What Is A Digital Signature Certificate (DSC) And How To Apply For One?

A digital signature certificate, the full form for DSC, is a fundamental requirement for authenticating digital data. Government agencies and other organisations deal with an overwhelming number of digital forms and applications daily. As a result, verifying the identity of the files’ bonafide owners becomes crucial. 

Digital signatures provide a secure, authentic and foolproof way to ensure that documents filed electronically are genuine. Continue reading to know more about DSC, its benefits, functionalities and more.

What is a Digital Signature Certificate?

A digital signature certificate or DSC is a secure digital key to verify the identity of the certificate’s owner. The certificate contains its owner’s credentials, such as name, resident country, pin code, email address, the name of the certifying authority and the date of certificate issue. 

In other words, the certificate is like an electronic proof of the identity and personal details of the individual holding it. Digital signature certificates use public key infrastructure (PKI) to generate the signatures. PKIs represent the policies, procedures, processes, hardware and software enabling the creation, use and management of digital signatures and encryption.

These digital signatures are like online versions of pen-and-paper signatures that one would ideally use to prove ownership or authenticity of a file or document. You can use your DSC to sign documents digitally or access information and services on the internet.

Importance of DSC for Fulfilling Statutory Compliances

If you’re wondering why you should apply for a digital signature certificate online, take a look at the importance of these certificates for fulfilling statutory compliances:

1. Account audits – Persons and entities getting their accounts audited must use digital signatures to file income tax returns. Besides, the Ministry of Corporate Affairs, Government of India, mandates the exclusive use of digital signatures for companies filing applications, reports, and other forms.

2. GST registration – Companies in India require a valid digital signature for GST registration and filing. Under GST, all documents that a company electronically uploads to the online GST portal, including GST registration applications, must be digitally signed for verification.

3. EPFO claims filing – Employers attesting and forwarding claims online must register their digital signature certificate with the EPFO. It can be done via the Online Transfer Portal (Registration of Digital Signature Certificate) on the EPFO website homepage.

Also Read: E-Verify ITR Through Income Tax Electronic Verification Code

Certifying Authorities for Issuance of a Digital Signature Certificate

The Controller of Certification Agencies (CCA) appoints agencies that can issue digital signature certificates. The CCA authorises 12 certification agencies for this purpose. These certifying authorities have a licence to issue a DSC under Section 24 of the Information Technology Act, 2000. 

Below is a list of the certifying authorities that can issue DSCs:

• eMudhra
• National Informatics Centre (NIC)
• National Securities Depository Limited (NSDL)
• Centre for Development of Advanced Computing (C-DAC)
• SafeScrypt CA Services, Sify Communications Ltd.
• IDRBT Certifying Authority
• (n) Code Solutions CA
• Pantasign
• Capricorn
• Verasys
• IDSIGN
• XtraTrust

Classes of DSC

The type of DSC you apply for depends on your purpose for obtaining a digital signature certificate. Following are the three broad classes of digital signature certificates that certifying authorities issue:

1. Class 1 certificate – The Class 1 digital signature certificates are issued to private subscribers or individuals to confirm that their user name and email address are clearly defined in the certifying authority’s database.

2. Class 2 certificate – Class 2 digital signature certificates were typically issued to directors or signatory authorities of companies e-filing with the Registrar of Companies (ROC). The CCA has discontinued the issue of Class 2 certificates from January 1, 2021, and these have been replaced by Class 3 certificates.

3. Class 3 certificate – A Class 3 DSC certificate is required when participating in online biddings, e-auctions and other online tender transactions in India. Vendors participating in these auctions must file tender-related documents electronically using a Class 3 digital signature certificate. 

Components of Digital Signature Certificate

Regardless of the type and purpose, every digital signature certificate has some fundamental components that help secure information and facilitate verification. These components are:

1. A public key to enable the verification process

2. Contact details of the owner, such as the name and the email address

3. The date of issuance of the digital signature certificate

4. The expiration date of the digital signature certificate. The DSC needs to be renewed after the expiry date.

5. The name of the certifying authority of the DSC

6. A unique serial number that helps in tracking

Benefits of a Digital Signature Certificate

Let’s look at some of the key benefits of a digital signature certificate:

1. Preserves data integrity: One of the most significant advantages of having a digital signature certificate online is that it ensures data integrity. Data remains safe and secure since digitally signed documents cannot be altered or modified. 

2. Verifies document authenticity: In addition to ensuring that digital data is not tampered with, digital signature certificates assure the receiver that the owner is genuine. 

3. Saves time and money: Manually signing hard copies of documents for further processing is time-consuming and requires the signatory to be physically present. Having your digital signature online eliminates these hassles since you can digitally sign PDF documents and share them quickly. 

4. Improves the customer experience – Digital signature certificates enable smooth business transactions online. No matter where you are, you can effortlessly engage with your customers and vendors round the clock and offer quick services.

Documents Required for Submitting a DSC Application

When applying for a digital signature certificate online, you must submit relevant documents along with your DSC application form. In addition, these documents must be duly attested by a Group A/Group B gazetted officer.

1. Applicant’s Identity Proof

You can submit any one of the following documents as proof of identification:

• Aadhaar
• PAN card
• Passport
• Driving Licence
• Post Office ID card
• Photo identity card issued by the Ministry of Home Affairs of the Centre/State Governments
• Bank account statement/passbook containing the photograph and signature of the applicant and attested by the concerned bank official
• Any photo ID card issued by the government and having the applicant’s name and address

2. Address Proof

The following documents are acceptable as address proof while applying for a DSC:

• Aadhaar
• Electricity bill (not older than three months)
• Water bill (not older than three months)
• Telephone bill (not older than three months)
• Gas connection
• Passport
• Voter ID card
• Passport
• Driving licence
• Service tax/sales tax/VAT registration certificate
• Bank statements signed by the concerned bank official
• Property tax/Corporation/Municipal Corporation receipt
• Any photo ID card issued by the government and having the applicant’s name and address

3. Attesting Officer’s Identity/Address Proof

A self-attested copy of the identity proof/address proof of the attesting officer is also required.

How to Apply for a Digital Signature Certificate (DSC) Online

You can approach other certifying authorities to fetch your digital signature certificate. Alternatively, DSCs can also be obtained, wherever offered by CA, using Aadhar eKYC based authentication, and supporting documents are not required in this case.

Also Read: How To Apply For A PAN Card For Partnership Firm?

Validity of Digital Signature Certificate

Certifying authorities typically issue digital signature certificates with one-year and two-year validity. However, digital signature renewal is possible upon the expiration of the validity period. As per the CCA guidelines, renewal of digital signature certificates requires fresh identity verification of the applicant. You can renew your DSC by following the same steps as applying for a DSC.

Final Word

Holding a DSC certificate allows owners to sign documents digitally. It ensures robust data security and integrity that could otherwise be compromised in pen-and-paper transactions. Digital signature certificates are practical when conducting business online since these digital keys allow the secure verification of the certificate holder’s identity. You can obtain your digital signature certificate from a certifying agency authorised by the CCA.

FAQs on Digital Signature Certificate (DSC)

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This article has been prepared on the basis of internal data, publicly available information and other sources believed to be reliable. The information contained in this article is for general purposes only and not a complete disclosure of every material fact. It should not be construed as investment advice to any party. The article does not warrant the completeness or accuracy of the information, and disclaims all liabilities, losses and damages arising out of the use of this information. Readers shall be fully liable/responsible for any decision taken on the basis of this article.