Govt replaces annual KYC filing for directors with once-in-three-years requirement

The Ministry of Corporate Affairs has replaced the annual know-your-customer (KYC) requirement for company directors with an abridged filing once every three years under the Companies Act, 2013.

The change follows a review of Rule 12A of the Companies (Appointment and Qualification of Directors) Rules, 2014, based on recommendations of the High Level Committee on Non-Financial Regulatory Reforms and feedback from stakeholders, the Ministry of Corporate Affairs said on Thursday.

The amended rules were notified on December 31, 2025, and will come into effect from March 31, 2026.

The amendment is aimed at providing significant ease of compliance to directors in all companies.

Under the revised norms, the annual KYC filing has been replaced with a simplified KYC intimation to be filed once every three years.

The KYC form can be used for multiple purposes, including KYC compliance, updating mobile number, email address and residential address, as well as re-activation of the Director Identification Number (DIN).

The ministry said digital signature-based verification by the director and certification by a professional will be required only when the KYC form is submitted for updating contact details or residential address.

All directors who have completed their KYC filings till date will be covered under the new provisions, with their next KYC filing due by June 30, 2028.

The directors, who have not submitted their KYC Form so far, may continue to get their DINs re-activated as per existing provisions till March 31, 2026, it added.