KYC of Directors: Requirements, Fees, Penalty & How to Apply

May 12, 2025
Private Limited Company vs. Limited Liability Partnerships

In the corporate landscape, transparency and compliance are not just good practices but mandatory. One of the key compliance steps every company director needs to follow is KYC (Know Your Customer) for directors.

Introduced by the Ministry of Corporate Affairs (MCA), this process ensures that accurate and up-to-date details of directors are maintained in official records. This is important not only for good governance but also for maintaining trust and accountability in the ecosystem.

In this blog, we’ll explain everything you need to know about Director KYC- its purpose, who needs to file it, the steps involved, fees, penalties, and how to apply online with ease.

Table of Contents

DIR-3 KYC

Form DIR-3 KYC is an important annual compliance step that every person holding a Director Identification Number (DIN) must complete. Whether you're currently a director in a company or not, if you have a DIN, you must file this form each year.

The Ministry of Corporate Affairs (MCA) mandates filing this form every year to ensure that directors’ records are current and accurate.

Failing to file this form within the deadline will lead to the DIN being marked as “Deactivated due to non-filing of DIR-3 KYC,” restricting a director from participating in company matters until compliance is restored.

Purpose of the Form DIR-3 KYC

The purpose of DIR-3 KYC is to keep director information in sync with official records and maintain a transparent and compliant corporate ecosystem. It ensures that directors update their information annually with the MCA.

Who Has to File e-Form DIR-3 KYC?

Every individual who holds a DIN, regardless of whether they are currently serving as a director, must file the e-Form DIR-3 KYC with the MCA each year. This includes:

There are no exemptions, so it's essential to comply regardless of your status or position.

Applicable Fee For Form DIR-3 KYC

  • Filing Fee: Free if filed on or before September 30
  • Penalty: ₹5,000 if filed after the due date, and the DIN will be deactivated until payment is made

Due Date for Filing DIR 3 KYC Form

The KYC form must be submitted by September 30 every year. There are two formats:

  • DIR-3 KYC: For first-time filers or those updating details
  • DIR-3 KYC Web: For those who have filed previously and have no changes

Penalties for Late Filing of the Form DIR-3 KYC

Missing the September 30 deadline results in:

  • DIN Deactivation
  • A penalty of ₹5,000 to reactivate the DIN

Documents Required to File DIR-3 KYC Form

Directors need the following documents:

  • Self-attested PAN card
  • Self-attested Aadhaar card
  • Passport (if available)
  • Valid mobile number and email ID
  • Digital Signature Certificate (DSC)

Key Verification Steps for Filing the Form DIR-3 KYC

Filing the DIR-3 KYC form may seem straightforward, but following the steps carefully is important to ensure successful submission and avoid any delays or penalties. Here's a detailed breakdown of the process:

Step 1: Collect Personal Documents

Before starting the filing process, gather all the required documents.

Step 2: Ensure Accuracy of Details

Ensure that all the information you enter in the form matches the details mentioned in your official documents (especially PAN and Aadhaar). Any mismatch can lead to rejection or delays in processing.

Step 3: Verify with OTP

Once you enter your email ID and mobile number, an OTP (One-Time Password) will be sent for verification. This is an essential part of the KYC process and ensures that your contact information is valid and belongs to you.

Step 4: Sign with a Digital Signature Certificate (DSC)

The DIR-3 KYC form must be digitally signed by the director using a valid DSC (Class 2 or Class 3). This step certifies the authenticity of the information being submitted.

Step 5: Get it attested by a Professional

After signing the form with your DSC, the form must be certified by a practising professional like a Chartered Accountant (CA) or a Company Secretary (CS). The professional must verify the form’s contents and affix their own digital signature. Their membership number, certificate of practice number, and contact details must also be provided.

Step 6: Upload the Form to the MCA Portal

Once the form is digitally signed and attested, upload it on the Ministry of Corporate Affairs (MCA) portal.

