What is the purpose of DPT 3 Filing?
Filing DPT-3 builds transparency and accountability in a company's financial dealings. By making this information public, it strengthens trust and demonstrates responsible management of deposit-related activities:
- A primary goal of filing DPT-3 is to notify the Registrar of Companies about deposits received throughout the financial year. This ensures transparency by providing regulators with a complete record of the company's deposit activities.
- In addition to deposits, Rule 16 mandates that form DPT-3 also record receipts the company doesn't classify as deposits (such as outstanding loans). This comprehensive reporting ensures a complete and accurate picture of the company's annual financial activities.
Who is required to file DPT-3?
All companies except government-owned companies must file this return.
Who is exempt from filing the return?
The following companies are exempt under Rule 1(3) of the Companies (Acceptance of Deposits) Rules 2014:
- Banking companies
- Non-Banking Financial Companies (NBFCs)
- Housing finance companies registered with the National Housing Bank
- Any other company exempted under the proviso to subsection (1) of section 73 of the Act.
Additional read: What is Form 19 in EPFO
Form DPT 3 due date
The due date for submitting Form DPT-3 is June 30th each year. Companies must report all deposits and outstanding non-deposit receipts for the financial year ending on March 31st.
Key points:
- Financial year: In India, the financial year runs from April 1st to March 31st.
- Reporting period: DPT-3 covers financial transactions within this timeframe.
- Deadline: The form must be filed by June 30th following the financial year's end.
Example:
For the 2023-24 financial year (April 1, 2023 - March 31, 2024), the deadline for DPT-3 submission is June 30, 2024.
Transactions not considered deposits under DPT-3
- Government-sourced funds: Any amount received from a government (domestic or foreign bank) or backed by a government guarantee.
- Loans from specific institutions: Loans or facilities from Public Financial Institutions, Insurance Companies, or Banks.
- Inter-company transactions: Amounts received from another company.
- Securities and advances: Subscription payments for securities or calls in advance.
- Director-related funds: Amounts received from a director of a private company, or a relative of a director, who held that position when the funds were provided.
- Employee deposits: Amounts received from an employee, up to their annual salary, as part of an employment agreement (e.g., non-interest-bearing security deposit).
- Business-related advances: Funds received as an advance payment for providing goods or services, or as a performance security deposit for a related contract.
- Startup convertible notes: An amount of Rs. 25 lakh or more received by a startup company through a convertible note in a single payment.
- Specific bonds/ debentures: Funds raised by issuing:
- Secured bonds or debentures with first charge
- Non-convertible debentures without a charge on company assets
- Promoter loans: Unsecured loans provided by promoters.
- Funds from regulated entities: Amounts received from:
- Nidhi Companies
- Chits under the Chit Funds Act, 1982
- Collective investment schemes, alternative investment funds, or mutual funds registered with SEBI
- Other Exemptions: Any amount explicitly not classified as a deposit under Rule 2(1)(c).
Documents required for DPT-3 filing
When submitting Form DPT-3, you need to include the following documents:
- A certificate from an auditor.
- Proof of the trust deed.
- Include the instrument that legally creates a charge (if any).
- Provide specific information about your company's liquid assets.
Additional read: What is Form 16a
Fees for Filing Form DPT-3
The fees for filing Form DPT-3 are set according to the Companies (Registration Offices and Fees) Rules.
Conclusion
Understanding the DPT-3 filing requirements is crucial for companies striving to maintain transparency and regulatory compliance. By accurately recording deposits, loans, and exemptions, businesses demonstrate their commitment to responsible financial practices. It is important for relevant companies to consult the official MCA guidelines and, if necessary, seek professional advice to ensure they fully understand and meet the DPT-3 filing obligations.
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