Auditor appointment and ADT-1: first auditor in 30 days, the 5-year term and the 15-day filing

Last updated 21 Oct 2026 · India

Short answer. Under section 139(6) the board appoints a company's first auditor within 30 days of incorporation (if it fails, members appoint within 90 days at an EGM). That auditor holds office till the first AGM, where members appoint an auditor for a 5-year term (section 139(1)). The company informs the Registrar in Form ADT-1 within 15 days of the meeting where the auditor was appointed. An auditor who resigns files ADT-3 within 30 days.

Timeline

When	What	Who
Within 30 days of incorporation	First auditor appointed	Board
If the board fails	Appoint within 90 days at an EGM	Members
First AGM	Auditor for 5 years (till the 6th AGM)	Members
Within 15 days of that AGM	Form ADT-1 on MCA21	Company
Casual vacancy	Board fills within 30 days (resignation case: approve at a general meeting within 3 months)	Board / members
Auditor resigns	ADT-3 within 30 days	Auditor

Before the appointment

Written consent of the auditor
Certificate that the appointment meets section 141 eligibility and limits
Board or members' resolution

Whether ADT-1 must be filed for the first auditor appointed by the board is a point where practice differs; many firms file it anyway. Confirm with your CS.

Common mistakes

No auditor in the first month. The 30-day clock starts at incorporation, alongside INC-20A.
Appointing at the AGM but not filing ADT-1. Late filing attracts additional fees on MCA21.
Re-appointing every year out of habit; the 5-year appointment does not need yearly ratification since 2018.
Ignoring rotation for companies covered by section 139(2) (listed and certain larger companies).

Checklist

First auditor appointed by board within 30 days
Consent and eligibility certificate on file
5-year appointment at first AGM
ADT-1 filed within 15 days
Diary note for the 6th AGM

Frequently asked questions

When must the first auditor be appointed?

Within 30 days of incorporation by the board; if the board fails, the members appoint within 90 days at an extraordinary general meeting (section 139(6)).

What is the time limit for ADT-1?

Within 15 days of the meeting at which the auditor was appointed.

How long is an auditor appointed for?

From the end of one AGM until the end of the sixth AGM, i.e. a 5-year term (section 139(1)).

What form does a resigning auditor file?

Form ADT-3, within 30 days of resignation (section 140(2)).

Official sources

Not tax or legal advice. This is a free explainer of public rules; deadlines and rules can change by notification, so confirm on the official portal or with your CA before you file. Last checked 21 Oct 2026.

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