Process After Submitting the DIR-3 KYC Form

Once the DIR-3 KYC form is successfully submitted on the MCA portal, the following steps take place:

  • SRN Generation: An SRN (Service Request Number) is instantly generated upon submission. This SRN is important for tracking your application and for any future correspondence with the Ministry of Corporate Affairs (MCA).
  • Email Acknowledgement: The director receives an acknowledgment email at their registered email address. This email confirms the receipt and approval of the DIR-3 KYC form and usually includes a receipt of the submission. It is advisable to save this receipt for your records.
  • MCA Verification: The MCA system verifies the details provided in the form. If all information is correct, the status of the Director Identification Number (DIN) is updated to reflect successful KYC completion.
  • Error Handling: If there are any errors or discrepancies in the submitted information, the form may be rejected, and the director will be required to correct the errors and resubmit the form.
  • Late Filing Consequences: If the DIR-3 KYC form is filed after the due date (generally 30th September), a late fee of Rs. 5,000 is applicable. In such cases, the DIN remains deactivated due to non-filing until the form is submitted and the late fee is paid.

Key Points to Remember:

  • Save the SRN and acknowledgment receipt for future reference.
  • Check your email for approval or any further instructions from MCA.
  • If filed late, ensure payment of the prescribed penalty to reactivate your DIN.

Conclusion

Filing your DIR-3 KYC might feel like just another task, but it plays a big role in keeping things smooth and compliant for you as a company director. It helps the government maintain updated records, ensures transparency, and keeps your Director Identification Number (DIN) active.

If you miss the September 30 deadline, your DIN can be deactivated, which means you won’t be able to sign documents or carry out official duties as a director. So, take a few minutes each year to check your details, fill out the form, and stay compliant.

Frequently Asked Questions

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Frequently Asked Questions

What is KYC for directors?

KYC (Know Your Customer) for directors refers to the mandatory process where every director with a Director Identification Number (DIN) must submit personal details and verify identity annually by filing Form DIR-3 KYC with the Ministry of Corporate Affairs (MCA).

What is the last date for filing DIR-3 KYC?

The last date to file DIR-3 KYC is 30th September of every financial year for directors who were allotted DIN on or before 31st March of the preceding financial year.

How to check KYC status of directors?

You can check the KYC status of a director by visiting the MCA portal, navigating to the “MCA Services” section, and selecting ‘View DIN Status’. Enter the DIN to see if the KYC is marked as “KYC Verified” or “Deactivated due to non-filing”.

What happens if director KYC is not done?

If DIR-3 KYC is not filed by the due date, the DIN is deactivated, and the director cannot sign any filings with the ROC or act as a director. A penalty of ₹5,000 is imposed for delayed filing.

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Common types of Business Licenses required in India

Common types of Business Licenses required in India

With a multitude of regulations varying from state to state, figuring out what licenses you need and how to obtain them can feel like attempting to solve a complex puzzle with missing pieces. However, worry not! We understand the challenges you face, and we're here to guide you through every step of the way.

In this blog, we'll lead you through the intricacies of obtaining the necessary licenses to set up and operate your business seamlessly in India.

Table of Contents

Importance of Business Licenses

Business licenses play a crucial role in India's business landscape for several reasons:

Legal Compliance

  • Obtaining the necessary licenses ensures that businesses operate within the legal framework defined by government regulations.

Consumer Trust and Safety

  • Certain licenses, such as FSSAI licenses for food-related businesses or health licenses for healthcare providers, signify compliance with safety and quality standards.

Public Health and Environmental Protection

  • Licenses related to environmental clearances, waste management, and pollution control are essential for businesses to mitigate their environmental impact.

Taxation and Revenue Generation

  • Business licenses, such as GST registration and professional tax registration, facilitate tax compliance and revenue generation for the Government.

Regulation of Market Competition

  • Certain licenses, such as trade licenses and import-export licenses, regulate market entry and competition.

Employee Welfare and Labor Rights

  • Labor licenses ensure that businesses adhere to labour laws and provide a safe and fair working environment for employees.

Last but certainly not least, business licenses are a badge of honour for your business. They show investors, partners, and customers that you're serious, professional, and committed to doing things the right way. In a crowded marketplace, that kind of credibility can make all the difference.

Common Types of Business Licenses in India

Common types of business licenses required in India

In India, obtaining the necessary business licenses depends on the type of business activity you intend to undertake and the location in which you plan to operate. Here are some common types of business licenses required in India:

Business Registration:

While not classified as a license, registering a business with the Ministry of Corporate Affairs (MCA) in India is a fundamental legal requirement if you are an entrepreneur establishing a business venture.

