Introduction
Every company in India must inform the Registrar of Companies (ROC) about the appointment of its auditor. This is done by filing Form ADT-1 as required under the Companies Act, 2013. ADT-1 filing is a key compliance step that helps maintain transparency and legal proof of the auditor’s appointment. Delays or missed filings can result in penalties and compliance issues.
What Is ADT-1 Filing?
Form ADT-1 is an official document used to notify the ROC that a company has appointed an auditor. As per Section 139(1), every company must file ADT-1 within 15 days of appointing an auditor at the Annual General Meeting (AGM) or, in the case of a new company, within 30 days of incorporation.
This filing confirms that a qualified Chartered Accountant or audit firm has been appointed to examine the company’s financial records for a specific term.
Who Needs to File It?
ADT-1 must be filed by all types of companies — Private Limited, Public Limited, One Person Companies, and Section 8 Companies. It does not apply to partnership firms or LLPs, as the Companies Act does not govern them.
When to File ADT-1
For the First Auditor: Within 15 days of the Board meeting at which the auditor is appointed, which must occur within 30 days of incorporation.
For Subsequent Auditors: Within 15 days from the conclusion of the AGM in which the auditor is appointed.
For example, if your AGM is on 30th September, ADT-1 must be filed by 15th October.
Details and Documents Required
To file ADT-1, you’ll need the following:
- Corporate Identification Number (CIN)
- Company and auditor details
- Date and term of appointment
- Auditor’s consent and eligibility certificate
- Board or shareholder resolution approving the appointment
Supporting documents include the auditor’s consent letter, a true copy of the resolution, and an eligibility declaration under Section 141.
How to File ADT-1
- Download the ADT-1 form from the MCA website.
- Fill in the company and auditor details carefully.
- Attach all necessary documents in PDF format.
- Digitally sign the form using a Director’s or Company Secretary’s DSC.
- Upload it to the MCA portal and pay the prescribed fee.
- After submission, an SRN (Service Request Number) will be generated for reference.
Late Filing Consequences
If you fail to file ADT-1 on time, additional government fees apply depending on the number of days delayed. The longer the delay, the higher the penalty. Timely filing ensures your company remains compliant and avoids unnecessary costs.
Key Points to Remember
- ADT-1 filing is mandatory for every auditor appointment.
- The company, not the auditor, is responsible for filing.
- A Digital Signature (DSC) is compulsory.
- Filing must be done through the MCA e-filing portal only.
- Keep a copy of the SRN receipt for future reference.
Conclusion
ADT-1 filing is an essential compliance activity that officially records the appointment of an auditor with the government. It not only ensures legal transparency but also reflects the company’s commitment to good governance. Make sure to file ADT-1 within the prescribed time to stay compliant, avoid penalties, and maintain