Applicability of Form DPT - 3

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This query is : Resolved

M.Ramkumar (Querist)

15 June 2023 Dear Sir/Mam,
Whether current account(running account) maintained by company shall be considered as deposits for filing Form DPT - 3

Aashok Kumar Sharma

Aashok Kumar Sharma

(Expert)

06 July 2024 No, a current account (running account) maintained by a company generally would not be considered as deposits for the purpose of filing Form DPT-3 under the Companies (Acceptance of Deposits) Rules, 2014. Here’s why:

1. **Definition of Deposits**:
- As per the Companies Act, 2013 and related rules, "deposits" refer to any receipt of money by way of deposit or loan or in any other form, by a company, whether secured or unsecured, but excluding certain specified transactions.

2. **Nature of Current Accounts**:
- Current accounts are typically used for day-to-day business transactions, such as receiving payments from customers, making payments to suppliers, and managing operational expenses.
- They do not generally involve receipt of money by the company from its members or the public in a manner that constitutes a "deposit" under the legal definition.

3. **Exclusions from Deposits**:
- The definition of deposits excludes certain transactions such as:
- Amount received from directors or members in the ordinary course of business.
- Amount received as advance payment for goods or services.
- Amount received as security deposit for performance of a contract or fulfillment of terms of an agreement.

4. **Form DPT-3 Filing Requirement**:
- Form DPT-3 is required to be filed to furnish details of outstanding receipts of money by a company, which are not considered deposits, as specified in the rules.

### Conclusion:

Since a current account (running account) maintained by a company is typically used for routine business transactions and does not fall within the definition of deposits under the Companies Act, 2013, it would generally not be considered for filing Form DPT-3. However, it’s essential to ensure that any outstanding receipts or balances in such accounts are appropriately categorized and reported in accordance with accounting standards and regulatory requirements applicable to the company.

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