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Transfer of Dividend to IEPF – Procedural Aspects

January 12, 2017     by Nupur Singhal

 

Step-by-Step Procedure:

  • Login on the MCA website and then select ‘Pay Miscellaneous Fee’ under the tab ‘MCA Services’. Following screen will appear:

 IEPF Snapshot 1

 

  • Select ‘Investor Education and Protection Fund’. The following screen will appear:

IEPF Snapshot 2

 

  • Fill in all the details and select ‘Pay Fee’. The following screen will appear:

IEPF Snapshot 3

 

 

  • Now, the payment can be made by 2 methods as follows:
  1. Offline payment through Challan.
  2. Online payment through Credit/Debit Card, Internet Banking or through NEFT.

 

METHOD OF OFFLINE PAYMENT

  1. Select ‘Challan’ from the payment options and the challan for offline paymentwill be generated as follows:

IEPF Snapshot 4

 

  1. Then deposit the amount in the name of Pay and Accounts Office with the authorized bank within 30 days of transfer becoming due.
  2. The amount shall be deposited along with 3 copies of challan to the authorized bank.
  3. The bank shall return 2 copies of challan to the company duly stamped “in token of having received the amount”.
  4. The company shall then file 1 copy of challan to the IEPF Authority and Form IEPF-1 within 30 days of submission of challan.

 

METHOD OF ONLINE PAYMENT

  1. Select Credit/Prepaid Card, Internet Banking or NEFT to make payment through online method.
  2. In case ‘NEFT’ is selected, the challan for NEFT will be generated as follows:

IEPF Snapshot 5

Similarly, the challan will be generated for payment through Internet Banking and Credit/Prepaid Card.

  1. Thereafter file Form IEPF-1 within 30 days of payment and attach to it the challan generated for payment.

NOTE:A person may claim amount or shares transferred to IEPF by filing Form IEPF-5.

 

Treatment of Fund under Section 205C of the Companies Act, 1956

It shall be transferred to the Fund created under Section 125 of the Companies Act, 2013 and investors whose dividend and other amounts were transferred to the previous fund shall also be entitled to get refund in accordance with Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Rules , 2016.

 

RELEVANT LINKS:

For various Timelines of Transfer to IEPF, refer to the Various Timelines Under the Comopanies Act, 2013 for IEPF Compliances.

For information on Transfer of Shares to IEPF, refer to the Transfer of Shares to IEPF – Legality and Practicality.

 

 

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