As part of Government of India’s Ease of Doing Business (EODB) initiatives, the Ministry of Corporate Affairs has deployed a new Web Form known as ‘SPICe+’ (pronounced ‘SPICe Plus’) replacing the existing SPICe form and will be applicable for all new company incorporations with effect from 23rd February 2020. The other forms that need to be filed along with SPICe+ are AGILE-PRO, SPICe+AoA, and SPICe+MoA.
Overview of SPICe Plus
SPICe+ which stands for Simplified Proforma for Incorporating Company Electronically Plus aims to offer about 10 services by three Central Government Ministries and Departments (Ministry of Corporate Affairs, Ministry of Labour and the Department of Revenue in the Ministry of Finance) and one State Government (Maharashtra). SPICe+ is an integrated Web Form. The form is applicable to all types of companies including:
- Public Limited Company
- Private Limited Company
- One Person Company
- Producer Company
- Section 8 Company
- Nidhi Company
Features of SPICe Plus
SPICe+ would have two parts viz.:
- Part A – for Name reservation for new companies and
- Part B offering a bouquet of services viz.
(ii) DIN allotment
(iii) Mandatory issue of PAN
(iv) Mandatory issue of TAN
(v) Mandatory issue of EPFO registration
(vi) Mandatory issue of ESIC registration
(vii) Mandatory issue of Profession Tax registration(Maharashtra)
(viii) Mandatory Opening of Bank Account for the Company and
(ix) Allotment of GSTIN (if so applied for)
AGILE stands for Application for Goods and services identification number, employees’ state Insurance corporation registration plus Employees’ provident fund organization registration. The old AGILE form (INC – 35) is now replaced with the AGILE – PRO web form.
RUN service is now applicable only for the ‘change of name’ of an existing company.
What is the RUN web Service?
RUN stands for Reserve Unique Name. This web service is used to reserve the name of a new company or for the change in the name of an existing company. The type of entity and the proposed names for the company are to be entered in case of reserving the name for a new company. For an existing company, the CIN/LLPIN is the additional information to be entered in for the change of name.
Now, since the introduction of the SPICE+ and AGILE – PRO forms, the RUN web service will henceforth be available only for the change of name of existing companies.
Other Major Changes
- The approved name and related incorporation details as submitted in Part A would be automatically Pre-filled in all linked forms also viz., AGILE-PRO, eMoA, eAoA, URC1, INC-9 (as applicable)
- For ensuring ease while filing, SPICe+ will be structured into various sections. Information once entered can be saved and modified.
- All Check form and Pre-scrutiny validations (except DSC validation) will happen on the web form itself.
- Once the SPICe+ is filled completely with all relevant details, the same would then have to be converted into pdf format, with just a click of the mouse button, for affixing DSCs
- Changes/modifications to SPICe+ (even after generating pdf and affixing DSCs), can also be done by editing the same web form application which has been saved, generating, the updated pdf affixing DSCs and uploading the same.
- DSC validation and other validations will happen at Upload Level.
- Registration for EPFO and ESIC shall be mandatory for all new companies to be incorporated through SPICe+ w.e.f 23rd February 2020 and no EPFO & ESIC registration nos. shall be separately issued by the respective agencies.
- Registration for Profession Tax shall also be mandatory for all new companies to be incorporated in the State of Maharashtra through SPICe+
- All new companies incorporated through SPICe+ w.e.f 23rd February 2020 would also be mandatorily required to apply for opening the company’s Bank account through the AGILE-PRO linked web form.
- Declaration by all Subscribers and first Directors in INC-9 shall be auto-generated in pdf format and would have to be submitted only in Electronic form in all cases, except where:
Total number of subscribers and/or directors is greater than 20 and/or any such subscribers and/or directors has neither DIN nor PAN
The newly introduced webform shall greatly reduce the number of procedures, time and cost in Starting a Business as measured in Doing Business Report, 2021. It will ultimately improve the work culture in the country. It would be applicable to all new company incorporations. Also, all new companies incorporated through SPICe+ would also be mandatorily required to apply for opening the company’s Bank account through the AGILE-PRO linked web form.