What is a Digital Signature?

A Digital Signature is a secure key (USB E-Token) that contains the signature in digital format and is issued for the purpose of validating & verifying a particular person or entity.

digital signature certificate

Classes of Digital Signature Certificates

Class2

Certificate

A guideline issued by the Govt. of India’s Controller of Certifying Authority (CAA) on 26.11.2020 stated the discontinuation of the Class 2 DSC from 1st January 2021. However, individuals who have already acquired a Class 2 DSC, can renew it following the regulations.

Class3

Certificate

As per the CAA’s new regulation, only the Class 3 DSC will be available for any sort of paperless signature utilization in India. It includes in the compliances of the Ministry of Corporate Affairs (MCA) & Registrar of Companies (ROC), Tax Filing, Business Incorporation, Business License Registration, e-tendering / e-bidding, Trademark e-filing, DGFT Compliances, etc.

When is Digital Signature required or mandatory?

Company

Company Incorporation

The Digital Signature Certificate is mandatory if you are incorporating a Public Limited Company, Private Limited Company, Limited Liability Partnership or One Person Company

director

Obtaining Director Identification Number (DIN)

Digital Signature Certificate (DSC) is mandatory while you are applying for DIN number

Ministry of Corporate Affairs (Compliances)

If your business's annual turnover exceeds INR 60 Lakhs it is mandatory to verify your returns with Digital Signature Certificate

incometax

Income Tax

For all the individuals/professionals having an annual gross receipt of More than INR 25 Lakhs and for businesses with annual turnover of INR 1 Crore and above it is mandatory to file income tax with Digital Signature Certificate

tax

Goods and Service Tax

If you are a business entity (other than the Sole Proprietorship) it is mandatory to have Digital Signature Certificate for both registrations and verifying GST Returns online.

Import & Export Code

It is mandatory to have DSC while applying for an import & export code

copyright

Intellectual Property Rights

Digital Signature Certificate (DSC) is required for filing of Intellectual Property Rights like Trademark, Patent etc

tendaring

E-Tendering

A Class 3 Digital Signature Certificate (DSC) is essential for companies and organizations that take part or intend to take part in E-Tendering processes on various Government sites

fund

Employee Provident Fund

The registered Employers in India can use the Class 3 Digital Signature Certificate for submitting their Employee PF Transfer Claim Form online.

Who requires a Digital Signature?

Obtaining a Class 3 Digital Signature is mandatory in the following cases:

  • E-filing income tax returns in case of every registered trust, partnership firm, companies, any other entity or individual who is required to get tax audit under the Income Tax Act.
  • Company filings with MCA21( Ministry of Corporate Affairs)

MCA has mandated digital signatures for the following individuals:

  • Directors
  • Auditors
  • Company Secretaries - Whether in practice or in job
  • Bank Officials - for Registration and Satisfaction of Charges
  • Other Authorized Signatories

Documents Required

aadhaar

Aadhaar

Asset 8

PAN

Passport

Passport Size Photograph

Frequently Asked Questions (FAQs)