Dissolution of Private Limited

Dissolution of Private Limited Company

Closing a Private Limited Company involves striking it off from the MCA records. The most common and straightforward route for inactive companies is the Strike Off under Section 248 of the Companies Act, 2013 using Form STK-2 — also known as Fast Track Exit (FTE).

Eligibility for STK-2 (Fast Track Exit)

• The company has not commenced business since incorporation, OR
• The company has not been active for 2 or more financial years.
• No pending liabilities, legal disputes, or tax demands.
• All ROC annual filings (AOC-4, MGT-7) must be up to date.
• All bank accounts of the company must be closed.
• GST and other regulatory registrations must be cancelled.

Documents Required

• Board resolution and shareholder resolution approving dissolution.
• Indemnity bond by all directors (on stamp paper).
• Affidavit by all directors confirming no pending liabilities.
• Latest financial statements showing nil assets and liabilities (certified by CA).
• Bank account closure certificate from the bank.
• Statement of accounts signed by a practicing CA/CS.

Dissolution Process

1. File all pending ROC annual returns (AOC-4, MGT-7) and ITRs.
2. Obtain all pending compliances up to date — DIR-3 KYC, ADT-1, etc.
3. Cancel GST, professional tax, and other registrations.
4. Close all company bank accounts and obtain closure certificates.
5. Prepare nil balance sheet certified by a CA.
6. File Form STK-2 with all required attachments on MCA portal.
7. MCA publishes notice in the Official Gazette for public objections.
8. Company is struck off after the notice period (30 days).

Timeline

Approximately 3–6 months from filing STK-2 to final strike off.

Why Choose Tax Precision?

• All pending ROC filings and compliance backlogs cleared before dissolution.
• CA-certified nil balance sheet and indemnity bond preparation.
• Complete STK-2 form preparation and MCA filing management.
• GST and other deregistrations handled seamlessly.
• End-to-end tracking until final dissolution notice from MCA.