Form DPT- 3

Learn about the DPT-3 form, filing deadlines, and requirements for reporting deposits.
Form DPT- 3
3 min
24-February-2024

MCA, through its notification on 22nd January 2019, mandated that every company, excluding government companies, to file a one-time return in DPT 3, with an annual filing requirement. A new sub-rule (3) was introduced in Rule 16A of the Companies (Acceptance of Deposits) Rules, 2014. This rule requires a one-time reporting requirement for non-government companies. Companies must disclose any money or loans received between April 1, 2014, and March 31, 2019, that do not qualify as deposits. This information must be submitted using Form DPT-3 within 90 days from March 31, 2019. The deadline was later amended by General Circular No. 05/2019, setting the revised due date as May 31, 2019.

What is DPT-3

DPT-3 is a form introduced by the Ministry of Corporate Affairs. Companies use it to file a return on deposits accepted during a financial year. The purpose of this filing is to notify the Registrar of Companies about all deposits and outstanding receipts for that year. This promotes transparency, protects depositor interests, and allows regulators to monitor companies' financial activities. Accepting deposits from members, directors, or third parties carries risk. Filing form DPT-3 helps authorities track companies' financial health and ensure they comply with the Companies Act.

What is the purpose of DPT 3 Filing?

Filing DPT-3 builds transparency and accountability in a company's financial dealings. By making this information public, it strengthens trust and demonstrates responsible management of deposit-related activities:

  • A primary goal of filing DPT-3 is to notify the Registrar of Companies about deposits received throughout the financial year. This ensures transparency by providing regulators with a complete record of the company's deposit activities.
  • In addition to deposits, Rule 16 mandates that form DPT-3 also record receipts the company doesn't classify as deposits (such as outstanding loans). This comprehensive reporting ensures a complete and accurate picture of the company's annual financial activities.

Who is required to file DPT-3?

All companies except government-owned companies must file this return.

Who is exempt from filing?

The following companies are exempt under Rule 1(3) of the Companies (Acceptance of Deposits) Rules 2014:

  • Banking companies
  • Non-Banking Financial Companies (NBFCs)
  • Housing finance companies registered with the National Housing Bank
  • Any other company exempted under the proviso to subsection (1) of section 73 of the Act.

Transactions not considered deposits under DPT-3

  • Government-sourced funds: Any amount received from a government (domestic or foreign bank) or backed by a government guarantee.
  • Loans from specific institutions: Loans or facilities from Public Financial Institutions, Insurance Companies, or Banks.
  • Inter-company transactions: Amounts received from another company.
  • Securities and advances: Subscription payments for securities or calls in advance.
  • Director-related funds: Amounts received from a director of a private company, or a relative of a director, who held that position when the funds were provided.
  • Employee deposits: Amounts received from an employee, up to their annual salary, as part of an employment agreement (e.g., non-interest-bearing security deposit).
  • Business-related advances: Funds received as an advance payment for providing goods or services, or as a performance security deposit for a related contract.
  • Startup convertible notes: An amount of Rs. 25 lakh or more received by a startup company through a convertible note in a single payment.
  • Specific bonds/ debentures: Funds raised by issuing:
    • Secured bonds or debentures with first charge
    • Non-convertible debentures without a charge on company assets
  • Promoter loans: Unsecured loans provided by promoters.
  • Funds from regulated entities: Amounts received from:
    • Nidhi Companies
    • Chits under the Chit Funds Act, 1982
    • Collective investment schemes, alternative investment funds, or mutual funds registered with SEBI
  • Other Exemptions: Any amount explicitly not classified as a deposit under Rule 2(1)(c).

Documents required for DPT-3 filing

When submitting Form DPT-3, you need to include the following documents:

  • A certificate from an auditor.
  • Proof of the trust deed.
  • Include the instrument that legally creates a charge (if any).
  • Provide specific information about your company's liquid assets.

Conclusion

Understanding the DPT-3 filing requirements is crucial for companies striving to maintain transparency and regulatory compliance. By accurately recording deposits, loans, and exemptions, businesses demonstrate their commitment to responsible financial practices. It is important for relevant companies to consult the official MCA guidelines and, if necessary, seek professional advice to ensure they fully understand and meet the DPT-3 filing obligations.

Disclaimer

As regards deposit taking activity of Bajaj Finance Ltd (BFL), the viewers may refer to the advertisement in the Indian Express (Mumbai Edition) and Loksatta (Pune Edition) furnished in the application form for soliciting public deposits or refer https://www.bajajfinserv.in/fixed-deposit-archives
The company is having a valid Certificate of Registration dated March 5, 1998 issued by the Reserve Bank of India under section 45 IA of the Reserve Bank of India Act, 1934. However, the RBI does not accept any responsibility or guarantee about the present position as to the financial soundness of the company or for the correctness of any of the statements or representations made or opinions expressed by the company and for repayment of deposits/discharge of the liabilities by the company.

For the FD calculator the actual returns may vary slightly if the Fixed Deposit tenure includes a leap year.