First Balance Sheet of Co

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Kishore Gunda (Querist)
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14 April 2009 Dear Friends,

I want one clarification about first Balance sheet of company, We started One company 2 years back and still we are not done even one transaction so that still we are not submited Balance Sheet, Here my question is now what we should do for delay in submit the Balance Sheet.

CA RAMESH KUMAR AHUJA

CA RAMESH KUMAR AHUJA (Expert)
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15 April 2009 Section 3 (1)(iii)of the Companies Act, 1956 defines a private company as one with a minimum paid-up capital of Rs 1 lakh. Section 3 (1)(iv) amended the definition of a public company to mean one with a minimum paid-up capital of Rs 5 lakh or such higher paid-up capital as may be prescribed.

As a company can exist with a minimum Paid up Capital and therefore, definitely a Balance Sheet is to be drawn at the close of a year which is then subjected to an audit. It is a pre condition that statutory registers are maintained; account books are maintained. All these entail some expense.

In the given case there should be drawn the B.Sheet for the 2 completed years which should be got audited and the filed with ROC alongwith the fee(Normal and additional)