Depending on the type of business structure chosen, such as sole proprietorship, partnership, limited liability partnership (LLP), or private/public limited company, the eligibility criteria, registration process, and compliance obligations can vary significantly.

There are primarily following types of Business structures:

•  Private Limited Company

•  Limited Liability Partnerships

•  One Person Company

•  Public Limited Company

•  Sole Proprietorship

•  Partnership

Ultimately, registering your business with the MCA not only establishes its legal legitimacy but also lays the foundation for growth, credibility, and long-term success in the Indian startup ecosystem.

For detailed information regarding the eligibility criteria, registration process, and compliance obligations associated with different business structures, check out the link below.

Company Registration in India - Online Incorporation Process Explained

Udyam Registration - MSME License

Similarly, Udyam Registration is not technically a license. However, it provides recognition and certain benefits to Micro, Small, and Medium Enterprises (MSMEs) in India.

The eligibility criteria for Udyam Registration are based on the investment, turnover, years of establishment, etc.

Once registered as an MSME, you can receive a unique Udyam Registration Number (URN) and a certificate that gives access to government schemes, subsidies, and incentives.

GST Registration

In India, Goods and Services Tax (GST) registration is mandatory for businesses meeting certain turnover thresholds, which is Rs. 40 Lakhs (for goods) and Rs. 20 Lakhs (for services) or engaging in specified activities.

Here's an overview of the process of obtaining GST registration, which is not exactly a license but a crucial registration for businesses:

  • Access the official GST portal.
  • Fill out the registration form with accurate details regarding your business activities, turnover, and so on.
  • Furnish the necessary information, including business details, PAN, Aadhaar, bank account details, and relevant documents.
  • Upon successful verification, you will be issued a unique Goods and Services Tax Identification Number (GSTIN)- a 15-digit unique identifier for the businesses under the GST regime.

Professional Tax Registration

Professional Tax Registration is a requirement for employers and individuals engaged in certain professions, trades, or employment in India. It is a state-level tax levied by the respective State Governments for the welfare of professionals and workers in various sectors.

In some states like Maharashtra, obtaining professional tax registration is mandatory.

Shops and Establishment License

The Shops and Establishment License is a mandatory requirement for businesses operating within a specific jurisdiction, typically at the state level, in India. It is governed by the respective state Shops and Establishment Act and its rules, which vary slightly across different states.

The primary purpose of the Shops and Establishment License is to regulate the operations of shops, commercial establishments, and other businesses within a state with provisions related to-

  • Working hours
  • Welfare and safety of employees
  • Employment practices

The Shops and Establishment License is usually valid for a specific period, after which it needs to be renewed to continue operating legally. A valid Shops and Establishment License is often required for various business activities, including obtaining other licenses, permits, or registrations.

Trade License

A trade license is a legal permit issued by the local municipal authority or council that authorizes your business to engage in specific commercial activities within a designated area or jurisdiction.
Trade licenses specify the types of commercial activities that a business is permitted to undertake. These activities may include manufacturing, trading, storage, distribution, or provision of certain services, depending on the nature of the business and local regulations.

In order to obtain a Trade license, you must submit an application to the local municipal authority or council responsible for issuing licenses. The application process typically requires businesses to provide certain documents, such as -

  • Proof of identity,
  • Address proof,
  • Proof of ownership or tenancy of the premises
  • Approvals and NOCs (No Objection Certificates) from relevant authorities

Once the application is approved and all requirements are met, the local authorities will issue the trade license to your business, specifying the permitted activities, duration of validity, and any conditions or restrictions.

Labour License

Labour licenses, also known as labour permits or labour registrations, are legal authorizations issued by government authorities (Shram Suvidha Portal) to businesses, particularly those employing a significant number of workers, to ensure compliance with labour laws and regulations.

It safeguards the rights and interests of workers by setting standards for fair treatment, safe working conditions, and adequate remuneration. These licenses often require businesses to adhere to minimum wage laws, working hour restrictions, overtime compensation, leave entitlements, and other labour standards aimed at promoting employee well-being.

