MCA Revises Minimum Residence Criteria for Directors in FY 2020-21

In the prospect of the COVID- 19 the Ministry of Corporate Affairs (MCA) declared specific standards beneath the Companies Act, 2013, and Limited Liability Partnership Act Step by step guide to convert LLP into a private limited company with all government rules and regulations. Also, we mentioned the eligibility criteria to become a partner in LLP. Read more, 2008

In FY 2020-21 in the middle of a pandemic, the government has extended the minimum residence criteria for the ease of directors. The government has said in the circular No.11/2020 on 24th March states that they will provide the relaxations and special standards with respect to the covid-19 pandemic showed concerning to give the help to the LLPs as well as companies in the delayed filing the forms.

Board in viewing the requests from the several stakeholders sought after the ease from the needs of the house of 182 days in a year or post because of examination.

Under section 149 of the Companies Act, 2013 Check out the AGM due date for the newly registered company under the companies act 2013. Also, we have mentioned two conditions for easy understanding the government has executed that for 182 days in the year should be the minimum residency for which non-compliance should be followed by any director from the company and should not be framed as non-compliance for the FY 2020-2021.

The given relaxation has been provided in multiple categories and departments of the government tax filing issues. Many associations, sectors, and industries have been demanding serious relaxation due to the global collapse of the economy.