Home/ ROC Compliance/ Company e-Filing/ SH-7 – Alteration of Share Capital

Notify MCA of Your Company's Share Capital Alteration

Form SH-7 is the prescribed MCA form used to notify the Registrar of Companies about specified alterations relating to a company's share capital.

Whenever a company alters its share capital in a manner covered under the Companies Act, 2013 — an increase in authorised capital, consolidation, sub-division, or redemption of redeemable preference shares — the required notice must be filed with the Registrar in Form SH-7 within the prescribed statutory period.

Applicability Check
Authorised Capital
Consolidation / Sub-Division
Preference Share Redemption
MGT-14 Coordination
MCA Filing
Section 64(1), Companies Act Rule 15 – Share Capital & Debentures Rules 100% Confidential

Need Help Filing SH-7?

Share a few details — our team will check the applicable alteration and prepare your SH-7 filing.

Your information is handled confidentially.

Overview

What is SH-7?

SH-7 is the MCA webform for giving notice to the Registrar of an alteration of share capital. It is filed under Section 64(1) of the Companies Act, 2013 read with Rule 15 of the Companies (Share Capital and Debentures) Rules, 2014.

Increase in Authorised Capital

Notice when a company increases its authorised share capital or capital increases under specified Government orders.

Consolidation & Sub-Division

Where permitted and approved, shares may be consolidated into a larger nominal value or sub-divided into a smaller one.

Cancellation & Redemption

Section 61 covers cancellation of unsubscribed shares; Section 64 also covers redemption of redeemable preference shares.

SH-7 Alteration of Share Capital filing
SH-7Share Capital Alteration

What Our SH-7 Service Includes

From capital-alteration planning to MCA filing and acknowledgement.

01

Capital Alteration Identification

We determine whether the change is an increase, consolidation, sub-division or redemption.

02

Articles of Association Check

The AOA is reviewed to confirm the proposed alteration is authorised.

03

Corporate Approval & MOA Alteration

Board/members' approval and alteration of the capital clause of the MOA are coordinated.

SH-7

Share Capital Alteration

04

MGT-14 Coordination

Where applicable, the related resolution filing and SRN validation are handled.

05

SH-7 Preparation

Capital details and supporting information are compiled into the prescribed form.

06

MCA Filing & SRN

Form is submitted and the filing acknowledgement is retained for your records.

Applicability

When is SH-7 Required?

SH-7 applies when a company undertakes a capital alteration covered under the applicable provisions.

01

Increase in Authorised Capital

A company increases its authorised share capital to allow issuing additional shares.

02

Consolidation of Shares

Existing shares are consolidated into shares of a larger nominal amount, where permitted.

03

Sub-Division / Split of Shares

Shares are sub-divided into shares of a smaller nominal amount, where permitted.

04

Conversion of Shares into Stock

Fully paid shares may be converted into stock, or reconverted, where legally permitted.

05

Cancellation of Shares

Section 61 covers cancellation of shares not taken or agreed to be taken by any person.

06

Redemption of Preference Shares

Section 64 also covers filing where redeemable preference shares are redeemed.

Timeline

SH-7 Filing Due Date

Under Section 64(1), the notice of alteration is generally required to be filed within 30 days from the applicable alteration, increase or redemption, along with the altered Memorandum where required.

30 days from the date of alteration/increase/redemption Altered Memorandum required where applicable MGT-14 SRN must be valid and approved, where applicable Late filing attracts additional fees

Avoid These Errors

Common SH-7 Filing Mistakes

Incorrect calculation of the revised authorised capital
Confusing authorised capital with paid-up capital
Incorrect share structure not reflecting the actual alteration
Missing alteration of the MOA capital clause
Missing or incorrect MGT-14 SRN and resolution purpose
Confusing SH-7 with PAS-3 (return of allotment)

Filing Journey

How the SH-7 Process Works

From capital-structure review to a filed SH-7 with MCA acknowledgement.

Identify Capital Change

Determine whether it's an increase, consolidation, sub-division or redemption.

Check Articles & Approvals

AOA is checked and the required Board/members' approval is completed.

Alter MOA & File MGT-14

Capital clause is altered and the resolution is filed where applicable.

Prepare SH-7

Capital details and MGT-14 SRN are entered into the prescribed form.

Attach Documents & Sign

Supporting documents are attached and the form is digitally signed.

MCA Filing & Acknowledgement

Form is submitted and the SRN is retained for records.

Our Process

How We Help You File SH-7

01

Identify Alteration

We confirm the exact nature of the capital alteration.

02

Approvals & MOA Alteration

Corporate approvals are completed and MOA is altered.

03

Prepare SH-7

SH-7 is prepared with the applicable MGT-14 SRN and documents.

04

MCA Filing

Form is submitted and the SRN is shared with you.

Documents & Information

Documents Required for SH-7

Certified Copy of Resolution
Altered Memorandum of Association
MGT-14 Acknowledgement / SRN
Board Resolution / Supporting Records
Existing & Revised Capital Details
Other Alteration-Specific Documents

For Nidhi companies, the applicable NDH-4 approval status must also be considered — SH-7 may not be allowed to be filed if NDH-4 is required and not yet approved.

Clear Distinction

SH-7 vs PAS-3

ParticularSH-7PAS-3
PurposeAlteration of share capitalReturn of allotment
TriggersIncrease, consolidation, sub-division, redemptionActual allotment of new shares
Legal BasisSection 64(1) + Rule 15Section 39 / 42 as applicable
MOA ImpactMay require MOA alterationNo MOA alteration by itself
Filing Timeline30 days from alteration/increase/redemptionAs prescribed for allotment filings
Related FilingMGT-14, where applicableIndependent of SH-7

Increasing authorised capital does not itself constitute an allotment of shares — a subsequent share issue is a separate corporate event with its own filing requirements.

FAQs

Frequently Asked Questions

SH-7 is the MCA form used to notify the Registrar of specified alterations of share capital, increases covered by Section 64 and redemption of redeemable preference shares.

SH-7 is filed under Section 64(1) of the Companies Act, 2013 read with Rule 15 of the Companies (Share Capital and Debentures) Rules, 2014.

The prescribed notice is generally filed with the Registrar within 30 days of the applicable alteration, increase or redemption.

No. SH-7 can report an alteration in authorised share capital, but increasing authorised capital does not automatically increase paid-up capital.

Where the applicable resolution is required to be filed, MGT-14 should be completed and the relevant approved SRN is used in SH-7, with the resolution purpose matching the authorised-capital alteration.

No. SH-7 relates to alteration of share capital, while PAS-3 relates to the return of allotment of shares.

Nidhi companies are subject to additional MCA validation concerning NDH-4 approval status before SH-7 can be filed.

Alter Your Company's Share Capital

Whether it's an increase in authorised capital, share consolidation, sub-division or redemption of preference shares, get professional assistance for SH-7 under Section 64.

Capital Structure Review → AOA Check → Corporate Approval → MOA Alteration → MGT-14 (if applicable) → SH-7 Preparation → MCA Filing → MCA Record Update

Start SH-7 Filing

FinanceShelter

Typically replies within a few minutes

Hi there! 👋 How can we help you today? Pick a topic below or write your own message.

Please enter a message before sending.