The process of obtaining a labour license may vary depending on the jurisdiction and the specific requirements imposed by labour laws and regulations.

Food Safety and Standards Authority of India (FSSAI) License

The Food Safety and Standards Authority of India (FSSAI) license, commonly referred to as the FSSAI license, is a mandatory requirement for businesses involved in the manufacturing, processing, packaging, storage, distribution, and sale of food products in India.

Obtaining an FSSAI license is a legal requirement for food businesses operating in India. It is mandated by the Food Safety and Standards Act of 2006, and non-compliance can result in penalties, fines, or even closure of the business.

Depending on the scale and nature of the business, there are different types of FSSAI licenses, such as Basic Registration, State License, and Central License, each catering to specific business activities and turnover thresholds.

Import-Export License

An import-export license, also known as an import-export permit, is a legal authorization issued by government authorities that allows businesses to engage in the importation and/or exportation of goods across international borders.

An Importer Exporter Code is mandatory for the export and import of goods. It is a 10-digit identification number that is compulsory for the purpose of exporting from India as well as for the purpose of importing to India. It has lifetime validity.

The process to obtain an Import Export Code (IEC) registration certificate online involves several steps, as outlined below:

  • Fill out the Application Form.
  • Gather the necessary documents as per the requirements specified.
    • For Private Limited/ LLPs- Company PAN Card, Incorporation Certificate, Aadhar Card, PAN Card of all Directors/Partners, and Cancelled Cheque of the Company.
    • For Partnerships- Partnership Firm PAN Card, Partnership Deed, Aadhar Card, PAN Card of all Partners, and Cancelled Cheque of the Partnership Firm.
  • Pay the required Fees.
  • Upon successful verification and processing, the Import Export Code (IEC) registration certificate will be issued. You will receive the certificate electronically using the registered email ID provided during the application process.

While we covered some common licenses necessary for businesses in India, certain industry-specific licenses and permits exist that are crucial for compliance with sector-specific laws, regulations, and standards. These can vary widely depending on the nature of the industry, the type of activities involved, and the potential risks or impacts associated with the operations.

Business Registration with Razorpay Rize

To conclude, securing these licenses is crucial for the seamless operation of your business. However, it's essential to prioritize registering your business as a legal entity beforehand, as this step is often a prerequisite for applying for most of these licenses.

Razorpay Rize simplifies this fundamental yet vital aspect of the process with its online company registration services. To learn more about how Razorpay Rize can assist you, click below.

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1,499 + Govt. Fee
BEST SUITED FOR
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1,499 + Govt. Fee
BEST SUITED FOR
  • Freelancers, Small-scale businesses
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1,499 + Govt. Fee
BEST SUITED FOR
  • Service-based businesses
  • Businesses looking to issue shares
  • Businesses seeking investment through equity-based funding


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1,499 + Govt. Fee
BEST SUITED FOR
  • Freelancers, Small-scale businesses
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Frequently Asked Questions

Nipun Jain

David Brown is a science fiction author who captivates readers with his imaginative worlds and thought-provoking narratives. His stories often explore the intersection of technology and humanity, challenging readers to think critically about the future.

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National Initiative for Developing and Harnessing Innovations- Seed Support System (NIDHI-SSS)

National Initiative for Developing and Harnessing Innovations- Seed Support System (NIDHI-SSS)

The National Initiative for Developing and Harnessing Innovations (NIDHI) is a comprehensive program created by the Department of Science & Technology, Government of India, through its Innovation & Entrepreneurship division. It fosters the transformation of ideas and innovations, particularly those rooted in knowledge and technology, into thriving startup ventures.

NIDHI-Seed Support System is an initiative of the National Science & Technology Entrepreneurship Development Board (NSTEDB), Department of Science & Technology. aims to bridge a significant gap in financial support for technology-driven startups in their early stages.

Description Who is it for? Benefits
To provide financial assistance to startups for proof of concept, prototype development, product trials, market entry and commercialization, etc. For MSMEs and Technology startups Financial Support up to Rs 100 lakhs per start-up as Seed Support

The core concept of seed support revolves around offering financial aid to budding startups with promising ideas, innovations, and technologies. It strives to provide financial assistance to startups for proving their concept, developing prototypes, conducting product trials, entering the market, and commercializing their innovations.

