DSC or Digital Signature is a physical signature in an electronic format. Digital Signatures are used in India for online transactions such as Filing Annual Return, Company or LLP Incorporation, Income Tax E-Filing, E-Tenders, etc. There are 3 types of Digital Signatures, Class I, Class II and Class III Digital Signatures.Class I Digital Signature is used for securing email communications. Class II digital signature is utilized for company registrations, IT Return E-filing, Obtaining DIN, DPIN etc. Class III digital signature registration are used for E-tendering and participating in E-Auctions.

Digital signature certificates or DSC are required for filing income tax returns, company filings, import export clearance and e-tenders.
Digital Signature Certificate are stored on a secure USB flash drive called a E-Token . The Digital Signature Certificate stored in the USB flash drive must be connected to a computer to electronically sign a document.
Digital Signature can be of two classes i.e. Class II and III