Revival of Struck-Off Companies
Restore Your Company’s Legal Status Seamlessly
When a company is marked as struck-off, it ceases to exist as a legal entity and cannot operate. Tax Pal Solutions helps revive such companies through a streamlined NCLT process, ensuring full MCA compliance and expert guidance from start to finish.
Why Choose Tax Pal Solutions?
- Expert NCLT petition drafting and filing
- Complete post-revival compliance management
- Transparent and affordable pricing
- Professional legal and procedural support
Ratings
| Platform | Rating | Reviews |
|---|---|---|
| 4.6/5 | 6333 | |
| Trustpilot | 4.0/5 | 1907 |
Understanding Struck-Off Companies
What Does “Struck-Off” Mean?
A struck-off company is removed from the ROC register, losing its legal identity. Directors remain liable for pending dues, and if not revived within 20 years, the company is permanently dissolved.
Common Reasons for Strike-Off
- Inactivity for two consecutive financial years
- Non-commencement of business within one year of incorporation
- Non-filing of annual returns and financial statements
- ROC’s suo motu action due to non-compliance
- Voluntary application for strike-off
Struck-Off vs Winding Up
| Aspect | Struck-Off | Winding Up |
|---|---|---|
| Nature | Quicker and simpler | Formal, legal procedure |
| Initiated By | ROC or voluntary | Company, creditors, tribunal |
| Reason | Inactivity or minor non-compliance | Insolvency or major closure |
| Process | Minimal documentation | Asset realization, debt settlement |
| Legal Status | Ceases to exist; liabilities may survive | Permanently dissolved |
| Revival | Possible via NCLT | Generally not possible |
| Time & Cost | Lower | Higher |
Consequences of Being Struck-Off
- Loss of Legal Identity: Cannot operate, enter contracts, sue, or be sued.
- Frozen Bank Accounts & Assets: Assets remain vested, but inaccessible.
- Director Liabilities: Directors remain liable for outstanding dues.
- Disqualification & Fines: Directors may face penalties and disqualification under Section 164(2).
How to Reinstate a Struck-Off Company
Legal Route: NCLT under Section 252
Section 252 allows revival of companies struck-off due to:
- Non-compliance with statutory requirements
- Inactivity or operational hiatus
- Administrative oversight by ROC
Who Can Apply?
- Company itself (directors/members)
- Any member, creditor, or workman
- ROC (if strike-off was inadvertent)
Time Limit for Revival
- Application by company/members/creditors/workmen: within 20 years of strike-off notice
- ROC: within 3 years if strike-off was inadvertent
Grounds for Revival
Evidence to support revival:
- Ownership of immovable property
- Active bank accounts
- Statutory compliance with GST, IT, PF, ESIC
- Active licenses/registrations (FSSAI, Shop & Establishment, etc.)
- Pending litigation or contracts
- Filed ITRs
- Assets and liabilities
- Board resolution authorizing NCLT filing
Documents Required
| Document | Description |
|---|---|
| Form NCLT-9 | Revival petition |
| Form NCLT-6 | Affidavit verifying petition |
| ROC strike-off notice | Certified copy or Official Gazette |
| MOA & AOA | Current company documents |
| Certificate of Incorporation | Proof of registration |
| Board Resolution | Authorizing NCLT filing |
| Financial Statements | Audited Balance Sheet & P&L prior to strike-off |
| Bank Statements | Proof of business operations |
| ITRs | Filed returns, if any |
| Director & Shareholder List | Updated details |
| Service Proof | ROC & Income Tax Department |
| Vakalatnama | Representation authorization |
| Supporting Evidence | Licenses, property, pending litigation, etc. |
Procedure for Revival
| Step | Description |
|---|---|
| 1. Draft & File NCLT Petition | Form NCLT-9 with affidavit and supporting documents; pay filing fee (~₹1,000) |
| 2. Serve ROC & IT Department | Petition copies served at least 14 days before hearing |
| 3. NCLT Hearing | Present case; ROC may give observations; Tribunal assesses evidence |
| 4. NCLT Order | Tribunal restores company name and gives directions |
| 5. File Order with ROC | Submit certified copy via Form INC-28 within 30 days |
| 6. File Pending Documents & Penalties | Submit all pending annual returns and financial statements; pay late fees |
| 7. ROC Publishes Order | Company status updated to “Active” in MCA records |
Costs Involved
| Cost Type | Details | Estimated Cost |
|---|---|---|
| Government Fees | NCLT filing fee | ₹1,000 |
| Professional Charges | CS/CA/Advocate fees | ₹15,000 – ₹50,000 |
| Documentation & Notarization | Affidavits, Board Resolutions, document preparation | ₹2,000 – ₹5,000 |
| ROC Penalties | Late filing fees @ ₹100/day + standard filing fee | ₹200 – ₹600 per form |
| Total Estimated Cost | Approximate overall cost including professional fees & penalties | ₹30,000 – ₹1,00,000+ |
Duration of Revival Process
-
Typically 2–6 months
-
Factors affecting duration:
-
Documentation completeness
-
NCLT caseload
-
Objections from ROC or IT Department
-
Compliance history
-
Post-Revival Compliance
- File all pending annual returns (Form MGT-7) & financial statements (Form AOC-4)
- Clear outstanding statutory dues (Income Tax, GST, PF, ESIC)
- Reactivate frozen bank accounts
- Renew/reactivate business licenses and registrations
- Update KYC details for company and directors
- Notify stakeholders about revived status
Certification
