Do we need to file DIR-3 KYC for Directors whose KYC was filed for the year ending March 31, 2018 By CS Gaurav Kumar


Dear Professional Colleagues,

Hope you are enjoying the April Month Compliance of MCA laughing

We have been given various new accountabilities which have been newly introduced be it DPT-3, ACTIVE, MSME-1, BEN-1, DIR-3 KYC, NFRA-1 and maintaining MBP-1. And who knows MCA may be preparing for another set of new compliances. 

Now let us come to the million dollar question that every Professional at some level is struggling to understand:

Φ Whether Directors (with respect to Companies) and Designated Partners (with respect to LLPs) have to file their respective DIR-3 KYC for the year ending March 31, 2019 for those who had filed their DIR-3 KYC on or before October 5, 2018 for the DINs/DPINs which were obtained on or before March 31, 2018?

Φ If a person who is Director/Designated Partner having ACTIVE DIN/DPIN filed their DIR-3 KYC last year for the first time, do they have to file their KYC in the year 2019 by April 30 or in the year 2020 by April 30?

Φ Question comes that what about those Directors/Designated Partners who got their DIN/DPIN from April 1, 2018, to March 31, 2019? Do they have to file their DIR-3 KYC by April 30, 2019?

For all these Confusions, MCA came with DIR-3 KYC FAQs which is appended below for your ready reference:

For Financial year 2018-19 - Any person who has been allotted “Director Identification Number (DIN/DPIN)” on or before 31st March 2018 and the status of such DIN is ‘Approved’, needs to file form DIR-3 KYC to update KYC details in the system on or before 15th September 2018.

For Financial year 2019-20 onwards - Every Director who has been allotted DIN on or before the end of the financial year, and whose DIN status is ‘Approved’, would be mandatorily required to file form DIR-3 KYC before 30th April of the immediately next financial year.

After expiry of the respective due dates, the system will mark all non-compliant DINs against which DIR-3 KYC form has not been filed as ‘Deactivated due to non-filing of DIR-3 KYC’.

Link here for MCA source: http://www.mca.gov.in/MinistryV2/dir3kycfaq.html

Even after the MCA DIR-3 KYC FAQs, Confusion did not go away. 

Different Professionals have their different Opinion and interpreting FAQs in a different way.

In fact, many professionals tried to fill DIR-3 KYC and then it gave us the pop-up that DIR-3 KYC is already filed for the said Director/Designated Partner which led to the crux/conclusion that for all those persons whose DIR-3 KYC was filed last year in 2018 do not have to file it again and they will be required to file the same by April 30, 2020.

But when we read the MCA Update, it clears all the airs of ambiguity and confirms that

¤ DIR-3 KYC has to be filed every year.

¤ The ones which were filed, it was for the year ending March 31, 2018.

¤ DIR-3 KYC has to be filed for the year ending March 31, 2019.

¤ DIR-3 KYC eForm will be modified to enable filing for the year ending March 31, 2019.

¤ DIR-3 KYC has to be filed within 30 Days from the Deployment of the said eForm.

¤ DINs obtained on or after April 1, 2019 will file their first KYC on or before April 30, 2020.

Below are the excerpts which are updated on MCA:


"Latest Message on eform DIR-3 KYC filings on Annual Basis" Read for more....Pdf( 255 KB )

Therefore, it becomes clear that every person who filed their DIR-3 KYC last year in 2018 for the year ending March 31, 2018, as well as those who obtained DIN/DPIN on or before March 31, 2019, have to file their DIR-3 KYC this year also in 2019.

One Question which has left me still in doubt from MCA FAQs on DIR-3 KYC and I am leaving it for you to give it little consideration and come up with answers what you think about it and comment/email to me for my knowledge.

Please refer to:

.
For FY 2018-19: 
It is using the word Every Person.
For FY 2019-20 onwards: It is using the word Every Director.

Does it mean that if a person is not associated with any company from the FY 2019-20, they are not required to file DIR-3 KYC Every Year? 

Please refer to Rule 12A, it says every individual so there stands confusion between FAQs and Rules.

Reach me at Gaurav@ccoffice.in if you have any inputs on this.

Others views are solicited.

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