The Ministry of Corporate Affairs (MCA) recently introduced a form SPICe+ (pronounced as “SPICe PLUS”) for the incorporation of Company as per the Companies Act, 2013, as initiatives of Government of India Ease of Doing Business (EODB). It would be applicable for all Company incorporation on or after, 23.02.2020.

KEY FEATURES OF SPICe+ FORM:

1.   SPICe+ is a web form divided into two parts, Part – A and Part- B.

2.   SPICe+ would offer 10 services in one form, by 3 Central Government Ministries and Departments:

·       Ministry of Corporate Affairs;

·       Ministry of Labour; &

·       Department of Revenue in the Ministry of Finance.

Thereby, it will save many procedures, time and more importantly it is a cost-saver for starting a new business by incorporating the company.

SPICe+ FORM

A.   It is divided into two parts, PART-A and PART-B:

Part-A: For reservation of name of new Companies;

Part-B: Incorporation of a Company and offer the following services viz:

  i.  Incorporation of Company;

       ii.  DIN allotment for the proposed Directors or Subscribers;

      iii.  Mandatory issue of PAN of the Company;

      iv.  Mandatory issue of TAN of the Company;

        v.  Mandatory issue of EPFO (Employee Provident Fund Organization) registration;

      vi.  Mandatory issue of ESIC (Employees State Insurance Corporation) registration;

     vii.  Mandatory issue of Profession Tax registration (for Maharashtra);

   viii.  Mandatory Opening of Bank Account for the Company and

      ix.  Allotment of GSTIN (if so applied for).

B.   Users having two options, he/she may either choose to submit Part-A for reserving a name first and thereafter submit Part B for incorporation & other services, second; or

File Part A and B together at one go for incorporating a new company and avail the services as mentioned above.

C.  Onwards 23rd February 2020, RUN services will be applicable only for “Change of name” of an existing Company.

D.  As an initiative, for ease of doing business, SPICe+ structured into various sections, accordingly information once entered can be saved and modified easily.

E.   All the proposed Companies incorporated through SPICe+ w.e.f. 23rd February 2020, would mandatory require to apply for opening the Companies Bank Account, through the linked web form AGILE PRO.

F.   Declaration by all the first directors and subscribers will be generated automatically in pdf, therefore the user is no longer required to draft INC-9.

EXCEPT, Where

The total number of subscribers and/or directors is greater than 20 and/or any such subscribers and/or directors has neither DIN nor PAN.

G.  Only for the companies incorporation in the state of Maharashtra:

All the new companies incorporated through SPICe+, mandatory required to the registration itself for profession Tax.

H.  Registration for EPFO and ESIC:

Registration for EPFO and ESIC shall be mandatory for all Companies incorporated through SPICe+ and no separate EPFO & ESIC registration nos. issued by the respective agencies.

I.    Once the SPICe+ is completely filled with all the relevant details which are required, the same form has to be converted into pdf format, by a click of the mouse button, for affixing DSCs.

J.   All Check form and Pre-scrutiny validations (except DSC validation) will happen on web form itself.

Conclusion:

The new SPICe+ form provides more services as mentioned above in comparison to the previous SPICe form. Accordingly, this results in company formations with better compliance.