Step 1: Visit the MCA Portal
Go to: https://www.mca.gov.in
Navigate to:
MCA Services → E-Forms → Download Forms
Search for MSC-3 and download the latest version.
✔ Step 2: Enter Company Details
Fill the basic details:
- CIN
- Company Name
- Registered Office Address
- Financial year for which return is filed
Most details auto-populate after CIN entry.
✔ Step 3: Provide Dormant Status Information
Enter:
- Date of approval from MCA (MSC-2)
- SRN of MSC-2
- Reason for continuing dormant status
✔ Step 4: Declare Absence of Financial Transactions
This is the most important part.
The company must declare that:
- It has not carried out any business activities
- No significant financial transactions have occurred
as per section 455(1) of the Companies Act.
Significant transactions include:
- Borrowings
- Payments over ₹5,000
- Asset purchases
If any such transaction occurred, dormant status may be withdrawn.
✔ Step 5: Attach Required Documents
Common attachments include:
- Director’s declaration
- Financial statements (if required)
- List of directors & shareholders
- Proof of no significant transactions
- Optional attachments (supporting documents)
✔ Step 6: Affix Digital Signature (DSC)
The form must be digitally signed by:
- A Director (authorized), and
- Optional: Practicing CA/CS/CMA Certification, depending on requirements
Ensure your DSC token and drivers are properly installed.
✔ Step 7: Upload the Form on the MCA Portal
Go to:
MCA Services → Upload E-Forms
Upload MSC-3 and pay the applicable filing fees.
Once submitted, the system will generate an SRN as acknowledgment.
✔ Step 8: Track Filing Status
Go to Track SRN Status on the MCA portal to verify:
- Approval
- Pending for processing
- Resubmission required
After approval, the company continues to hold dormant status.
⚠ Penalties for Not Filing MSC-3
Failure to file MSC-3 can result in:
- Dormant status cancellation
- Company may be treated as an active non-compliant company
- Directors may face penalties
- Additional fees for delayed filing
Regular filing ensures that dormant status remains valid.
Benefits of Maintaining Dormant Status
- No risk of business closure
- Reduced compliance burden
- No requirement for active operations
- Ideal for startups holding intellectual property
- Helps preserve company name for future business
Common Mistakes to Avoid
- Incorrect CIN or financial year
- Failing to provide MSC-2 date
- Missing attachments
- DSC not registered on MCA portal
- Declaring false information (can lead to penalties)
Frequently Asked Questions (FAQ)
1. Who is required to file MSC-3?
Every company that has obtained dormant status through MSC-2.
2. What is the due date for MSC-3?
Within 30 days after the end of every financial year.
3. Is there any filing fee?
Fees vary based on authorized share capital.
4. What happens if a company becomes active again?
It must apply for active status via MSC-4.
5. Can a dormant company perform any financial transaction?
No significant financial activity is allowed.
Conclusion
Filing MSC-3 is essential for companies wishing to maintain their dormant status legally. The process is simple when handled correctly, and timely filing helps avoid compliance issues, penalties, and cancellation of dormant status.
The information provided in this blog is for general informational and educational purposes only and should not be construed as legal, tax, or professional advice. While every effort has been made to ensure accuracy and compliance with the applicable provisions of the Companies Act, 2013 and related rules, laws and regulations may change over time and interpretations may vary based on specific facts and circumstances.
All services are subject to applicable laws, rules, and government approvals prevailing at the time of execution.