According to section 560 of the companies act, dormant Company is an inactive Company which has not been carrying any business or has not made any significant accounting transactions in the last 2 financial year and has not filed annual return for the last 2 years.
The Company has to make an application to the registrar in form MSC 1 or Registrar may sue mote direct the a Company for the status of dormant Company.
procedure for seeking status for active Company
an application for obtaining the status of active Company shall be made in Form MSC 4along with the fees as provided
The Registrar shall initiate the process to strike off the name of the Company if the Company remains dormant for the consequtive period of 5 years.
The registrar after considering the application , issue the certificate in form MSC 5 allowing the status of an active Company to the applicant