Table of Contents

Components of NIDHI Scheme

The key components of NIDHI are:

1. NIDHI-GCC

Grand Challenges and Competitions for scouting innovations;

2. NIDHI-PRomotion and Acceleration of Young and Aspiring technology entrepreneurs (NIDHI-PRAYAS)

Support from Idea to Prototype

3. NIDHI- Entrepreneur In Residence (NIDHI-EIR)

Support system to reduce risk

4. Startup-NIDHI through Innovation and Entrepreneurship Development Centres (IEDCs)

To encourage students to promote start-ups in Institutions

5. Start-up Centre in collaboration with MHRD

To drive entrepreneurship and innovation in National Institutions of Higher Learning

6. NIDHI-Technology Business Incubator (TBI)

To help convert Innovations into startups

7. NIDHI-Accelerator

Fast-tracking a start-up through focused intervention

8. NIDHI-Seed Support System (NIDHI-SSS)

To provide early-stage investment

9. NIDHI Centres of Excellence (NIDHI-CoE)

A World-class facility to help startups go global

Focus Areas of NIDHI-SSS

Technology-based product proposals in sectors such as agriculture, healthcare, manufacturing, engineering, IoT, biotechnology, medical devices, water, waste management, energy, climate tech, fintech etc.

Eligibility of NIDHI-SSS

  • Must be a registered company in India with a minimum of three months of residency at the Science and Technology Entrepreneurs' Park (STEP) / Technology Business Incubators (TBIs).
  • Must be an Indian start-up.
  • Must have Indian promoters holding the shares of at least 51% in the incubated startup.

Please note: This assistance is not intended for Indian subsidiaries of multinational corporations or foreign companies. However, individuals holding Overseas Citizens of India (OCI) or Persons of Indian Origin (PIO) status will be treated as Indian citizens under this scheme.

Application procedure for Startups

  • Website and newspaper ads are posted to signal the availability of seed support at specific incubator organizations.
  • Social media posts announce the call for applications.
  • Applicants are shortlisted based on eligibility criteria.
  • The NIDHI-SSMC makes decisions regarding the shortlisted applicants.
  • Selected applicants are chosen for funding.

Benefits of NIDHI-SSS

Seed support of up to INR 100 Lakhs with average financial seed funding ranging from INR 25 Lakhs.

Other assistance areas include:

  • Product development
  • Testing and trials
  • Test Marketing
  • Mentoring
  • Professional Consultancy
  • IPR issues
  • Manpower for day-to-day operations

Frequently Asked Questions

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Register your Business starting at just 1,499 + Govt. Fee

Register your business
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Register your Limited Liability Partnership in just 1,499 + Govt. Fee

Register your business

Private Limited Company
(Pvt. Ltd.)

1,499 + Govt. Fee
BEST SUITED FOR
  • Service-based businesses
  • Businesses looking to issue shares
  • Businesses seeking investment through equity-based funding


Limited Liability Partnership
(LLP)

1,499 + Govt. Fee
BEST SUITED FOR
  • Professional services 
  • Firms seeking any capital contribution from Partners
  • Firms sharing resources with limited liability 

One Person Company
(OPC)

1,499 + Govt. Fee
BEST SUITED FOR
  • Freelancers, Small-scale businesses
  • Businesses looking for minimal compliance
  • Businesses looking for single-ownership

Private Limited Company
(Pvt. Ltd.)

1,499 + Govt. Fee
BEST SUITED FOR
  • Service-based businesses
  • Businesses looking to issue shares
  • Businesses seeking investment through equity-based funding


One Person Company
(OPC)

1,499 + Govt. Fee
BEST SUITED FOR
  • Freelancers, Small-scale businesses
  • Businesses looking for minimal compliance
  • Businesses looking for single-ownership

Private Limited Company
(Pvt. Ltd.)

1,499 + Govt. Fee
BEST SUITED FOR
  • Service-based businesses
  • Businesses looking to issue shares
  • Businesses seeking investment through equity-based funding


Limited Liability Partnership
(LLP)

1,499 + Govt. Fee
BEST SUITED FOR
  • Professional services 
  • Firms seeking any capital contribution from Partners
  • Firms sharing resources with limited liability 

Frequently Asked Questions

How does the application process for the NIDHI Seed Support Scheme work?

