The Ministry of Corporate Affairs (MCA) had on February 24, 2026, launched the Companies Compliance Facilitation Scheme, 2026 (CCF Scheme), a one-time opportunity for companies to file overdue annual returns, financial statements, and related e-forms at reduced additional fees. Effective from April 15, 2026 and valid until July 15, 2026, the CCF Scheme is aimed at improving compliance levels, reducing the burden of accumulated penalties, and ensuring the corporate registry reflects accurate and up-to-date information. On April 22, 2026, the MCA has issued frequently asked questions (FAQs) in relation to the aforesaid scheme.

All companies are eligible to claim the benefit of this scheme except those companies: (a) against which final action for strike off has already been initiated, (b) that have already applied for strike off, (c) that applied for dormant status before commencement of CCF Scheme, (d) that dissolved pursuant to amalgamation, and (e) that are vanishing companies. Essentially, companies may use the CCFS Scheme to regularise multiple pending filings in one go and to avoid enforcement action, including being struck off the register.

As per the CCF Scheme, companies making overdue annual filings (including annual returns, financial statements and other e-forms like Form ADT-1, etc.) during the scheme period need to pay only 10% of the normal additional fee. The FAQs help clarify the reduction in fee payable for delayed filings by providing an illustration in this regard. Accordingly, a filing delayed by 300 days that would otherwise attract INR 30,000 as additional fee would attract a fee of only INR 3,000 under the CCF Scheme.

Beyond fee concessions, the CCF Scheme also offers meaningful protection from penalty proceedings. The FAQs clarify that where filings pursuant to Sections 92 and 137 of the Companies Act, 2013 (“Act”) are made during the validity of such scheme but before issuance of a notice by an adjudicating officer, or where proceedings are completed within 30 days of such notice, no penalty shall be levied on the company for the late filing. In case of late filings other than those under Section 92 and 137, immunity against prospective penal action is available provided that relevant forms have been filed under the CCF Scheme and no prosecution or adjudication proceedings have been initiated before such filing.

Also, it is interesting to note that while the CCF Scheme does not expressly provide if immunity is available against Section 96 of the Act, i.e., for holding of annual general meetings by every company annually, the FAQs clarify that such immunity is not available. However, FAQs clarify that the companies can conduct annual general meetings for prior financial years, adopt financial statements for those years, and then file under the CCF Scheme. This is a substantive guidance not found in the CCF Scheme.

The FAQs will help stakeholders understand the CCF Scheme, and the benefits offered by it.

Read More: https://www.mca.gov.in/bin/dms/getdocument?mds=22HU6edu63wcOynHQHHGsQ%253D%253D&type=open

Credits: Shubhangi Bhatnagar (Principal Associate) Shriya Sehgal (Associate)