Section 92 of Companies Act, 2013: What happens when a company is dormant?
company general intermediate mcq_helpOkay, friends, try this one out - my attempt was totally off, btw. I thought the registrar could simply remove the company's name from the register if it's not active for a long time. Turns out, I was wrong big time!
According to Section 92 of the Companies Act, 2013, if a company is dormant or not carrying on any business, the Registrar can remove its name from the register if application is made by the company. However, if there is no application, things get interesting.
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Ek toofani sawal, bhai! Section 92 Companies Act 2013 clearly states that a company is considered dormant if it didn't incur any expenses or didn't receive any income during the relevant period. Now, my colleague's point about annual general meetings not being required for dormant companies is correct, but don't forget that inactive companies need to file a declaration of solvency within 21 days of liquidation. Kuch aur hai bhai?