MCA CAR Filing – COVID-19
MCA CAR Filing – COVID-19
The Ministry of Corporate Affairs has introduced a new Form called CAR or Company Affirmation of Readiness towards COVID-19. This form must be filed by all companies and LLPs registered in India after it is unveiled on 23rd March 2020.
Coronavirus
The Novel Coronavirus (COVID-19) has affected over 110 countries, including India. To curtail the spread of Coronavirus, the Government has imposed strict lockdowns across major cities and towns in India. With no major remedy currently available for ending this pandemic, most Governments are recommending social distancing measures to deal with the public health situation. In the against COVID-19, the corporate sector would be required to play a key role, which is most crucial for reducing the rate and extent of the disease transmission at community level. Hence, the MCA has unveiled various measures towards the same for effective implementation of various measures to curb the Coronavirus transmission.
Remote Board Meetings
In order to ensure that there are no disruptions in Corporate Meetings due to various travel restrictions and lockdowns, the Ministry of Corporate Affairs has relaxed the rules with respect to meetings of Board and dispensed with the necessity of holding physical meetings on matters relating to approval of financial statements, board report, restructuring etc. up to 30th June, 2020. Know more about Board Meeting through Video Conference.
Work from Home
Social distancing has evolved as the most impactful tool in the fight against COVID-19. Since companies and LLPs are major employers in most towns and cities, its important for all major employers to immediately implement “Work from home” policy as a temporary measure till 31st March, 2020. The requirement for continuation of “Work from home” policy would be reviewed and modified by the appropriate authorities as per the evolving situation. All companies and LLPs are expected to quickly implement the “Work from home” policy in their headquarters and field offices to the maximum extent possible, including by conduct of meetings through video conference or other electronic/ telephonic/ computerized means. Further, even with essential staff on duty, staggered timings may be followed so as to minimize physical interaction.
CAR Form Filing
In order to generate awareness about COVID-19 and get the companies / LLPs in India into a state of readiness, he Ministry of Corporate Affairs will introduce a new form called CAR. The web form will be used to assess the readiness of Corporates and LLPs with respect to the evolving COVID-19 threat and readiness in terms of “Work from home” policy. CAR (Company Affirmation of Readiness towards COVID-19) form should be filed by an authorized signatory of Companies & LLPs. All companies/LLPs are requested to report compliance using the form right from 23rd March, as soon as possible. The Government circular with respect to the above matter is reproduced below for ready reference:
COVID19-AWARENESS