Companies – annual returns are very important

Fom CIPC:

An annual return is a summary of the most relevant information pertaining to a company and close corporation. By lodging annual returns companies and close corporations ensure that the CIPC is in possession of the latest information. It also confirms that the company and close corporation is still in business or will be doing business in the near future.

All companies (including external companies) and close corporations are required by law to lodge their annual returns with CIPC (previously CIPRO) within a certain period of time every year. An annual return is a statutory return in terms of the Companies and Close Corporations Acts and therefore MUST be complied with. Failure to do so will result in the Commission assuming that the company and/or close corporation is not doing business or is not intending on doing business in the near future. Non-compliance with annual returns may lead to deregistration, which has the effect that the juristic personality is withdrawn and the company or close corporation ceases to exist.

The Act makes a distinction between local companies and external companies’ annual returns and the content of each differs. There will therefore be three annual return lodgment avenues namely for local companies, external companies and close corporations.

Annual returns for local and external companies must be filed within 30 business days from the anniversary date of incorporation. If filing later that the 30 business days an increased fee is payable up until the company is deregistered due to non-compliance.

No manual lodgement of annual returns will be allowed, due to the volumes involved. We can submit it electronically for you!

There is no distinction under the new Companies Act between company types and non-profit companies will therefore also be required to lodge annual returns.

Annual return fees (not inclusive of our service charges).