Accounts and corporate law
This query is : Resolved
24 November 2011
Dear Esteemed members
my query is:
a company issued shares at face value. but inadvertently credited the securities premium account. i.e bifurcated the issue price into face value and premium.
how can this be corrected?
do the company need to follow procedure for reduction of capital?
any case law on the subject, please mention/
my query is:
a company issued shares at face value. but inadvertently credited the securities premium account. i.e bifurcated the issue price into face value and premium.
how can this be corrected?
do the company need to follow procedure for reduction of capital?
any case law on the subject, please mention/
25 November 2011
I think it is an accounting mistake. Before the finalization of your balance sheet you may rectify the same by debiting the SPA and crediting the share capital account.
Have a chat with ur accountant.
RG
Have a chat with ur accountant.
RG
26 November 2011
Agree with the view of Richank ji...
You have to correct the entries and you cannot bifurcate the share capital without the permission of Court.
You have to correct the entries and you cannot bifurcate the share capital without the permission of Court.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Itr 1 processing
- Reporting Income under Section 44ADA
- Off Market debit and credit transaction
- ITR 2 Short Term gain & Long term gain
- ITR validation error - Balance sheet is not filled
- Short Term Capital gain on shares bought and sold after 2018 onwards
- Form 10E u/s 89(1). Need clarification because experts opinions differ !!!!
- ITR returnFY25-26
- INCOME TAX ON REDEVELOPEMENT OF FLAT
- ITR 1: Details for showing Exempt Income
- Registration as Authorised Representative of minor
- Article ship defecit
- Bank Accounts in Balance Sheet for ITR 3
- Opting out" of regime provided under subsection (1A) of Section 115BAC but Form 10IEA is not filed.
- Difference in tax comparison report
- Gst invoice numbering and delivery challan numbering
- Sales amount in Gstr1
- E Commerce GSTR1 & 3B how to file
- GST Cancellation without jurisdiction
- Legal Opinion on Registrar's Refusal to Investigate a Society for Non-Renewal and Non-Compliance
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
