of KYC of directors in order to have transparency. MCA has mandated for all individuals having DIN to submit their KYC details in e-Form DIR 3 KYC every year.
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Who is required to File e-Form DIR 3 KYC?
As per Rule 12A of Companies (Appointment and Qualification of Directors) Rules, 2014, the following individual needs to file form DIR-3 KYC:
Who is required to File e-Form DIR 3 KYC-WEB?
Web-based DIR-3 KYC is applicable to those individuals who have submitted the DIR-3 KYC form in the previous year and requires no updation in KYC details in the present year. The user needs to log in on the MCA Portal and update his KYC by verifying the OTP on his mobile and email id. After verifying, submit the form and generate the challan. There is no need for professional certification required in the case of web-based DIR-3 KYC.
An individual has acquired the DIN but he is currently not appointed as the Director in any company. Does such an individual still have to file Form DIR-3 KYC?
Yes, if the individual needs to file the DIR-3 KYC form whether he is appointed or not as the director in any company or partner in the LLP, if he possesses a DIN, he must furnish form DIR-3 KYC and update the details.
Do we need to enter a unique email id and phone number in DIR-3 KYC form?
Yes, the mobile and email id should be unique for every individual and the same has to be verified by OTP.
Can a Non-Resident Individual provide an Indian Mobile number?
No, in the case of non-residential director/individual foreign number is allowed. In case you enter the Indian number, OTP will not be generated.
Consequences of non-filing of DIR-3 KYC/DIR-3 KYC Web
In case an individual fails to file the e-Form or web-based form by the due dates (or extended due date), the DIN of such individual is marked as ‘Deactivated due to Non-filing of DIR-3 KYC’ by the Ministry. In such cases, the person is not able to file any form with Ministry or become a director in any company. The director can re-activate his DIN by filing the e-Form DIR-3 KYC after paying late fees of INR 5,000.
In order to update its registry, MCA bought up Form DIR 3 KYC- It is basically “KNOW YOUR CUSTOMER” data of a director wherein the details like their address, mobile number, and e-mail ID are updated in the records of MCA.
So, every person who has been allotted DIN whether or not appointed as a director must file e-form DIR 3 KYC to keep their DIN status active.
The Central Government shall deactivate the Director Identification Number (DIN), of an individual who does not intimate his particulars in e-form DIR-3-KYC within the stipulated time.
The intent behind this is to verify the details of directors and to eliminate ghost directors whose name is just used for regulatory requirements.
Filing of E-Form DIR 3 KYC is a one-time process unless there is any change in particulars of the director.
In case the director has filed E-form DIR 3 KYC previously and there is no change in his details as per the form, then he may file DIR 3 KYC in a web-based facility with OTP-based authentication.
This is an annual compliance which has to be completed before 30th September of the following financial year.
Every Director who has been allotted DIN on or before the end of the financial year (i.e., 31st March of a financial year), and whose DIN status is ‘Approved’, would be mandatorily required to file form DIR-3 KYC before 30th September of the immediately following financial year.
Any DIN holder who is filing his KYC details for the first time with MCA must file all KYC details only through E-Form DIR-3 KYC.
Further, any DIN holder who wants to update any information on his KYC details must update the same through the filing of E-Form DIR-3 KYC only.
After the expiry of the due dates i.e., 30th September of the following financial year, the registrar will mark all non-compliant DINs against which the DIR-3 KYC form has not been filed as ‘Deactivated due to non-filing of DIR-3 KYC’.
The company will not be able to file forms using the deactivated DIN.
The deactivated DIN shall be re-activated only after E-form DIR 3 KYC is filed along with fees of Rs.5000/- as prescribed under Companies rules, 2014.
Any DIN holder who is filing his KYC details for the first time with MCA must file all KYC details only through E-Form DIR-3 KYC. The form shall be digitally signed by a chartered accountant in practice or a company secretary in practice or a cost accountant in practice
Any DIN holder who has already submitted E-Form DIR-3 KYC in any of the previous financial years and who does not require an update in any of his KYC details as submitted may perform his annual KYC by accessing the DIR-3 KYC web service.
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