Form SH-7 : Alteration in Authorised Capital

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Akash Jhaveri

Board Meeting
Compliances
Last updated on May 6th, 2021

A company should file Form SH-7 with ROC paying the applicable fees within 30 days from the alteration in authorised capital. A company should file SH-7 on MCA Portal in the following circumstances:

Documents for Form SH-7: Alteration in Authorised Capital

Instructions to file Form SH-7

  1. Enter the CIN of Company.

    Enter a valid ‘Corporate Identity Number’ (CIN). Click Pre-fill to automatically populate the name, registered office address and email id of the company. If there is any change in the email ID, enter the new valid email ID.Form No. SH-7 - Enter CIN

  2. Select the purpose of filing the Form.

    Select the purpose of the form from the available options.Form No. SH-7 - Select purpose

  3. Enter details of alteration in the Authorised Capital.

    Enter the details of Board Resolution passed and details of alteration in Capital.Form No. SH-7 - share capital alteration details

  4. Stamp Duty.

    Enter details of stamp duty paid.Form No. SH-7 - stamp duty paid details

  5. Attach Documents.

    Attach all the required supporting documents.Form No. SH-7 - attach documents

  6. Director details and DSC.

    Enter the Director details and attach Digital Signature of Director signing the Form.Form No. SH-7 - Director Details and DSC

FAQs

What is purpose of the Form SH-7?

Whenever a company alters the following things:
1. Its share capital or number of members independently
2. Increases the share capital by conversion of debentures/loans
As an order of the Central Government, then a return has to be filed. The return has to be filed with the registrar within 30 days of such alteration. The return shall also be filed where the company redeems any redeemable preference shares.
Stamp duty can be paid electronically through the MCA portal. Following documents are required to do so:

-Notice of extraordinary general meeting
-A certified true copy of an ordinary resolution
-Altered Memorandum of association
-Altered Articles of association, if any.

What is the consequence of not filing the form SH-7?

According to section 117 (2), if the company fails to file the agreement under subsection (1) then it will attract a penalty. If the agreement is not filed before the expiry of the period specified under Section 403 with an additional fee, the company shall be punishable. The fine in such a case shall not be less than 500000 to 250000 rs. Every officer of the company who is in default, including liquidator of the company, shall be punishable with a fine of 100000 to 500000 rs.

Got Questions? Ask Away!

  1. Hello @Sofiyah_Valiante

    If the Articles of Association does not contain a clause to increase the authorised share capital, one needs to alter the AoA first, file it with RoC in MGT-14 and then file SH-7.

    You can learn more about changing the share capital here:

    Hope this helps!

  2. Hello! @Shristi_Nitin

    To claim the refund, you can file the Refund Form available on MCA Portal. You can read more about refund related queries here - FAQs On Refund Process

  3. Can you tell me how can I raise my company’s authorized share capital?

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