14 May 2013
Dear Expert The two private limited co. AB {p} ltd & AC {p} ltd are sister concern , in which Mr. A is a director in both the company and having more than 50% share in both company. AC {P} ltd have due of rs. 1 crore from AB {P} i.e AC {p} ltd is a creditor of rs.1 crore of AB {P} ltd. Now they want to make settlement of above sum of just rs. 50 thousand.I want to know the taxation impact upon both the companies, and procedure of compromise & settlement. Please Help
CAclubindia
