Official Gazette Notification Text
Official TranscriptGOVERNMENT OF INDIA MINISTRY OF CORPORATE AFFAIRS LOK SABHA UNSTARRED QUESTION NO. 2422 ANSWERED ON MONDAY, AUGUST 03, 2026 STATUS OF SMALL COMPANIES QUESTION 2422. Shri Vishweshwar Hegde Kageri: Shri Ramesh Awasthi: Shri Arvind Dharmapuri: Shri Anurag Singh Thakur: Shri Khagen Murmu: Shri Kanwar Singh Tanwar: Shri Bhartruhari Mahtab: Dr. Nishikant Dube: Will the Minister of Corporate Affairs be...
GOVERNMENT OF INDIA MINISTRY OF CORPORATE AFFAIRS LOK SABHA UNSTARRED QUESTION NO. 2422 ANSWERED ON MONDAY, AUGUST 03, 2026 STATUS OF SMALL COMPANIES QUESTION
2422. Shri Vishweshwar Hegde Kageri:
Shri Ramesh Awasthi:
Shri Arvind Dharmapuri:
Shri Anurag Singh Thakur:
Shri Khagen Murmu:
Shri Kanwar Singh Tanwar:
Shri Bhartruhari Mahtab:
Dr. Nishikant Dube:
Will the Minister of Corporate Affairs be pleased to state:
(a) the number of small companies, startups and Limited Liability Partnership (LLP) registered during the last five years, State/UT-wise and district-wise including Telangana;
(b) the details of the changes made in the thresholds for paid-up share capital and turnover since 2014, for classification of “small companies” under the Companies Act, 2013 including the expected benefit from such changes;
(c) whether such changes have reduced compliance burden for small businesses in states including Telangana, if so, the details thereof; and
(d) the steps taken to expand simplified filings and MCA21-based compliance support for businesses in Tier-II districts? ANSWER THE MINISTER OF STATE OF THE MINISTRY OF CORPORATE AFFAIRS AND MINISTRY OF ROAD TRANSPORT AND HIGHWAYS.
(SHRI HARSH MALHOTRA) ****
(a). The number of small companies and LLPs registered in India in the last five financial years, State/UT-wise is at Annexure-1 & Annexure-2 respectively. District wise Information pertaining to small companies and LLPs in Telangana state for the last five Financial Years is at Annexure-3 & Annexure-4 respectively. As per information provided by DPIIT, the number of startups registered during the last 5 years, State/UT wise is at Annexure 5 and the district wise number of start-ups registered for Telangana is at Annexure 6.
1(b)&(c). The changes made in paid-up share capital and turnover thresholds in the definition of small companies since 2014 are as follows:
Date of change Paid-up Capital (in Rs) Turnover (in Rs) 01-04-2014 50,00,000 2,00,00,000 01-04-2021 2,00,00,000 20,00,00,000 15-09-2022 4,00,00,000 40,00,00,000 01-12-2025 10,00,00,000 1,00,00,00,000 The changes made in the paid-up capital and turnover thresholds have helped more number of companies to fall under the category of “small companies” thereby benefiting from reduced compliance related disclosures.
MCA has taken several measures to reduce the compliance burden for small companies and small LLPs including those operating in Telangana. The details are at Annexure-7.
(d). Ministry has already simplified filings for small companies, which is applicable in the entire country including those in Tier-II districts. Further, filings are done on the Ministry’s electronic portal (MCA 21) and detailed guidance material, including step-by- step e-form filing manuals, video guides, FAQs, and system prompts in the web-based forms are available to facilitate all companies. In addition, a central helpdesk to address grievances related to the MCA21 portal (toll-free number, e-mail and live-chat facility) is in place to handhold stakeholders across the country.
