Dear All,
The question is with regard to applicability of Cash Flow Statement (CFS),
The company was incorporated in the year 2014-2015 (Financial year) this company has done a turnover of Rs. 4.75 Cr.
Paid up capital of the company is below Rs. 50 Laks
Sec 2 (85) of defines small companies as below:
"Under section 2 (85) of the Companies Act, 2013 a Small Company means a company other than a Public Company that satisfies either of the following conditions:
- Paid-up share capital which does not exceed 50 lac rupees or such higher amount as may be prescribed which shall not be more than 5 crore rupees
Or
- Turnover of which as per its last profit and loss account does not exceed 2 crore rupees or such higher amount as may be prescribed which shall not be more than 20 crore rupees.
Provided that nothing in this clause shall apply to
(A) A Holding Company or a Subsidiary Company;
(B) A company registered under section 8; or
(C) A company or body corporate governed by any special Act.
Question : what do you mean by last year profit & loss account ?
whether it means financial year (2014-2015 - year of incorporation) or previous year 2013-2015.
Can sombody help me to understand the what is Last year. If this has been defined please, let me know where we should refer.
Thank you,
CA. Viru.
CAclubindia
