What will happen if the gap between two AGM exceed 15 months and 5% TCS  on foreign remittances
Channel: R V Seckar
Date: 2020-09-09

As per Section 96, every company, other than OPC is required to hold an AGM every year. The AGM should be held on the earliest of the following dates:
(1) 15 months from date of the last AGM
(2) The last day of the calendar year
(3)  6 months from the close of the financial year.
In the event of any difficulty in holding an AGM the ROC may grant an extension of time for any special reason by 3 months. In such situation if company doesn’t hold AGM in particular year, it will not be treated that company has contravened Section 96.
Now that the ROCs have given a blanket extension for holding AGMs until 31st Dec 2020, the issue of gap between two AGMs arises.
Supposing a company has held its AGM in July 2019 last year, the gap of 15 months would come into effect and the company would not be able to take full benefit under the circular.
However, when this relaxation is given by the government & the respective ROC's, keeping in mind the unprecedented situation caused due to this pandemic, & if there's a considerable amount of gap of more than 15 months between 2 AGM's, the same will not be considered as non compliance.
Hence one can take the benefit of this circular as the process of making an application in e-form GNL-1 is also dispensed with. 
However, the details of the circular issued by the respective ROC has to be specified in the notice.