******* 2Annexure-1 Annexure-1 to the Lok Sabha Unstarred Q. No. 2422 part (a) to be answered on 03.08. 2026 Small companies registered in India in the last 5 Financial Years Sl.No Name of State/UT 2021-22 2022-23 2023-24 2024-25 2025-26 Total
1. Andaman and Nicobar 63 57 80 38 69 307 Islands
2. Andhra Pradesh 3,011 2,698 3,407 3,972 6,086 19,174
3. Arunachal Pradesh 67 71 173 98 116 525
4. Assam 1,276 1,252 1,545 1,372 1,922 7,367
5. Bihar 4,885 4,358 5,495 5,371 7,993 28,102
6. Chandigarh 556 488 530 487 622 2,683
7. Chattisgarh 1,246 1,109 1,378 1,378 1,976 7,087
8. Dadra & Nagar Haveli 53 46 41 46 70 256 Daman and Diu
9. Delhi 13,270 13,040 14,436 14,121 18,925 73,792
10. Goa 393 511 570 641 718 2,833
11. Gujarat 7,172 7,636 8,712 9,201 13,424 46,145
12. Haryana 6,660 6,505 8,153 8,369 11,892 41,579
13. Himachal Pradesh 646 559 658 684 860 3,407
14. Jammu & Kashmir 923 886 1,301 1,240 1,558 5,908
15. Jharkhand 1,803 1,561 1,839 1,766 2,642 9,611
16. Karnataka 11,341 10,350 13,067 12,210 16,824 63,792
17. Kerala 5,622 5,161 5,791 5,971 8,631 31,176
18. Ladakh 22 10 32
19. Lakshadweep 3 3 8 4 11 29
20. Madhya Pradesh 3,910 4,218 4,840 4,733 6,714 24,415
21. Maharashtra 25,079 24,354 27,264 27,093 37,100 1,40,890
22. Manipur 203 198 191 207 260 1,059
23. Meghalaya 55 66 74 62 92 349
24. Mizoram 66 45 60 68 50 289
25. Nagaland 60 60 128 85 75 408
26. Odisha 2,968 2,572 2,963 3,004 4,227 15,734
27. Puducherry 112 168 177 193 248 898
28. Punjab 2,000 2,117 2,685 2,529 3,369 12,700
29. Rajasthan 5,092 5,093 5,850 6,582 10,456 33,073
30. Tamil Nadu 9,455 9,361 11,282 11,682 16,136 57,916
31. Telangana 9,547 9,184 11,226 11,399 16,523 57,879
32. Tripura 152 92 150 134 180 708
33. Uttar Pradesh 14,633 15,282 18,183 17,644 25,297 91,039
34. Uttarakhand 1,233 1,320 1,447 1,581 2,011 7,592
35. West Bengal 6,997 6,778 7,409 7,196 9,446 37,826 Total 1,40,574 1,37,209 1,61,113 1,61,161 2,26,523 8,26,580
Note: The figures of small companies are as of 27.07.2026.
3Annexure-2 Annexure-2 to the Lok Sabha Unstarred Q. No. 2422 part (a) to be answered on 03.08. 2026 Limited Liability Partnership (LLPs) in India in the last 5 Financial Year Sl.No Name of State/UT 2021-22 2022-23 2023-24 2024-25 2025-26 Total
1. Andaman and Nicobar 8 3 7 8 11 37 Islands
2. Andhra Pradesh 575 448 747 993 1,557 4,320
3. Arunachal Pradesh 7 2 11 22 37 79
4. Assam 326 262 418 467 773 2,246
5. Bihar 378 259 485 573 861 2,556
6. Chandigarh 142 116 155 217 269 899
7. Chattisgarh 188 133 272 344 555 1,492
8. Dadra & Nagar Haveli 22 5 23 42 49 141 Daman and Diu
9. Delhi 4,080 3,255 5,182 5,730 7,425 25,672
10. Goa 252 237 440 428 502 1,859
11. Gujarat 4,109 4,125 5,909 6,858 9,616 30,617
12. Haryana 1,496 1,411 2,497 3,146 4,480 13,030
13. Himachal Pradesh 93 79 121 149 202 644
14. Jammu & Kashmir 64 63 101 141 216 585
15. Jharkhand 225 160 323 377 533 1,618
16. Karnataka 3,070 2,634 4,742 5,633 7,916 23,995
17. Kerala 2,685 2,064 3,550 4,415 6,622 19,336
18. Ladakh 3 3
19. Lakshadweep 2 2 7 6 7 24
20. Madhya Pradesh 1,001 790 1,414 1,700 2,510 7,415
21. Maharashtra 12,111 10,326 15,813 17,544 23,744 79,538
22. Manipur 22 13 11 19 39 104
23. Meghalaya 8 14 20 37 42 121
24. Mizoram 3 1 1 4 8 17
25. Nagaland 2 2 6 8 13 31
26. Odisha 281 208 380 434 601 1,904
27. Puducherry 21 26 38 43 63 191
28. Punjab 555 426 755 1,000 1,431 4,167
29. Rajasthan 1,318 1,120 1,846 2,162 3,129 9,575
30. Sikkim 9 8 6 12 9 44
31. Tamil Nadu 1,827 1,486 2,301 2,830 3,995 12,439
32. Telangana 2,596 2,038 3,635 4,210 5,672 18,151
33. Tripura 18 19 17 26 34 114
34. Uttar Pradesh 2,688 2,271 4,259 4,963 7,150 21,331
35. Uttarakhand 381 306 443 585 809 2,524
36. West Bengal 2,488 1,937 3,055 3,847 5,140 16,467 Total 43,054 36,249 58,990 68,973 96,020 3,03,286
