What happens if the CCFS filing is missed?

If CCFS filing is not done, the entity will lose the benefit of reduced or waived additional fees and penalties given under the scheme. In such cases, normal provisions of the Companies Act or LLP Act will apply, which may include heavy additional fees, prosecution, or disqualification of directors/partners. Missing the scheme often leads to higher compliance costs at a later stage.

Is director disqualification removed under CCFS?

Generally, CCFS-type schemes do not automatically remove director disqualification under Section 164(2) of the Companies Act. These schemes primarily provide relief from additional fees and penalties only. Director disqualification can be removed only through separate legal remedies, such as obtaining court orders or availing specific relaxations from MCA, if notified independently.

What Occurs After the CCFS 2026 Scheme Ends?

Once the CCFS 2026 scheme ends, entities that have not regularized their pending filings will no longer be able to claim the scheme’s benefits, such as waiver or reduction of additional fees. After the closure, normal provisions of the Companies Act or LLP Act apply, which may include higher late fees, penalties, prosecution, and potential director or partner disqualification.

What is the Applicability of the CCFS 2026 Scheme?

The applicability of CCFS 2026 will depend on the official MCA notification itself, which clearly shows who can avail this scheme, which forms are covered, and what default period is being considered. Generally speaking, such schemes are meant for those companies and/or LLPs that have not been able to file their statutory returns on time.

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Companies Compliance Facilitation Scheme, 2026: 90% Relief on ROC Compliance

Joel Dsouza

Updated:Feb 25, 2026

7 min read

Running a business in India involves multiple compliance requirements, and meeting all these yearly deadlines is a tricky task. The Ministry of Corporate Affairs (MCA) took action to simplify the complexities on February 25, 2026. MCA officially notified the Companies Compliance Facilitation Scheme, 2026, to offer Indian companies a 3-month window to clean up their compliance records. As a result, the companies can file their delayed returns without facing the high additional fees usually payable for late filings.

Whether it is filing annual returns or submitting financial statements to the MCA-21 portal, now companies have sufficient time to become compliant without paying huge prices.

If you have been putting off those overdue filings or wondering what to do with a company that has become inactive, you should not miss this article.

What is the Companies Compliance Facilitation Scheme 2026?

The full form of CCFS is the Companies Compliance Facilitation Scheme. The CCFS operates as a one-time initiative that the Central Government introduced under Sections 403 and 460 of the Companies Act, 2013.

The core idea behind this MCA scheme 2026 is simple: give companies a chance to fix any overdue legal filings at a much lower penalty cost (10% of the original amount).

Under the ordinary rules, companies missing filing deadlines for their Annual Returns (Form MGT-7) or Financial Statements (Form AOC-4) attract an additional fee of ₹100 per day. There’s also the fixed penalty of ₹50,000 applicable. As a result, over months or years of non-compliance, this amount often grows into lakhs of rupees.

The Companies Compliance Facilitation Scheme provides huge relief to defaulting companies by charging only 10% of the total additional fees that would otherwise apply.

When Does the CCFS Scheme Apply?

The Companies Compliance Facilitation Scheme operates from April 15, 2026, to July 15, 2026. This three-month window gives companies adequate time to review their pending filings, gather the required documents, and complete submissions on the MCA-21 portal.

However, companies must treat this window seriously. Once the CCFS scheme expires, the Registrar of Companies (RoC) will initiate action against all left-out defaulters without any further concession.

Who Does the CCFS Scheme Exclude?

It’s important to understand that the Companies Compliance Facilitation Scheme does not extend to every company. Certain categories fall outside its scope, including:

Companies that have already received a final notice for strike-off from the RoC cannot participate.
Companies that applied for dormancy or strike-off before the scheme commenced do not qualify.
Companies that have already dissolved and those classified as “vanishing companies” — entities that regulators cannot locate or trace.

Directors and promoters of companies in these categories must pursue alternative resolution routes. Fill the form to receive a personalized consultation for your company from expert service providers.

What Can Companies Do Under CCFS 2026?

The CCFS 2026 finds three categories of non-compliant or inactive companies suitable for the scheme. These include:

1. Filing Pending Annual Returns and Financial Statements

Any company that carries pending Annual Returns or Financial Statements can use this window to file those overdue forms.