The application process involves submitting a detailed proposal outlining the startup's innovative idea, project plan, budgetary requirements, and expected outcomes. Shortlisted applicants may be required to undergo further evaluation and due diligence before final selection.

Is there a limit on the number of times a startup can apply for funding under the NIDHI Seed Support Scheme?

A startup supported once will not be eligible to apply for subsequent rounds of seed support to any STEP/TBIs.

What is the post-selection process of the NIDHI-SSS?

The post-selection process in the NIDHI Seed Support Scheme typically involves several steps aimed at facilitating the disbursement of funds and providing ongoing support to the selected startups.

After the seed support is recommended to an incubated startup, the terms of agreement with the incubated startup are framed by the STEP/TB, linking the progress milestones, monitoring norms, reasonable repayment, recovery provisions in case of loan, and terms of equity liquidation in case of equity holding by STEP/TBI.

How to apply for a Director Identification Number (DIN) in India

How to apply for a Director Identification Number (DIN) in India

The Director Identification Number (DIN) is a unique identification number assigned to an individual who is appointed as a director of a company in India. It is issued by the Ministry of Corporate Affairs (MCA) under the provisions of the Companies Act 2013.

The DIN is mandatory for all existing and aspiring directors, and it serves as a way to track the activities and roles of directors across different companies to prevent fraud and ensure transparency.

In the blog, we'll explore the intricacies of the Director Identification Number (DIN) system in India and its crucial role in corporate governance.

Table of Contents

Importance of a Director Identification Number (DIN)

Importance of a Director Identification Number & its application process

The Director Identification Number (DIN) is of significant importance in India's corporate governance framework. Here are some key reasons why DIN is crucial:

•  Unique Identification

  • DIN provides a unique identification number to each director, ensuring there is clarity among individuals holding directorial positions in various companies.

•  Transparency and Accountability

  • DIN enhances transparency by making director-related information publicly available.
    Stakeholders, including shareholders, regulators, and investors, can access the DIN database to verify the credentials and track the activities of directors across different companies.

•  Regulatory Compliance

  • Obtaining a DIN is a mandatory requirement for individuals aspiring to become directors of Indian companies. The DIN system in India was implemented through Sections 266A to 266G of the Companies (Amendment) Act, 2006.

•  Ease of Business Operations

  • DIN streamlines administrative processes related to director appointments and changes.
    By having a standardized identification system for directors, companies can efficiently manage their board compositions, update regulatory filings, and ensure compliance with legal requirements.

•  Investor Confidence

  • The existence of a robust director identification system like DIN instills confidence among investors, both domestic and international.

Format of a Director Identification Number

The DIN is an 8-digit identifier issued by the Ministry of Corporate Affairs (MCA), the regulatory authority overseeing corporate affairs in India.

Each DIN is unique to the individual director and remains valid for their lifetime unless surrendered or revoked by the MCA due to non-compliance or other regulatory reasons.

Example of a DIN: 002345678

Documents required for obtaining a Director Identification Number

For SPICe+:

  • Proof of Identity
  • Proof of Address
  • NOC or Rental Agreement

For DIR 3:

  • Proof of Identity
  • Proof of Residence
  • NOC or Rental Agreement
  • Digital Signature Certificate (DSC)
    Note: The identity proof and Address proof must be attested by the Company Secretary, a CA or, any professional. ,

How to apply for a Director Identification Number?

Obtaining a Director Identification Number (DIN) is mandatory before being appointed as a director of an existing company in India.

While the DIN for directors of a new company is allotted during the company's incorporation through an integrated SPICe+ Form, if you’re seeking directorship in existing companies or LLPs, you must apply for a DIN separately. The application process, known as DIR-3, can be completed online through the official website of the Indian Ministry of Corporate Affairs (MCA).

Application for DIN Through SPICE+

If you don’t have a Director Identification Number (DIN) and intend to serve as the first director in a new company, you must submit an application using the eForm SPICe+.

