Major Amendments Under the Companies (Amendment) Act, 2020 | Bhavya Sharma & Associates

 

The Companies (Amendment) Bill, 2020 to amend the Companies Act, 2013, has received the assent of President of India on 28th September 2020. There are 66 clauses in the Act through which amendments are made in different sections of the Companies Act, 2013. These amendments will facilitate the greater ease of doing business to law-abiding entities in the country.

Top ten major amendments are as follows:

1) Decriminalizing various non-compoundable offences.

2) Addition of new provisions pertaining to the producer companies.

3) Carry forward of CSR expenses in the subsequent financial year.

4) Central Government to direct certain class of unlisted companies to prepare and file periodical financial results and to complete the audit or review of such results.

5) Direct listing by the entities in foreign jurisdictions.

6) Exclusion of certain class of companies from the definition of a listed company.

7) Reduction in penalties for OPC, Start-up and Small Companies.

8) Exemption to a certain class of persons from complying the provisions pertaining to the beneficial holding.

9) Exemptions to NBFCs and HFCs from filing resolutions.

10) Payment of remuneration to executive directors, to non-executive directors and to independent directors.

Article By: Ms Bhavya Sharma, a Practising Company Secretary from Delhi. In case you need any assistance any of the above-mentioned amendments and related queries you can connect with us. You can contact us at legal@bhavyasharmaandassociates.com or visit www.bhavyasharmaandassociates.com

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