Conversion of Preference Shares into equity
This query is : Resolved
JAISON JACOB . K
(Querist)
05 June 2010
Hi,
Can u pls explain me the procedure for conversion of preference shares to equity shares.
For what period redeemable pref shares can be issued.
If the equity shares are to be issued at premium, should the company requires sufficient reserves and surplus in books.
Any other conditions there to be fullfilled?
Thanks in Advance
Jaison
Can u pls explain me the procedure for conversion of preference shares to equity shares.
For what period redeemable pref shares can be issued.
If the equity shares are to be issued at premium, should the company requires sufficient reserves and surplus in books.
Any other conditions there to be fullfilled?
Thanks in Advance
Jaison
aditi daga
(Expert)
05 June 2010
2. redeemable preference shares can be issued for a maximum period of 20 years.(Section 80)
3. Regarding issue of shares at a premium, Section 78 does not place any restriction on issue of shares at a premium. however, the premium amt recd has to be kept in a separate account called securities premium account.
3. Regarding issue of shares at a premium, Section 78 does not place any restriction on issue of shares at a premium. however, the premium amt recd has to be kept in a separate account called securities premium account.
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
- Late Filing Fee Waiver for Q1 Form 144 (Earlier 27Q) – Transition to Income-tax Act, 2025
- GST input credit on commercial property
- TDS on Dashcam rent and allied services
- Import Order Cancelled.
- Working on Gold wastage during Melting of old gold jewellery
- GSTR-9C filing
- GST ITC as per notification 12/2023- central tax
- Urd purchase entry in tally prime
- Royalty payments to the Mining Department for procurement of murum - GST input
- IMS (import of goods) ITC related
- Subject: Legal Remedy for Removal of Income Tax Demand for AY 2024–25 – Charitable Trust
- Expert Help Required for TDS Refund 100000 Through TRACES – AY 2022–23
- IMPORT PURCHASE ENTRY PASSED IN BOOKS OF ACCOUNT
- FAST DS 26 Undisclosed Foreign Asset Disclosure Scheme 2026
- Regime change
- Tally: Imported bank entries do not show up in manual reconciliation
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
- How to pay remaining amount of TDS after due date?
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