  • Obtain the Digital Signature Certificates (DSCs) for the proposed Directors,
  • Log in to the MCA portal with valid credentials.
  • Navigate to the 'SPICe+' application from the application history on the user dashboard.
  • Submit the SPICe+ Part A application.
  • Click on the 'Proceed for incorporation' button.
  • Access the SRN dashboard by clicking on the relevant SRN/SPICe+ application with the status as 'Draft.'
  • Click on "Form No. SPICe + Part B”.
  • Complete and Submit the SPICe+ Part B application along with the linked forms.
  • Upload the DSC-affixed PDF document(s).
  • Pay the fees.
  • An intimation mail, along with the Certificate of Incorporation, PAN, TAN, etc., will be generated upon processing the web form.
  • If the forms are uploaded successfully and the payment is made, the Approved DIN will be generated if there are no indications of potential duplication. However, if the details are flagged as potentially duplicate, a Provisional DIN will be generated instead.

Note: A provisional DIN will remain valid for a period of 60 days from the date on which it was generated.

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Application for DIN Through DIR 3

If you intend to become a Director in an existing company, you must submit an application using eForm DIR-3 and adhere to the process outlined below.

  • Visit the official MCA website.
  • Register as a new user if you haven't already done so, or log in using valid credentials.
  • Select the "e-Forms" tab and click on the "e-Form upload" link to access the e-Form DIR-3.
  • Complete the DIR-3 form with accurate details.
  • Scan and upload the necessary supporting documents (attested) as per the requirements specified in the DIR-3 form.
  • Form DIR-3 must be signed by you and digitally verified by a Company Secretary employed full-time by the company or by the Managing Director, Director, CEO, or CFO of the existing company where you intend to be appointed as a director.
  • Pay the prescribed fee for processing.
  • Once the verification process is completed and the application is found to be in order, you will be allotted a DIN.
  • However, if the details are flagged as potentially duplicate, a Provisional DIN will be generated by the MCA.

As a director, you must notify all companies where you hold a directorship about the DIN within one month of receiving it from the central government. Subsequently, the company must inform the Registrar of Companies (RoC) within 15 days from the date when the director notifies them of their DIN. Failure to do so can incur penalties.

Common Causes of Rejection of a DIN

Here are some common mistakes that lead to the rejection of the DIN application:

  • Failure to submit supporting documents
  • Submission of invalid application or supporting documents
  • Lack of attestation on documents
  • Absence of a valid Digital Signature Certificate (DSC) for DIR3 applications

Validity of the Director Identification Number

In India, the Director Identification Number (DIN) remains valid for the lifetime of the individual director unless surrendered or revoked by the Ministry of Corporate Affairs (MCA) due to non-compliance, disqualification, or other regulatory reasons.

Fees for the Director Identification Number in India

If you are applying for a DIN through SPICe+, there are no additional charges as it is included in the fees of the SPICe+ application.

However, if you are applying through DIR-3, a fee of Rs 500 will be associated with it.

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Frequently Asked Questions

Is there any difference between a Director Identification Number(DIN) and a Designated Partner Identification Number (DPIN)?

DIN is for individuals holding or intending to hold directorial positions in companies under the Companies Act, while DPIN is for designated partners in Limited Liability Partnerships (LLPs) under the Limited Liability Partnership Act. However, in terms of functionality, both serve the same purpose.

Can I use my DIN for multiple companies?

Yes, a single DIN can be used to hold directorship positions in multiple companies. However, each company must separately intimate the Registrar of Companies (RoC) about the director's DIN.

Can I hold multiple DINs?

No, you can hold only one DIN at any point in time. It is illegal to possess multiple DINs, and individuals found to have more than one may face penalties and other legal consequences.

How can I change the details provided for my DIN in the future?

In case of any modifications to the particulars provided in form DIR-3/SPICe concerning directors, you can submit e-form DIR-6. For example, if there is an address change, you must notify this change by submitting an e-form DIR-6 along with the necessary attested document.

What happens if my DIN application is rejected?

If your DIN application is rejected, you will receive a communication from the MCA specifying the reasons for rejection. You may have the option to rectify the errors and reapply.

Can I transfer my DIN to someone else?

No, a DIN is non-transferable and is associated only with the individual director to whom it is assigned.

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