Form DPT 3: Filing the Return of Deposits

Form DPT-3, commonly known as the "Return of Deposits," is a vital annual filing requirement for companies in India, excluding government entities. This form provides a comprehensive overview of a company's deposit-related activities, including detailed information on deposits, outstanding loans, and any amounts received that do not qualify as deposits. The primary purpose of Form DPT-3 is to ensure transparency and regulatory compliance by reporting these financial activities and transactions. IndiaFilings experts can assist you in filing your?DPT-3 forms accurately and efficiently, ensuring compliance with regulatory requirements.

Introduction of DPT-3 Filing

To safeguard the interests of creditors and depositors, the Central Government, in consultation with the Reserve Bank of India, introduced an amendment to the Companies (Acceptance of Deposits) Rules 2014 through the Companies (Acceptance of Deposits) Amendment Rules 2019.? In line with this, the Ministry of Corporate Affairs (MCA) was notified on January 22, 2019, stating that every company, except government companies, must file a one-time return in Form DPT-3. Additionally, this return needs to be filed annually. This requirement was incorporated by adding sub-rule (3) after sub-rule (2) in Rule 16A of the Companies (Acceptance of Deposits) Rules, 2014.

Purpose of Filing Form DPT-3

The primary objectives of filing DPT-3 are to ensure transparency, safeguard the interests of depositors, and enable the monitoring of a company’s financial activities. There is an inherent risk when a company accepts deposits from members, directors, or third parties. Filing the DPT-3 form allows regulatory authorities to track companies' financial health and ensure compliance with the Companies Act, thereby reducing the risk of fraudulent practices and mismanagement of funds.

Form DPT-3 Applicability

The filing of Form DPT-3 applies to a wide range of monetary transactions and debts. Here are the types of money or debts to which Form DPT-3 is applicable:

Secured Debts: These are loans or obligations backed by collateral or security the borrowing company provides.
Unsecured Debts: These are loans or debts without collateral or security attached.
External Borrowings: Form DPT-3 also encompasses debts or borrowings from external sources, such as financial institutions or banks.
Commercial Borrowings: Loans or debts obtained by companies for commercial purposes fall under the purview of Form DPT-3.

It is important to note that even if a company has received a loan from specific entities, it must file Form DPT-3. These entities include:

Holding Company: If a company has obtained a loan from its holding company, which has a controlling stake, Form DPT-3 filing is mandatory.
Subsidiary Company: In the case of a loan from a subsidiary company controlled by the borrowing company, filing Form DPT-3 is necessary.
Associate Company: When a company has received a loan from an associate company with a significant influence on the borrowing entity, filing Form DPT-3 is obligatory.

Eligible Companies for Form DPT-3 Return Filing

Form DPT-3, the filing of the return of deposits applies to several types of companies in India. The following categories of companies are eligible to file Form DPT-3:

Private Limited Companies
One-Person Companies (OPCs)
Public Limited Companies
Section 8 Companies

It is important to note that government companies are exempted from filing Form DPT-3.

Exemptions from Filing Form DPT-3

Under the Acceptance of Deposits Rules of 2014, certain companies are exempted from filing the DPT-3 form as per the Companies Act. The exemptions primarily relate to the filing of loan returns. The following types of companies are exempt from filing Form DPT-3:

Government Companies
Banking Institutions
Non-Banking Financial Companies (NBFCs)
Companies registered as housing finance companies under the supervision of the National Housing Bank.
Companies notified explicitly under subsection (1), section 73 of the Companies Act.

Transactions Not Considered as Deposits for DPT-3 Filing

Here is a list of transactions that are not considered deposits for the purpose of filing DPT-3:

Government or Guaranteed Receipts: Any amount received from the government, foreign government, or foreign bank or guaranteed by any of these entities.
Loans from Financial Institutions: Any amount received as a loan or facility from Public Financial Institutions, Insurance Companies, or Banks.
Inter-Company Loans: Any amount received from one company by another company.
Subscription Advances: Amounts received in advance for subscriptions to securities or as a call in advance.
Directors' and Relatives' Contributions: Any amount received from a company director or a relative of a director in a private company, provided they held these positions at the time of the loan.
Employee Deposits: Any amount received from an employee, up to their annual salary, as a non-interest-bearing security deposit under an employee contract.
Business Advances: Amounts received in the course of business as an advance for the supply of goods or services or as a security deposit for performance under a contract for the supply of goods or services.
Convertible Notes for Startups: Receipt of Rs 25 lakh or more by a startup company in the form of a convertible note in a single tranche.
Secured Bonds or Debentures: Amounts raised by issuing secured bonds or debentures with a first charge or non-convertible debentures without a charge on the company's assets.
Unsecured Promoter Loans: Any amount received as an unsecured loan from promoters
Nidhi Company and Chit Fund Receipts: Any amount received by a company from a Nidhi Company or through subscription to a chit under the Chit Funds Act, 1982.
Investments from SEBI-Registered Funds: Any amount received from a collective investment scheme, alternative investment funds, or mutual funds registered with SEBI.
Other Non-Deposits: Any other amount not classified as a deposit under Rule 2(1)(c) of the Companies (Acceptance of Deposits) Rules, 2014.

