Corporate Identification Number (All you need to know)

If you’re considering starting a business, it’s important that you take the right actions. Getting a Corporate Identification Number (CIN) is one such step. These numbers are significant, so customers ought to be aware of them.

The corporate identification number, as its name implies, essentially serves as the business’s distinctive identity and aids in differentiating it from rivals.

The CIN number has a specific significance, is simple to translate, and aids in locating the company’s essential details. The business must also present its CIN number in a number of places, such as when submitting legal paperwork.

A CIN’s relationship with your business is quite important. Having said that, let’s examine how it fits into the wider picture of business. Through this blog, we’ll examine the CIN number’s structure and learn about its importance.

What is Corporate Identification Number (CIN)? 

A company’s corporate identification number (CIN), which consists of 21 alphanumeric digits, is given to it when it is registered with the ROC, which is located in several states across India, in accordance with the MCA.

This number appears on every Ministry of Corporate Affairs (MCA) record, specifically in reports and audits submitted by corporations. This ultimately makes it highly important.

Every company registered in India is given a CIN, which includes:

• Private Limited Company
• Public Limited Company
• Section 8 Companies
• One Person Company
• Producer Company etc.

But, to Limited Liability Partnerships (LLP) registered in India, a CIN is not provided. 

What Is the Composition of CIN Number?

With the help of an example, the six components that make up a CIN number are described below.

L   56894  RJ   1996   PTC   897431

L: Listing Status: The company’s listing status is shown in the first section. If the firm is unlisted, the status will be “U,” and if it is listed, the alphabet will be “L.”

56894: Industry Code: The industry code is represented by the following section of 5 digits. Every company operating in a certain industry is given a special industry code by ROC.

RJ : State Code: The business’s registered office is in a certain state, and the next two digits indicate the State Code where the firm was registered with the Registrar of Companies.

1996: Incorporation Year: The year of the company’s establishment, which adds four extra digits to the CIN number, appears after the state code.

PTC: Ownership: The following three digits indicate whether the business is a private or public limited corporation, a government of India organization, a not-for-profit, a one-person business, or another. The abbreviations used in this part of CIN number are as follows:

• FLC: Financial Lease Company as Public Limited
• FTC: Subsidiary of a Foreign Company as Private Limited Company
• GAP: General Association Public
• GAT: General Association Private
• GOI: Companies owned by the Government of India
• NPL: Not-for-Profit License Company (Section 8 Company)
• OPC: One Person Company
• PLC: Public Limited Company
• PTC: Private Limited Company
• SGC: Companies owned by State Government
• ULL: Public Limited Company with Unlimited Liability
• ULT: Private Company with Unlimited Liability

897431: Registration Number: All of these components come together to create a 21-digit unique CIN number, with the final 6 digits representing the company’s RoC code.

What Is the Mandatory Use of CIN

A registered company’s CIN number is mandatory, as it is used to keep track of all of its operations, beginning with the day it was authorized to operate with the ROC. This special number or code is mostly utilized when audits are conducted and reports or other forms are submitted to MCA.

 The CIN must appear on all official firm publications, invoices, the e-form on the MCA website, letterheads, bills, and notices. It is used to monitor and identify businesses that have previously registered with the ROC or MCA for any information-related reasons.

 Penalty for Not Mentioning CIN

If these requirements aren’t met, the defaulting firm and each of its officers will be subject to a penalty of INR 1,000 per day as long as the default continues. The most severe punishment for this default, however, is only INR 1,00,000.

How to Make Changes in CIN? 

Every registered business is given a CIN for identification purposes, which can be modified in the following circumstances:

• Any change to a firm’s listed status 
• Any change to the city or state where the registered office is located 
• Any change to the sector or industry that a company belongs to

How to Find CIN? 

By using the steps listed below, you may locate a company’s CIN on the MCA website:

• Visit the MCA webpage.
• On the homepage, select the ‘MCA Services’ tab. 
• Select the ‘Find CIN’ option from the drop-down menu under the ‘Company Services’ option. 
• ‘Search Based on Existing Company / LLP Name’ should be chosen.
• Enter the business name in the “Existing Company” field, complete the captcha, and click the “Search” button.
• The CIN of the firm will be shown.

FAQs: Corporate Identification Number

Is CIN and PAN same? 

No, they are not the same. Every business engaged in a certain activity in a particular state is given a CIN, which is a 21-digit alpha-numeric number, by the ROC. 

While, the Income Tax Department issues the ten-digit alphanumeric Permanent Account Number (PAN), which is a unique identification.

Is CIN and GST same? 

No, a CIN is a unique number given to registered businesses by the ROC at the time the company registration certificate is issued. On the contrary, the identification number given to organizations and enterprises that have registered under the GST statute is called a GSTIN. 

As a result, both are unique and serve unique purposes.

Who issues CIN?

Ministry Of Corporate Affairs – MCA Services issues CIN.

Conclusion

A corporate identification number (CIN), in its simplest form, is a special code that includes a company’s identification number as well as other details about its operations. However, if you want to create a firm, you’ll need to obtain a CIN number, a TIN number, and a GST license, among other things. 

Therefore, if you are about to start your own business and want to facilitate smooth transactions, you must seek expert guidance to have a thorough understanding of CIN. With Instafiling Experts‘ experience in business incorporation, you may get the best legal advice available.