Why and how to pay CIPC annual fees

A1_oct_b1.Why do we have to lodge and pay annual returns

The new Companies Act, no 71 of 2008, requires all companies (and close corporations) to submit an annual return to enable the CIPC to have on record the most relevant and recent information pertaining to that company. This annual return consists of a prescribed form that summarises the required information, together with the payment of the applicable annual fee. The annual return must be lodged within 30 business days which follows the anniversary date of the incorporation date of the company.

2.The prescribed forms

The prescribed form CoR30.1 must be completed and can only be submitted online on the CIPC website.

The following compulsory information must be submitted together with the annual return or within 20 business days afterwards:

  • Certified copies of all the directors’ identity documents, AND
  • A copy of the latest audited financial statements, or properly completed form CoR30.2

in the case of a company (or close corporation) that is not required to file audited or independently reviewed annual financial statements.

3.The prescribed fees

The prescribed fees that are payable with the annual returns are:

Companies

R

Annual turnover less than R1 million

100,00

Annual turnover above R1 million but less than R10 million

450,00

Annual turnover above R10 million but less than R25 million

2 000,00

Annual turnover above R25 million

3 000,00

 

Close Corporations

R
Annual turnover less than R50 million 100,00
Annual turnover equal/above R50 million

4 000,00

All persons lodging an annual return must first register as a customer on the CIPC website because a reference is required, irrespective of what payment method is used. The payment of the annual return amount may only be made via an electronic payment, preferably by credit card or alternatively, the amount can be deposited in the CIPC bank account. The reference number of the customer is required on any of these forms of payments to enable the CIPC to identify the company who is paying the annual return fee.

4.The consequences of non-lodging and payment of annual fees

If a company fails to submit the annual return by the due date, the following penalties will be levied by the CIPC:

Companies

R
Annual turnover less than R1 million 50,00

Annual turnover above R1 million but less than R10 million

150,00

Annual turnover above R10 million but less than R25 million

500,00
Annual turnover above R25 million 1 000,00

 

Close Corporations R
Annual turnover less than R50 million 150,00
Annual turnover equal/above R50 million

150,00

The CIPC will send a limited number of reminders to the company that fails to lodge and / or pay the applicable annual return. If the company still fails to submit the annual return, the CIPC will proceed to deregister the company. Even though it is possible, following new rules and practices by the CIPC, it is a lengthy and cumbersome process to restore a company that is classified as deregistered.

This article is a general information sheet and should not be used or relied upon as professional advice. No liability can be accepted for any errors or omissions nor for any loss or damage arising from reliance upon any information herein. Always contact your financial adviser for specific and detailed advice. Errors and omissions excepted. (E&OE).

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