Form 23C is a legacy web form filed under the Companies Act, 1956, used to apply to the Central Government for approval of the appointment of a cost auditor. It is governed by Section 233B(2) of the Companies Act, 1956. Approval must be obtained before the actual appointment of the cost auditor takes effect.

Note: Form 23C relates to the repealed Companies Act, 1956. It remains relevant only for historical/pending compliance under that Act; cost auditor appointment under the current regime is filed using Form CRA-2 under the Companies Act, 2013.

Who Should File Form 23C / When is it Filed

A company required to conduct a cost audit under a Central Government order must apply in Form 23C for approval of the proposed cost auditor’s appointment, before the appointment is actually made.

Important Checkpoints Before Filing

  • Applicant must be registered as a Business User on the MCA portal
  • The company must be registered with MCA and hold a valid CIN/FCRN
  • The signing authority must hold a valid, non-expired, non-revoked DSC, registered against the DIN/PAN/Membership number provided
  • The DIN entered must be an approved DIN, or the PAN/Membership number entered must be valid
  • If ‘Individual’ is selected as the category of cost auditor (field 4a), the membership number entered (field 4d) must be a valid ICMAI membership number, and the cost auditor’s name (field 4c) must correspond to that membership number in the database
  • The person signing the webform must be associated with the company under the selected designation (for Indian companies)
  • The SRN of an earlier Form 23C filed for appointment of a deceased cost auditor (field 8d(ii)) must be approved and associated with the CIN/FCRN, where applicable
  • The cost audit order number entered (field 3b(i)) must be associated with the company
  • SRN of an earlier Form 23C (for a deceased cost auditor) is required if ‘Yes’ is selected in field 8d

Step-by-Step Filing Process

  1. Access the MCA homepage and login with valid credentials (or search for Form 23C via the homepage search bar)
  2. Select MCA Services → Company e-Filing → Companies Act 1956 Forms → Form-23C
  3. Enter CIN/FCRN information
  4. Fill up the application, including cost audit order details and proposed cost auditor particulars
  5. Save the webform as a draft (optional)
  6. Submit the webform and note the SRN
  7. Affix the DSC
  8. Upload the DSC-affixed PDF on MCA portal
  9. Pay Fees
  10. Application is routed to the Cost Audit Cell for approval, or auto-approved after 30 days of inaction

Signing Requirements

  • Digitally signed by an authorised signatory associated with the company, with a valid, non-expired, non-revoked DSC registered against their DIN/PAN/Membership number

Fee Structure

Normal Fee — By Authorised Share Capital

Authorised Capital (INR)Other than OPC & Small Company (INR)OPC & Small Company (INR)
Up to 25,00,0002,0001,000
Above 25,00,000 up to 50,00,0005,0002,500
Above 50,00,000 up to 5,00,00,00010,00010,000
Above 5,00,00,000 up to 10,00,00,00015,00015,000
Above 10,00,00,00020,00020,000

Company limited by guarantee, not having share capital: ₹2,000 (Other than OPC & Small Company); Not Applicable for OPC & Small Company

Section 8 Company: ₹2,000 (Other than OPC & Small Company); Not Applicable for OPC & Small Company

Foreign company: ₹5,000 (Other than OPC & Small Company); Not Applicable for OPC & Small Company

No additional/delay fee logic is prescribed for Form 23C.

Processing Mode

Form 23C is processed in Non-STP mode. If no action is taken by the Cost Audit Cell within 30 days, the application is auto-approved by the system and taken on record electronically without further processing. There is no provision for resubmission.

  • Link to access Form 23C
  • FAQs related to e-filing: MCA document repository (link not independently confirmable — see MCA e-filing FAQ section)
  • Payment and Fee related services: available via the MCA portal’s payment services section

Frequently Asked Questions (FAQs)

Q1. Who files Form 23C? A company that is required to have a cost audit conducted under a Central Government order, applying for approval of its proposed cost auditor.

Q2. Must approval be obtained before appointing the cost auditor? Yes — Central Government approval via Form 23C must be obtained before the actual appointment.

Q3. What happens if the Cost Audit Cell does not act within 30 days? The application is auto-approved and processed in STP mode.

Q4. Is there a delay fee for late filing of Form 23C? No additional/delay fee logic is prescribed for this form.

Q5. What is required when appointing a replacement for a deceased cost auditor? The SRN of the earlier Form 23C filed for the deceased cost auditor’s appointment must be quoted and must be approved and associated with the CIN/FCRN.

Disclaimer

This article is based on the official Instruction Kit published by the Ministry of Corporate Affairs (MCA), Government of India. While every effort has been made to ensure accuracy, the content is intended for general guidance purposes only. MCA forms, rules, and fee structures are subject to change through amendments to the Companies Act, 2013 or notifications issued thereunder.

In case of any inconsistency or doubt, readers are advised to refer to the official MCA helpkit and resources available on MCA website.