Note: The figures of LLPs registered are as of 27.07.2026 4Annexure-3 Annexure-3 to the Lok Sabha Unstarred Q. No. 2422 part (a) to be answered on 03.08. 2026 District wise small companies registered in Telangana last five financial years Sl.No District* 2021-22 2022-23 2023-24 2024-25 2025-26 Total
1. Hyderabad 6,351 6,141 7,060 7,307 10,400 37,259
2. K.V.Rangareddy 2,172 2,100 2,905 2,741 4,022 13,940
3. Medak 258 227 385 419 690 1,979
4. Warangal 220 180 191 228 373 1,192
5. Karim Nagar 117 136 157 178 250 838
6. Nalgonda 97 80 139 125 210 651
7. Khammam 93 84 112 134 184 607
8. Mahabub Nagar 92 92 113 112 156 565
9. Nizamabad 71 74 64 72 109 390
10. Adilabad 75 61 79 67 101 383
11. Siddipet 4 6 5 12 27
12. Gadwal 1 7 3 11 22
13. Peddapalli 1 3 3 7
14. Wanaparthy 1 3 3 7
15. Vikarabad 1 3 1 1 6
16. Medchal Malkajgiri 1 2 1 4
17. Sanagareddy 1 1
18. Suryapet 1 1 Total Grand Total 9,547 9,184 11,226 11,399 16,523 57,879 *The district bifurcation details of 18 districts of Telangana are available in MCA data base for companies in Telangana 5Annexure-4 Annexure-4 to the Lok Sabha Unstarred Q. No. 2422 part (a) to be answered on 03.08. 2026 District wise Limited Liability Partnership (LLPs) registered in Telangana in the last five financial years Sl.No District# 2021-22 2022-23 2023-24 2024-25 2025-26 Total
1. Hyderabad 1,900 1,605 2,819 2,843 3,739 12,906
2. K.V.Rangareddy 541 294 574 1,042 1,431 3,882
3. Medak 45 49 96 138 201 529
4. Warangal 25 24 38 41 71 199
5. Khammam 17 21 30 32 59 159
6. Karim Nagar 20 9 20 30 34 113
7. Nalgonda 12 11 25 18 32 98
8. Nizamabad 15 12 16 22 33 98
9. Mahabub Nagar 6 7 10 28 44 95
10. Adilabad 15 4 7 11 25 62
11. Siddipet 4 2 6
12. Wanaparthy 1 1 1 3
13. Vikarabad 1 1
14. Grand Total 2,596 2,038 3,635 4,210 5,672 18,151 #The district bifurcation details of 13 districts of Telangana are available in MCA data base for LLPs in Telangana 6Annexure-5 Annexure-5 to the Lok Sabha Unstarred Q. No. 2422 part (a) to be answered on 03.08. 2026 Start-ups registered State/UT wise in the last 5 years) Sl No. State/UT 2021 2022 2023 2024 2025
1. Andaman and Nicobar 13 9 13 20 18 Islands
2. Andhra Pradesh 299 381 585 606 1,333
3. Arunachal Pradesh 5 9 17 13 37
4.
Assam 190 285 361 347 528
5. Bihar 390 526 813 841 1,376
6.
Chandigarh 69 81 126 102 128
7. Chhattisgarh 168 237 362 460 508
8. Dadra and Nagar Haveli and 12 12 11 16 25 Daman and Diu
9. Delhi 2,215 2,581 3,159 2,853 3,837
10. Goa 81 107 98 125 186
11. Gujarat 1,729 2,283 3,295 3,445 4,637
12. Haryana 1,070 1,335 1,743 1,730 2,519
13. Himachal Pradesh 56 120 144 145 199
14. Jammu and Kashmir 131 170 246 273 411
15. Jharkhand 191 239 337 331 467
16. Karnataka 2,157 2,568 3,034 3,174 4,541
17. Kerala 923 1,078 1,296 1,155 1,729
18. Ladakh 1 5 5 5 7
19. Lakshadweep - - 2 - -
20. Madhya Pradesh 562 898 1,267 1,194 1,724
21. Maharashtra 3,736 4,811 5,816 5,736 8,067
22. Manipur 37 31 26 55 72
23. Meghalaya 9 10 18 17 27
24. Mizoram 2 6 13 16 21
25. Nagaland 6 7 22 35 30
26. Odisha 397 451 620 548 819
27. Puducherry 17 29 43 27 59
28. Punjab 244 294 443 406 566
29. Rajasthan 622 992 1,445 1,246 1,925
30. Sikkim 4 2 2 - 6
31. Tamil Nadu 1,107 1,812 2,816 2,656 3,201
32. Telangana 993 1,381 1,760 1,809 3,192
33. Tripura 12 27 23 45 50
34. Uttar Pradesh 1,981 2,581 3,435 3,486 5,141
35. Uttarakhand 162 236 271 270 440
36. West Bengal 691 1,002 1,175 1,107 1,603 Total 20,282 26,596 34,842 34,294 49,429 7Annexure-6 Annexure-6 to the Lok Sabha Unstarred Q. No. 2422 part (a) to be answered on 03.08. 2026 Start-Ups registered in Telangana district wise for the last 5 years with reference to part (a) Sl No District 2021 2022 2023 2024 2025
1. Adilabad 16 25 35 6 14
2. Bhadradri Kothagudem 1 1 3 6 4
3. Hanumakonda 2 4 9 1 8
4. Hyderabad 543 813 995 1041 1749
5. Jagitial 1 3 2 2 5
6. Jangoan - 1 - - -
7. Jayashankar Bhupalapally 1 - - - 1
8. Jogulamba Gadwal - - - 2 6
9. Kamareddy - - - 3 -
