DIR-3 KYC Compliance & Form DIR-6

Introduction to DIR-3 KYC Compliance

The DIR-3 KYC (Know Your Customer) process is a mandatory annual compliance under the Companies (Appointment and Qualification of Directors) Rules, 2014, as amended. It ensures that the personal details of directors holding a Director Identification Number (DIN) are updated and verified with the Ministry of Corporate Affairs (MCA). This is crucial for maintaining transparency and regulatory oversight in corporate governance, especially given the digital transformation of business operations in India.

Applicability and Scope

Every individual allotted a DIN on or before March 31 of a financial year must file DIR-3 KYC by September 30 of the immediately following financial year. For instance, for the financial year 2024-25, directors with DINs as of March 31, 2025, must comply by September 30, 2025.

This applies regardless of whether the DIN is actively used, as long as its status is “Approved” on the MCA portal. DINs allotted after April 1, 2025, will follow the next compliance cycle, starting from April 1, 2026.

Explanation of the New Rule for Annual DIR-3 KYC Compliance

Under the Companies (Appointment and Qualification of Directors) Third Amendment Rules, 2019, individuals holding a DIN as of March 31 of a financial year must file e-Form DIR-3 KYC under Rule 12A.

If:

• You have no updates to your mobile number or email — use the web-based DIR-3 KYC-WEB form.
• You need to update either detail — file the form-based DIR-3 KYC.

Form submission must include:

• A unique personal email ID and mobile number (ideally Aadhaar-linked).
• OTP verification.
• Digital signature by the director (DSC) and certification by a CA/CS/CMA.

How to Determine the Appropriate KYC Form?

1. Check DIN status at www.mca.gov.in under MCA Services > DIN Services > View DIN Status.
2. Evaluate whether:
   • You’re a first-time filer — use form-based DIR-3 KYC.
   • You’ve already filed and no changes — use DIR-3 KYC-WEB.
   • You need updates — file the form-based DIR-3 KYC again.
   • Your DIN is deactivated — submit with ₹5,000 penalty.

Due Dates for Annual DIR-3 KYC Compliance

As per Rule 12A, filing must be done by September 30 for DINs approved as of March 31 of the same year.

• DINs allotted on or before March 31, 2025 → KYC due by September 30, 2025.
• Filing window opens from April 1, 2025.

Documents and Details Required for DIR-3 KYC

For Indian Residents:

• Self-attested PAN Card (mandatory).
• Self-attested Aadhaar (optional).
• Proof of present address (not older than 2 months, if different from permanent address).
• Proof of permanent address (passport, voter ID, ration card, DL, or Aadhaar).
• Unique email ID and mobile number.
• Self-attested passport (if applicable).

For Foreign Residents:

• Passport copy (self-attested and mandatory).
• Visa and immigration stamp (if residing in India).
• Personal mobile number from residence country.
• Document authentication:
  • Commonwealth: Notarization.
  • Hague: Notarization + Apostille.
  • Others: Authenticated by Diplomatic/Consular Officer.

Who Must Digitally Sign the Form?

• Applicant: Use valid DSC; PAN must match for Indian nationals.
• Professional: CA/CS/CMA with valid membership and DSC.

Key Notes:

• Ensure valid DSCs.
• Foreign nationals — match DSC name with form.
• Mismatch leads to rejection.

CCL Tip: Ensure PAN or passport details match the form exactly before filing.

Fees for DIR-3 KYC Filing

• Before due date: No fee (form-based or web-based).
• Updating mobile/email (first time): No fee.
• Updating again in same year: ₹500.
• After due date: ₹5,000 penalty.

Procedure for Filing DIR-3 KYC

Form-Based:

1. Download form from MCA portal.
2. Enter personal details.
3. Attach documents and photo.
4. Digitally sign with applicant’s and professional’s DSC.
5. Upload via MCA login and note SRN and challan.

Web-Based:

1. Login to MCA portal.
2. Go to DIN Services > DIR-3-KYC-WEB.
3. Enter DIN and verify OTPs.
4. Review, submit, and save challan/SRN.

Multiple Updates:

If mobile/email is updated more than once a year, use form-based DIR-3 KYC again.

Penalties for Non-Compliance

• DIN deactivation → Reactivate by filing DIR-3 KYC with ₹5,000 penalty.
• Non-compliance with Sec. 158 → ₹50,000 + ₹500/day for ongoing default.

Checkpoints for DIR-3 KYC / DIR-3 KYC-WEB

• Read MCA guidelines.
• Use valid DSCs and correct formats.
• PAN and email/mobile must be unique and consistent.
• DIR-3 KYC-WEB only for unchanged details.
• Professional details must match MCA records.

Form DIR-6

Used for updating or correcting personal details (not email/mobile) of a DIN holder.

When to File:

• Name changes (e.g., marriage, court order).
• Father’s name, DOB, nationality.
• Permanent or present address.

Documents Required:

For Indian Residents:

• PAN (mandatory).
• Other identity proof (Aadhaar, voter ID, DL, passport).
• Address proof (utility bills, ration card, passport).
• Proof of change (marriage certificate, birth certificate).
• Passport-size photo.

For Foreign Residents:

• Passport (mandatory).
• Utility bills or residence proof.
• Legal documents for changes.
• Proper notarization or apostille depending on country.

Who Must Sign:

• Applicant: DSC required; PAN or name must match.
• Professional: CA/CS/CMA must certify and digitally sign.

Procedure for Filing:

1. Download from MCA portal.
2. Fill in updated details.
3. Attach documents and photo.
4. Digitally sign with DSCs.
5. Upload and submit on MCA portal.
6. Note SRN and pay any applicable fees.

Penalties:

• Non-updation → Up to ₹50,000 + ₹500/day.
• May result in DIN deactivation and non-compliance under Section 158.

Difference Between Form DIR-6 and DIR-3 KYC

Always use the official MCA portal for filing and updates.