What is a din number and how to apply for din
There are many compliances for running a Limited Company.
Many of the companies do not follow compliance and furthermore, after collecting the public money, they close down the company without following the due process of law.
So, in order to track the activity of directors, the central government regulated the directors of the company to obtain DIN (Director Identification Number) by submitting their Aadhar card and PAN card of every director.
What is a din number or what is director identification number?
Director Identification Number or DIN is an 8-digit unique identification number allotted to every director of a company, once allotted, the DIN number has lifetime validity and is not required to renew.
Every director can hold only one Director Identification Number and cannot have two numbers even if he holds directorship for 2 or more companies.
This DIN is issued by the Central Government through the Registrar of Companies.
In 2006, the central government had introduced an amendment to the Companies Act. As per the amendment, Sections 266A to 266G of Companies (Amendment) Act, 2006.
Every existing and intending Director has to obtain DIN within the prescribed time frame as notified.
WHICH TYPE OF COMPANIES NEED DIRECTORS?
Directors of every business which is registered through the Registrar of Companies need to obtain DIN Number.
- A private limited company needs to have at least 2 directors and a maximum it can have 15 directors
- A public limited company needs to have at least 3 directors and a maximum it can hold of 15 directors
- A one-person company needs to have minimum one director and maximum of 15 directors
WHY A DIRECTOR IDENTIFICATION NUMBER IS REQUIRED?
DIN is a unique identification number which helps to maintain the database of the Directors (such as name, PAN number, current address etc.).
Hence, it prevents fraudulent activities. The DIN number belongs to the director and not to the company.
With this DIN, the person can be a director of twenty companies.
Documents required for din application:
- Digital Signature Certificate is required for applying for the DIN.
- Photograph of the applicant
- PAN Card
- Aadhar card
- An attested passport copy is mandatory as ID proof for foreign nationals.
the process of How to get din number and how to apply for din
Application for allotment of DINs to the proposed first Directors in respect of New companies shall be made in SPICe form only.
Any person intending to become a director in an already existing company shall have to make an application in eForm DIR-3 for allotment of DIN.
Any changes in the particulars of the directors shall be filed in form DIR-6
It is mandatory to inform MCA about the changes of information in SPICe/DIR-3 (like an address) through the DIR-6 form. The DIR-6 form must be digitally signed and certified by the CA or secretary of the company
To apply for DIN, the above forms are to be filed electronically. It has to be digitally signed and then uploaded to the MCA21 portal.
fees for din application NUMBER:
Government fee is Rs. 500 and this is non-refundable even if an application is rejected.
CAUSES OF REJECTION:
CAUSES OF REJECTION:
Various reasons are there to reject your application. The following reasons are some of the common errors made by an applicant,
- Miss match of
- Applicant Name
- Father name
- Date of birth
- Prefix Ms./Mr./Kumari etc.
2. Spelling mistake
3. Wrong gender
4. Submission of older utility bills
5. Dull seal
6. Invalid ID proof or address proof
7. Submit duplicate DIN applications which already pending or approved documents
8. Non-submission of required documents
9. Non- submission of photo
10. If the attached documents are not self-attested
WHY to SURRENDER your DIN?
Any person holding a valid DIN can surrender at any time by submitting the DIR-5 form for the following reasons:
- The person is not appointed as a director in any company
- The DIN is obtained through fraudulent documents
- The director is declared unwell
- The director dies
- A court order is passed
In these cases a Director can surrender his DIN. And the fee for applying for the surrender of DIN is Rs.1,000/-
how to surrender din Number
- Login to the MCA portal
- Fill up the form DIR-5
- Provide the details such as name, number of DIN and reason for surrender
- Passport size photo
- Xerox of PAN card of applicant
- Court order (in case the court declare insolvent or unsound mind)
- Death certificate (in case the director have died)
- Make payment
- Verification process
Shareholders of the company can elect and appoint the directors. Directors are responsible for the day-by-day activity of the company.
Yes, because the government introduce the Director Identification Number to prevent fraudulent activities and governs the database of the Directors.