{"id":4785,"date":"2020-03-12T17:49:48","date_gmt":"2020-03-12T12:19:48","guid":{"rendered":"https:\/\/corpbiz.io\/learning\/?p=4785"},"modified":"2023-02-28T14:24:49","modified_gmt":"2023-02-28T08:54:49","slug":"extension-of-deadline-for-filing-of-form-nfra-2","status":"publish","type":"post","link":"https:\/\/corpbiz.io\/learning\/extension-of-deadline-for-filing-of-form-nfra-2\/","title":{"rendered":"Extension of Deadline for Filing of Form NFRA-2"},"content":{"rendered":"\n<p>The Ministry of Corporate Affairs (MCA) on 5<sup>th<\/sup> March 2020, passed a circular stating the extension of the last date for filing of Form NFRA-2 after the due examination. The time limit for filing the Form NFRA-2, for the Financial Year 2018-19, will be <strong><em>150 days from the date of implementation of the Form on the website of the NFRA<\/em><\/strong><em>.<\/em><\/p>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_82_2 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title ez-toc-toggle\" style=\"cursor:pointer\">Page Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-toggle-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/corpbiz.io\/learning\/extension-of-deadline-for-filing-of-form-nfra-2\/#Review_of_NFRA_Rules\" >Review of NFRA Rules<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/corpbiz.io\/learning\/extension-of-deadline-for-filing-of-form-nfra-2\/#Power_and_need_of_NFRA-2\" >Power and need of NFRA-2<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/corpbiz.io\/learning\/extension-of-deadline-for-filing-of-form-nfra-2\/#The_objective_of_Form_NFRA-2\" >The objective of Form\nNFRA-2<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/corpbiz.io\/learning\/extension-of-deadline-for-filing-of-form-nfra-2\/#NFRA_applicability\" >NFRA applicability<\/a><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Review_of_NFRA_Rules\"><\/span> Review of NFRA Rules <span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>There was an amendment made on 5<sup>th<\/sup> September 2019 by the Ministry of Corporate Affairs (MCA) regarding the National Financial Reporting Authority Rules, 2018, also known as NFRA Rules and now these rules are called National Financial Reporting Authority (Amendment) Rules, 2019 which has come into force from the date of the publication in the Official Gazette. <\/p>\n\n\n\n<p>National Financial Reporting Authority (NFRA) was established under <strong><em>Section 132 of the Companies Act, 2013<\/em><\/strong> as a quasi-judicial body with the power to guarantee mainly the quality of financial reporting. <\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Power_and_need_of_NFRA-2\"><\/span>Power and need of NFRA-2<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Due to growing fraud in the Financial Sector, the Government of India after suitable contemplation with the top authorities of India formed a body called the National Financial Reporting Authority (NFRA). This Authority was established to regularize the audit standard that prevails in India.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"The_objective_of_Form_NFRA-2\"><\/span>The objective of Form\nNFRA-2 <span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>NFRA-2 purpose is to file Annual Return\nwith the National Financial Reporting Authority by the auditor, where they can\nmention Identity details, contact details, category, reporting period,\njurisdictional information, Audit clients and reports, memberships, etc.<\/p>\n\n\n\n<p><strong><em>The power of the Authority are as follows \u2013<\/em><\/strong><\/p>\n\n\n\n<ul><li>Recommend accounting as well as auditing policies and standards to be adopted;<\/li><li>Observe and enforce compliance with accounting and auditing standards.<\/li><li> The Financial Reporting Authority is empowered to supervise the quality of audit service and undertake the inspection of a company whose security is listed on any stock exchange in India, according to the&nbsp;<strong><em>Companies Act, 2013.<\/em><\/strong><\/li><\/ul>\n\n\n\n<p class=\"text-left\"><b>Read our article<\/b>:<mark style=\"background: #fffd03 !important;\"><a href=\"https:\/\/corpbiz.io\/learning\/steps-taken-by-rbi-and-sbi-against-yes-bank-crisis\/\">Steps Taken By RBI And SBI Against Yes Bank Crisis<\/a><\/mark><\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"NFRA_applicability\"><\/span>NFRA applicability<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The Authority has the power to observe\nand enforce compliance with accounting auditing standards, supervise&nbsp; the quality of service or undertake the\ninspection of the following companies and body corporate, namely: \u2013<\/p>\n\n\n\n<ul><li>The companies whose securities are listed on any <strong>stock exchange<\/strong><sup><a href=\"https:\/\/en.wikipedia.org\/wiki\/Stock_exchange\"><strong>[1]<\/strong><\/a><\/sup> inside or outside India;<\/li><li>Unlisted public companies&nbsp;having a capital of not less than Rs 500 crores or annual turnover of not less than Rs 1000crores or having outstanding loans, debentures and deposits of not less than 500 crores&nbsp; as on 31st March of the previous financial year;<\/li><li>Companies engaged in the generation and supply of electricity;<\/li><li>Reference made to the compelling Authority by the Central Government in the public interest, and<\/li><li>Any company registered outside India, which is a subsidiary company of any company registered in India.<\/li><\/ul>\n\n\n\n<h3 class=\"wp-block-heading\">Annual Form NFRA 2\nis to be filed by the Auditors<\/h3>\n\n\n\n<p>Auditors covered under Rule 3 of&nbsp; NFRA rules should file an Annual Return on or before 30th November every year. <\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Non-Compliance of\nNational Financial Reporting Authority<\/h3>\n\n\n\n<p>Every officer of the company who is the auditor who contravenes any of the provisions of the rules shall be punishable under the provisions of section 450 of the Act.<\/p>\n\n\n\n<p class=\"text-left\"><b>Read our article<\/b>:<mark style=\"background: #fffd03 !important;\"><a href=\"https:\/\/corpbiz.io\/learning\/union-cabinet-approves-amendments-to-companies-act\/\">Union Cabinet Approves Amendments to Companies Act<\/a><\/mark><\/p>\n\n\n<a href=\"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/03\/Circular_06032020.pdf\" class=\"pdfemb-viewer\" style=\"\" data-width=\"max\" data-height=\"max\"  data-toolbar=\"bottom\" data-toolbar-fixed=\"off\">Circular_06032020<br\/><\/a>\n<p class=\"wp-block-pdfemb-pdf-embedder-viewer\"><\/p>\n\n\n\n<p><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Ministry of Corporate Affairs (MCA) on 5th March 2020, passed a circular stating the extension of the last date for filing of Form NFRA-2 after the due examination. The time limit for filing the Form NFRA-2, for the Financial Year 2018-19, will be 150 days from the date of implementation of the Form on [&hellip;]<\/p>\n","protected":false},"author":18,"featured_media":4786,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[153],"tags":[395],"acf":{"service_id":"215"},"authorName":"Sakshi Srivastava","authorImageUrl":"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/03\/IMG-20180130-WA0007.jpg","authorDescription":"Sakshi has pursued B.B.A.LL.B.(IPR Hons.). She is an avid reader and is keen to gather and share her knowledge on the subjects relating to IPR, Company Law and GST. Priorly she has worked as a legal researcher and vide her articles she aims at improving the core knowledge of the subjects to the masses.","postViews":4563,"readingTime":2,"_links":{"self":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/4785"}],"collection":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/users\/18"}],"replies":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/comments?post=4785"}],"version-history":[{"count":9,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/4785\/revisions"}],"predecessor-version":[{"id":52900,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/4785\/revisions\/52900"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media\/4786"}],"wp:attachment":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media?parent=4785"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/categories?post=4785"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/tags?post=4785"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}