ADT-1 is a form used for intimating the Registrar of Companies about the appointment of the first auditor of a company. According to the Companies Act 2013, every company must appoint its first auditor within thirty days of Company incorporation. Once the auditor has been appointed, the company must file Form ADT-1 with the ROC within fifteen days of the appointment.
The first auditor appointed by the company holds office until the conclusion of the first Annual General Meeting (AGM). The AGM should be kept within nine months from the end of the fiscal year in which the company was incorporated. At the AGM, the shareholders of the company can either ratify the appointment of the first auditor or appoint a new auditor for the company.
Appointing an auditor for the first time can be overwhelming for a new company. However, complying with the provisions of the Companies Act is crucial to avoid any legal consequences in the future. It is a mandatory compliance requirement for companies in India, and failure to file Form ADT-1 can result in penalties and fines.
IndiaFilings can assist you in filing Form ADT-1 and help you comply with the legal requirements for the appointment of an auditor for your company.
Form ADT-1
Form ADT-1 is an intimation filed by companies with the Registrar of Companies about the appointment of an auditor after the conclusion of the Annual General Meeting (AGM) under Section 139 (1) of the Companies Act, 2013. It is mandatory for companies to file this Form every year with the ROC as a notice of appointment of an auditor after the AGM, where the new auditor was named.
Form ADT-1 contains details such as the name, address, and qualifications of the appointed auditor. It is essential for companies to file this Form within 15 days of the AGM to ensure compliance with legal requirements and avoid any penalties or fines.
Requirements for Filing Form ADT-1
Form ADT-1, as it is mandatory for all companies to file this Form with the Registrar of Companies. Every company that has appointed an auditor, whether it is a public, private, listed, or unlisted company, it must file Form ADT-1 within the prescribed time frame.
However, to file Form ADT-1, the company should have appointed an auditor as per the provisions of the Companies Act 2013. The auditor should also have provided written consent for their appointment as the auditor of the company. Additionally, the auditor should also provide a certificate stating that they are not disqualified or ineligible to be appointed as an auditor under Section 141 of the Companies Act, 2013.
Due Date File MCA Form ADT-1
In the case of new company incorporation, Form ADT-1 must be filed within fifteen days from the company's first board meeting, which must be held within 30 days of company incorporation in which the board of directors of the company appoints an auditor.
Form ADT-1 should be filed for an existing company within 15 days after the Annual General Meeting (AGM) in which the auditor was appointed or reappointed, as the case may be. For instance, if the company's AGM was conducted on September 30, 2023, the company should file Form ADT-1 by October 14, 2023.
Companies need to file Form ADT-1 within the specified timeline to avoid any penalties or fines. IndiaFilings can assist companies in ensuring compliance with all legal requirements and Filing Form ADT-1 within the prescribed timeline.
Details of Auditor to be submitted
The following information from the auditor is to be furnished in Form ADT-1:
- Category of the auditor - Firm or an individual practitioner
- Chartered Accountancy membership number
- Address, Email-id
- PAN number of the auditor
- The period for which an appointment is made
- Membership number of vacated auditor
- Date of appointment o along with the date of AGM
- Date and reason for the casual vacancy, if any etc
Documents Required for Filing Form ADT-1
Documents Required for Filing Form ADT-1 is listed as follows:
- Board resolution copy passed in the annual general meeting appointing the auditor.
- Written consent from the auditor about the appointment.
- A certificate from the auditor stating that they are not ineligible or disqualified to be appointed as an auditor under Section 141 of the Companies Act, 2013.
- Copy of the intimation provided by the company to the auditor
- It is essential to ensure that all the necessary documents are attached to Form ADT-1 to comply with legal requirements and avoid penalties or fines.
