On 24 February 2026,

The Ministry of Corporate Affairs (MCA) issued General Circular No. 01/2026, launching the Companies Compliance Facilitation Scheme, 2026 (CCFS-2026) — a time-bound, one-time compliance window allowing companies to regularise delayed statutory filings under the Companies Act, 2013 at significantly reduced costs. The Scheme is scheduled to be in force from 15 April 2026 to 15 July 2026.

Key features & implications:

• Relaxed Late Fee Structure: Defaulting companies can complete overdue annual filings by paying only 10% of the additional fees otherwise payable under Section 403 of the Companies Act, 2013 — a substantial reduction compared with usual late fees.
• Multiple Compliance Options: The Scheme also allows companies to:
• Apply for dormant status under Section 455 by paying half the normal filing fee, or
• Apply for strike-off via e-form STK-2 with just 25% of the usual fee.
• Penalty Immunity: Companies that complete their pending filings under the Scheme before receiving a Registrar of Companies (ROC) notice — or within 30 days after adjudication notice — can secure immunity from penalties under Sections 92 (annual returns) and 137 (financial statements).

Why it matters:

• Corporate Registry Clean-Up: The Scheme aims to update the corporate registry with accurate and timely filings, enhancing data integrity and corporate transparency in the MCA system.
• Governance & Compliance Boost: By substantially lowering the cost of compliance, CCFS-2026 encourages firms — especially smaller and mid-market companies — to adhere to statutory obligations, thereby reducing litigation risk and improving governance outcomes.
• Time-Bound Window: The narrow three-month window makes early action critical for companies with outstanding annual returns, financials or other ROC filings.

Key takeaway:

CCFS-2026 represents a major procedural reform in corporate law compliance — a rare opportunity for companies to regularise past defaults at minimal cost while shielding themselves from penalties. Corporate legal and compliance teams should plan now to leverage the Scheme before it expires on 15 July 2026.