Late Fees for Filing CHG-4 Beyond 30 Days – Complete Guide
Introduction
Every company registered under the Companies Act, 2013 has a responsibility to keep its charge records updated with the Registrar of Companies (ROC). One of the key compliance filings in this regard is Form CHG-4, which is filed to report the satisfaction of charge once a loan or charge has been fully repaid. While the law prescribes a 30-day filing window, companies often miss this timeline, which leads to late fees and additional compliance steps.
This article explains the late fees for filing CHG-4 beyond 30 days, the penalty structure, and the process if the delay exceeds the permissible limit.
📝 What is CHG-4?
Form CHG-4 is required to be filed by a company after the full satisfaction of charge created on its assets. The filing ensures that the ROC records reflect that the company has cleared its secured borrowings, thereby maintaining a clean financial record for future credit requirements.
The due date for filing is 30 days from the date of satisfaction of charge.
⏰ Late Filing – Fee Structure
If a company fails to file CHG-4 within the prescribed 30 days, the Ministry of Corporate Affairs (MCA) allows filing up to 300 days with additional fees. The late fee depends on the type of company and the extent of delay.
Here is the official structure:
| Delay Period | Small Company / OPC | Other Companies |
|---|---|---|
| On-time (within 30 days) | ₹200 | ₹600 |
| Up to 30 days delay | ₹400 | ₹1,200 |
| 31–60 days delay | ₹800 | ₹2,400 |
| 61–90 days delay | ₹1,200 | ₹3,600 |
| 91–180 days delay | ₹2,000 | ₹6,000 |
| 181–300 days delay | ₹2,400 | ₹7,200 |
| Beyond 300 days | Not allowed – Condonation of delay required from RD | Not allowed – Condonation of delay required from RD |
⚖️ Beyond 300 Days – Condonation of Delay
If the filing is delayed beyond 300 days, companies cannot directly file CHG-4 with ROC. Instead, they must:
- Apply for condonation of delay under Section 87 of the Companies Act, 2013 with the Regional Director (RD).
- Upon approval, file CHG-4 with the ROC along with the RD’s order.
This is a time-consuming and costly process; hence, companies are advised to avoid such delays.
✅ Key Takeaways
- CHG-4 must be filed within 30 days from satisfaction of charge.
- Delay up to 300 days is allowed with additional fees.
- Beyond 300 days, condonation from Regional Director is mandatory.
- Timely filing avoids penalties and ensures clean creditworthiness of the company.
📣 Professional Assistance
Filing compliance forms like CHG-4 on time is crucial for maintaining the company’s financial reputation. At CA in Bangalore, we specialize in MCA filings, ROC compliance, company law matters, and corporate governance support.
👉 For expert assistance in filing CHG-4, handling condonation of delay applications, or any other MCA compliance, reach out to our team today. www.cainbangalore.com
