DIN stands for Director Identification Number. Even if company is separate legal entity it requires a human to run the company. Henceforth, directors are appointed by majority of members to manage the day-to-day affairs of the company.
As per the provisions of Companies Act 2013, every individual who wants to become a Director in a company is required to obtain a DIN.
What is DIN?
DIN is a unique identification number of directors which is issued by central government to any person who is intending to become a director in any company. Once DIN is allotted it has lifetime validity. The entire details directors are maintained in database via a DIN.
An individual can get only a DIN but can become a director in one or more companies with the help of same DIN.
Where is DIN used?
Whenever a return or any application or information related to a company will be submitted under any law, the signature of a director is required and underneath DIN needs to be mentioned.
How to apply for DIN?
Before applying for DIN, you should refer Section 153 of Companies Act 2013 and Rule 9 of Companies (Appointment and Qualification of Directors) Rules 2014 which provides the specific provisions for allotment of DIN in MCA.
Check out the following procedure to apply for DIN;
Step 1: Go to the Ministry of Corporate Affairs (MCA) website
Step 2: Click on MCA Services
Step 3: Under the E-Filing section, click on ‘Company Forms Download’.
Step 4: Then under DIN Forms Section, download Form DIR-3 and DIR-3 KYC
Step 5: After downloading the form, fill it with all the details and attach a copy of each documents listed below:
- Latest Photograph
- Government Approved Identity proof
- Proof of residence
- Specimen signature duly verified
Step 6: Then sign the required documents using Digital Signature Certificate (DSC)
Step 7: These documents must be verified digitally by the director or Company Secretary or Manager, and CEO/ CFO of the company
Step 8: Submit the form via paying a prescribed fee.
What if the application of DIN is rejected?
If the application for DIN allotment gets rejected due to any wrong or misleading information, then you can rectify the same within a stipulated time period. The Central Government has given 15 days’ time period to fill and submit a rectified form on MCA portal.
If you failed to submit the rectified form then the fees paid by you at the time of application will get forfeited.
How to Make Changes in the DIR-3 Form?
Whenever there are any changes in the details provided in Form-DIR-3, the person must inform the central government by filling the Form-DIR-6.
- Download the Form DIR-6
- Fill the Form DIR 6 with specific changes as per requirement
- Verify it using a Digital Signature Certificate (DSC)
- Get it digitally signed by the practicing CA or CS or CMA
- Submit it as per the given instructions.
What are the compliance requirement after obtaining DIN?
· After receiving Director Identification Number (DIN) within a month the director is required to intimate to all the companies where he is working as a director.
· After receiving the DIN from the director, the respective company requires to intimate to ROC within a period of 15 days.
Note: If the director or company failed to give the intimation then will be liable to pay the penalty upon same.