Penalty on Delayed Filing of Form ADT-1
The due date and filing penalty of the Form ADT 1 will lead to the imposition of the following penalties:
| Sl.No |
Delay in Filing (in number of days) |
Penalty Leviable |
| 1 |
Up to 30 days |
Two times of Normal Fees |
| 2 |
More than 30 days and upto 60 days |
Four times of Normal Fees |
| 3 |
More than 60 days and upto 90 days |
Six times of Normal Fees |
| 4 |
More than 90 days and upto 180 days |
Ten times of Normal Fees |
| 5 |
More than 180 days |
12 times of Normal Fees |
Important points to consider regarding Form ADT-1
Some other important points to consider regarding Form ADT-1:
- All companies, whether listed, unlisted, public, private, or any other company, must file Form ADT-1 according to the Section 139(1) of the Companies Act, 2013.
- The company is responsible for Filing Form ADT-1 and not the auditor.
- Form ADT-1 must be filed for the appointment of the auditor is for a casual vacancy.
- Although Rule 4(2) of the Companies (Audit and Auditors) Rules, 2014, only mentions Section 139(1) – appointment of auditors and not Section 139(6) – appointment of the first auditor, it is recommended that companies file Form ADT-1 even for the appointment of the first auditor.
- It is essential to ensure that Form ADT-1 is filed within the prescribed timeline and that all necessary documents are attached to the form to ensure compliance with legal requirements and avoid penalties or fines.
Filing of FORM ADT-1
IndiaFilings can help in filing FORM ADT-1 by providing expert assistance and guidance throughout the process. Our services include:
- Document Preparation: We can assist in preparing all the necessary documents required for filing FORM ADT-1.
- Review of Documents: Our experts can review the documents to ensure that all the necessary details are included and there are no errors.
- Filing of Form ADT-1: We can file the FORM ADT-1 on behalf of the company using our expertise and knowledge of the process.
- Compliance Check: Our team can ensure that the company complies with all the relevant laws and regulations related to the appointment of an auditor.
- Regular Updates: We can inform the company of any updates or changes related to the Filing of FORM ADT-1.
By availing of our services, the company can save time and effort and ensure a hassle-free filing of FORM ADT-1 with the Registrar of Companies.
What is ADT-1 Form?
When is ADT-1 Form required to be filed?
For existing companies, the ADT-1 Form should be filed within 15 days after the Annual General Meeting (AGM) in which the auditor was appointed or reappointed.
Is it mandatory to file ADT-1 Form for appointment of the first auditor?
As per Section 139 of the Companies Act 2013, every company must appoint an auditor within 30 days of its incorporation. The company is then required to file the ADT-1 Form with the Registrar of Companies (RoC) within the next 15 days after the appointment of the first auditor.
What are the details that need to be provided in the ADT-1 Form for the appointment of the first auditor?
Can the ADT-1 Form be filed online?
To file the ADT-1 Form online, the company's authorized the signatory must have a digital signature certificate (DSC) and register on the MCA portal.
Is it mandatory to attach any documents along with ADT-1 Form?
The following documents are required to file the ADT-1 Form:
What is the penalty for not filing ADT-1 Form?
Can an individual practitioner be appointed as an auditor through ADT-1 Form?
As per Section 141 of the Companies Act 2013, an individual who is a chartered accountant in practice can be appointed as an auditor of a company. The individual practitioner must also fulfill the eligibility criteria as specified under Section 141, such as not being disqualified from an appointment as an auditor.
Is it necessary to file ADT-1 Form every year?
However, in case of any change in the auditor appointed previously, the company must inform the RoC about the same by filing Form ADT-3 within 30 days of such change.
Who is responsible for filing ADT-1 Form?
What is the procedure for filing ADT-1 Form?
Can a company file ADT-1 Form after the due date?
Therefore, it is advisable for companies to file the ADT-1 from within the prescribed time frame to avoid any late fees or penalties.
What is the validity period of the appointment of an auditor through ADT-1 Form?
After the conclusion of the next AGM, the company needs to appoint a new auditor or reappoint the existing auditor by passing a resolution in the general meeting, and file the necessary forms with the Registrar of Companies (RoC).
Can an auditor be reappointed through ADT-1 Form?
What is the minimum qualification required for an auditor appointed through ADT-1 Form?
Can Form ADT 1 be revised?