On 05-08-2022, the Ministry of Corporate Affairs (MCA) has notified Companies (Accounts) Fourth Amendment Rules, 2022 in order to amend the Companies (Accounts) Rules, 2014. The amendments have been made in the provision relating to ‘Manner of books of account to be kept in electronic mode’.
In the Companies (Accounts) Rules, 2014, in Rule 3 relating to Manner of books of account to be kept in electronic mode –
- In sub-rule (5), in the proviso, for the words “periodic basis”, the words “daily basis” shall be substituted.
Provided that the back-up of the books of account and other books and papers of the company maintained in electronic mode, including at a place outside India, if any, shall be kept in servers physically located in India on a daily basis.
- In sub-rule (6), the following clause shall be inserted, namely: –
“(e) where the service provider is located outside India, the name and address of the person in control of the books of account and other books and papers in India.”.