Dormat Private Limited Company

Dormant Company gets an advantage of fewer compliances cost as there are only minimal compliances applicable to the dormant company.
Dormant Company is not required to include the statement of cash flow in its financial statement.
Dormant Company shall hold only two board meeting in a year with a gap of 90 days in between the two Companies.
The auditors are not required to be rotated under the dormant company.

A dormant company shall file a “Return of Dormant Company” annually, duly audited by Chartered accountant n such form along with the fees prescribed under the act.
If a dormant company fails to file an annual return for consecutive two financial years Register may ask to change the status of dormant company.
1. Dormant company tenure is 5 consecutive year. They cannot hold status as a dormant company more than 5 years.