The company pays the standard government filing fee plus the 10% of the additional fees due to the delay.

What’s amazing is that for a company with several years of defaults, this means a relief of up to 90% on the total penalty amount.

2. Applying for Dormant Status Under Section 455

Companies that have not conducted any business or financial transactions but remain legally registered on the MCA portal can apply for dormant company status under Section 455 of the Companies Act, 2013.

Under the CCFS 2026, these companies file e-form MSC-1 and pay only 50% of the normal filing fee. Once the RoC grants “dormant” status, these companies are allowed to stay on the corporate register.

3. Striking Off a Defunct Company

For companies that have stopped operations entirely, the MCA scheme 2026 offers a cost-effective exit route. By filing e-form STK-2, a defunct company can apply for voluntary strike-off by paying just 25% of the normal filing fees.

This provision removes the company cleanly from the register, relieving promoters and directors from future compliance obligations. Plus, the new plan also protects against legal action for past defaults made by the now-defunct company.

Fee Structure at a Glance

Here’s a clear breakdown of the costs associated with the CCFS 2026 scheme:

Type of Filing	Fee Payable Under CCFS 2026
Pending Annual Returns / Financial Statements	Normal fee + 10% of additional fees
Dormant Company Application (e-form MSC-1)	50% of normal filing fee
Strike-Off Application (e-form STK-2)	25% of normal filing fee

What Protection Does CCFS 2026 Offer? Key Benefits for Default Companies

Beyond the reduced fees, the Companies Compliance Facilitation Scheme, 2026, also offers meaningful protection from penalties under specific sections of the Companies Act. They are:

For filings related to Annual Returns (Section 92) and Financial Statements (Section 137), companies can secure immunity from penalties.

This benefit holds if the company completes the filings before the Adjudicating Officer issues any notice, or within 30 days of receiving such a notice. Once a company crosses this 30-day window or adjudication proceedings have advanced further, the liability remains unchanged.

For other e-forms, including ADT-1, FC-3, and Form 23AC, companies gain immunity against future penalties.

This advantage applies if no prosecution or adjudication notice existed before they filed under the scheme.

How RegisterKaro Can Help You Make the Most of CCFS 2026?

At RegisterKaro, we specialize in end-to-end compliance management, from company registration and annual filing support to dormancy applications and voluntary strike-off. Our team of experts understands the technicalities of MCA filings inside out. Plus, we work at every stage of the annual compliance of the company.

If your business carries pending Annual Returns or Financial Statements, our compliance team reviews the outstanding filings, calculates the fees payable under the Companies Compliance Facilitation Scheme, and handles the complete submission process on the MCA-21 portal.

Similarly, for inactive companies exploring dormancy or strike-off, we manage the e-form preparation, document verification, and RoC correspondence from start to finish.

Companies that delay risk losing this opportunity will be stuck again in the web of paying full penalty fees and even prosecution risk.

Reach out to the RegisterKaro team today, and let us help you close these compliance gaps before the July 15, 2026, deadline.

Frequently Asked Questions

No, CCFS 2026 is not mandatory at all. Fresh Start or Compliance schemes brought by MCA are optional relief schemes only. They are meant to help defaulting companies or LLPs in filing their pending statutory returns without paying heavy penalties. However, if your company has any past non-compliances, then availing CCFS 2026 would be highly beneficial to regularise all filings and avoid any future legal complications.

LLPs can apply under CCFS 2026 only if they are specifically mentioned in the scheme notification itself. In the past, MCA has been bringing out separate settlement schemes for LLPs, whereas some fresh start schemes were restricted to companies only. So, whether LLPs are eligible under CCFS 2026 will depend completely on the official MCA notification and scheme conditions that will be issued for that particular year.

Joel Dsouza

Joel Dsouza is a Chartered Accountant and compliance expert who has advised over 1,000 startups and SMEs on company registration, tax structuring, and MCA compliance. A member of ICAI and Co-Founder at RegisterKaro, Joel is committed to promoting financial literacy and simplifying India’s startup ecosystem. His deep expertise across all three levels of Finance and Portfolio Management makes him a trusted voice for entrepreneurs seeking clear, actionable guidance.

Companies Compliance Facilitation Scheme, 2026: 90% Relief on ROC Compliance