10. Karimnagar 3 20 11 18 29
11. Khammam 9 10 14 11 27
12. Kumuram Bheem Asifabad - 2 1 - 1
13. Mahabubabad 1 4 - - 3
14. Mahabubnagar 1 6 9 8 22
15. Mancherial 3 1 - - 2
16. Medak 7 17 33 40 85
17. Medchal Malkajgiri 102 121 179 133 246
18. Mulugu - - - 1 1
19. Nagarkurnool 1 1 - 1 2
20. Nalgonda 4 10 9 15 25
21. Narayanpet - 1 1 - -
22. Nirmal - 1 1 - 2
23. Nizamabad 7 7 8 11 19
24. Peddapalli 2 1 2 4 3
25. Rajanna Sircilla 1 - 1 2 -
26. Ranga Reddy 245 277 402 455 816
27. Sangareddy 18 27 21 15 37
28. Siddipet 3 2 1 4 6
29. Suryapet 4 4 - 4 3
30. Vikarabad - - - 1 3
31. Wanaparthy 2 2 2 - 2
32. Warangal 16 19 17 24 68
33. Yadadri Bhuvanagiri - 1 4 1 3 Total 993 1381 1760 1809 3192 8Annexure-7 Annexure-7 to the Lok Sabha Unstarred Q. No. 2422 to part(b)&(c) to be answered on 03.08. 2026 Salient measures for ease of compliance for small companies Sr. Section Subject Provisions in the Company Act, 2013 to support Small No. Companies
1. 2 (40) proviso Financial Statement Requirement of cash flow statement to be part of financial statement made optional.
2. 92(1) Proviso Annual return (i) Shall be signed by a company secretary or where is there is no company secretary by a Director of the company.
(ii) Abridged annual return prescribed for small companies.
3. 92(1)(g) Disclosure in annual Disclosure as to aggregate of amount of remuneration return about drawn by directors adequate for small companies. remuneration of directors
4. 134(3A) Board’s Report Abridged Board Report prescribed for small companies.
5. 139(2) read with Rotation of auditors Rotation of auditors in small companies is not
rule 5 of mandatory.
Companies (Audit and Auditors) rules, 2014
6. 141(3)(g) Restriction on auditor- Restriction w.r.t. maximum auditor-ships not ships applicable to auditors of small companies.
7. 143(3)(i) Disclosure in Auditors These disclosures are not applicable for small report on internal companies. financial controls
8. 173 (5) Meetings of Under Companies Act, 2013, Board of Directors of a company are required to meet at least once in 120 Board. days, 4 board meetings in a year. However, in case of a small company, one board meeting in each half of a calendar year with a gap between two meetings of not less than 90 days is sufficient to comply with the requirement of section 173(5) of the Companies Act.
9. 446B Lesser penalties Small companies are entitled for lesser penalties as per section 446B.
10. Rule 8(12)(a) Companies Small companies are exempted from requirements (Registration offices w.r.t. pre-certification of forms by professionals. and Fees) amendment Rules, 2014
911. Annexure- Companies Lesser fees allowed for small companies. (Registration offices Table of fees and Fees) amendment Rules, 2014
12. Clause 1(2)(iv) Companies The Companies (Auditor’s Report) Order (CARO) 2020 is not applicable on small companies (Auditor's Report)
Order, 2020 (CARO
2020)
13. 233 Merger through Mergers between two or more small companies or approval of RD between one or more start-up company with one or more small company allowed through approval of RD.
14. 2(85) Incorporation of small Zero fee is charged for incorporation of all companies companies with authorized capital up to Rs. 15 lakh or with up to 20 members where no share capital is applicable.
Key Reporting and Disclosure Relaxations for small LLPs
(i). Small LLPs are entitled to reduced filing fees and additional filing fees for specified e-forms as provided in Rule 5 of the LLP Rules, 2009.
(ii). Second proviso to Section 76A (3)(a) of the Limited Liability Partnership Act, 2008 provides that where a default is committed by a small LLP, the monetary penalty will be one-half of the penalty specified for the relevant default, subject to a maximum of Rs. 1 lakh for the LLP and Rs. 50,000 for every partner, designated partner or other person.
10