Hence, any amount, whether secured or unsecured which does not qualify as a deposit must still be reported in the DPT-3 form.

Form DPT 3 Due Date

The due date for filing Form DPT 3 is June 30th of every year. This deadline applies to all companies required to report their deposits or outstanding receipts of loans or money not considered deposits for the financial year ending on March 31st.

Documents Required for Filing Form DPT-3:

To complete the filing of Form DPT-3, the following documents are typically required:

Auditor’s Certificate
Deposit Insurance Contract
Copy of the Trust Deed
Copy of the Instrument Creating Charge
List of Depositors
Details of Liquid Assets
Outstanding Receipts of Money or Loans

Fees for Filing Form DPT-3

The fees for filing Form DPT-3 are determined as per the Companies (Registration Offices and Fees) Rules.

DPT-3 Penalty: Consequences and Compliance Requirements

Failure to Comply with the filing requirements of Form DPT-3 can lead to severe consequences for companies. Here are the potential penalties and repercussions of defaulting on the filing:

Penalty on the Company: The MCA imposes penalties on companies that fail to comply with Form DPT-3 filing. The penalty can be either one crore rupees or twice the amount of the deposit, whichever is lower. The maximum penalty can reach up to Ten crore rupees.
Penalty on the Officers: The officers responsible for the default can also face penalties for non-compliance. This can include imprisonment for up to seven years. Additionally, officers may be fined 25 lakhs to two crore rupees.
Penalty for Default in Paying Fine: Additional penalties may be levied if the company or the responsible officers fail to pay the imposed penalty. Five thousand rupees can be charged for defaulting on the payment. Furthermore, if the fine remains unpaid, a daily fine of 500 rupees can be imposed from the day of default until the payment is made.

How to File DPT-3?

Form DPT-3 is a web-based form that must be filed online through the Ministry of Corporate Affairs (MCA) website. The process involves several steps, which are outlined below to give you a comprehensive understanding of the DPT 3 filing procedure. If you encounter any issues or need professional assistance, our experts are always available to help. Procedure for Filing DPT 3:

Visit the MCA Portal & Login:

Go to the MCA website. This is the official portal for all e-filing and services provided by the Ministry of Corporate Affairs, including the filing of Form DPT-3.
Log into your account. If you do not have an account, you can create one by registering as a Business User.

Access the DPT-3 Webform:

Navigate to the Form: Once logged in, go to the main menu, and under the "MCA Services" section, click on “e-filing services.”
Select Deposit Filings: From the dropdown menu, select “Deposit Related Filings” and then access the DPT-3 Webform. The entire process is conducted online from start to finish.

Fill Out & Submit the Form Online:

Here is the information to be furnished when filing Form DPT-3:

CIN of the Company: The Corporate Identification Number (CIN) assigned to the company.
Email ID: The official email address of the company for communication purposes.
Objects of the Company: A description of the primary business activities or purposes for which the company was established.
Net Worth of the Company: The net worth of the company as of the most recent financial year-end, typically calculated as total assets minus total liabilities.
Particulars of Charge (if any): Details of any charges or encumbrances on the company's assets.
Total Amount Outstanding as of 31st March 2020: The total outstanding amount of deposits, loans, or other funds as of March 31st, 2020.
Particulars of Credit Rating: Information on the credit rating of the company, if applicable, including the name of the credit rating agency and the rating assigned.
Attachments: Attach the necessary documents in digital format to support the details provided in the form. A comprehensive list of required documents is provided in the section above.

Submit the Form to Generate SRN:

Form Submission: After filling out the form and attaching the required documents, submit the form online. A Service Request Number (SRN) will be generated, which you can use to track the status of your form until all formalities are completed.

Affix the DSC & Pay the Required Fee:

Digital Signature: Authenticate the form with the applicant’s Digital Signature Certificate (DSC).
Fee Payment: Pay the required fee for the DPT-3 filing. The fee varies based on the company’s nominal or paid-up capital and increases accordingly. Detailed fee structures are provided in the further sections.

Receive the acknowledgement mail:

Acknowledgement: You will receive an acknowledgement of your filing on your registered email address, confirming that the Registrar of Companies has received the return of deposits for the financial year.

Completing the DPT-3 filing process is essential for regulatory compliance and avoiding penalties. Contact our experts to ensure a smooth and efficient filing experience if you need further guidance or support.

File Form DPT-3 with Ease through IndiaFilings

IndiaFilings offers a convenient and reliable solution for filing Form DPT-3. Our expert team assists companies with compliance requirements, ensuring a smooth and hassle-free filing process. Contact our team today to benefit from our professional services and fulfil your legal and compliance obligations.