DICA limits AR filing to five major business structures

The Directorate of Investment and Company Administration (DICA) notified on 30 July 2024 to select not more than five significant forms of business among types of business structures stated in the Annual Returns (AR) form when submitting AR.
The DICA has implemented an e-registration system (Myanmar Companies Online – MyCO) from 1 August 2018 to enable companies and business institutions to register through the online portal anytime.
In addition to facilitating company registration on the online platform, the registrar can monitor companies’ compliance. An automatic warning system for error and non-compliance is also provided. The DICA also notified companies to follow the directives of the ministries concerned.
Under Myanmar Companies Law 2017, all registered companies need to submit AR on the MyCO registry system within two months of incorporation and, after that, at least once every year.
Nine thousand companies were struck off the Register in the first half of 2024 (Jan-June) as they failed to submit annual returns (AR) on the online registry system, MyCO.
The DICA notified any registered company that fails to file its AR on the MyCO that it is to be struck off the Register from the date of the directive, under 430 (F) of Myanmar Companies Law, according to the DICA’s notification.
A total of 6,400 companies also failed to submit the AR in 2023. The registration and re-registration of companies on the MyCO website commenced on 1 August 2018, in keeping with the Myanmar Companies Law 2017.
All registered companies need to submit AR on the MyCO registry system within two months of incorporation and at least once every year (not later than one month after the anniversary of the incorporation), according to Section 97 of the law.
Under Section 266 (A) of the Myanmar Companies Law 2017, public companies must submit annual returns and financial statements (G-5) simultaneously. All overseas corporations must submit ARs in the prescribed format on MyCO within 28 days of the financial year ending under Section 53 (A-1) of the Myanmar Companies Law 2017.
As per DICA’s report, thousands of companies were suspended for failing to submit AR forms before the due date. Newly established companies are required to submit ARs within two months of incorporation or face a fine of K100,000 for filing late returns.
The DICA has notified that any company which fails to submit its AR within 13 months will be notified of its suspension (I-9A). If it fails to submit the AR within 28 days of receiving the notice, the system will show the company’s status as suspended. Companies can restore their status only after shelling out a fine of K50,000 for the AR fee, K100,000 for restoration of the company on the late Register, and K100,000 for late filing of documents, totalling K250,000. If a company fails to restore its status within six months of suspension, the registrar will strike its name off the Register, according to the DICA notice. — NN/EM