Private ltd company
Querist : Anonymous
If, yes than can Interest be charged at differential rates to different directors??
of the amount, was a director of the company.
However, the director from whom money is received, furnishes to the company at the time of
giving the money, a declaration in writing to the effect that the amount is not being
given out of funds acquired by him /her by borrowing or accepting from others.
Interest can be paid at, generally, not less than the bank rate.
Deposits in case of Private Limited Company
Private Company is prohibited to accept any invitation or acceptance of unsecured loans/deposits from the persons other than its members, directors or their relatives. Therefore a private company can accept deposits through private arrangement from its members, directors and their relatives.
Rule 2(b)(ix) exempt any unsecured loan money received from directors and shareholders from the definition of deposits. According to Rule 2(b)(ix), any amount received from members of a private company limited by guarantee are not exempt.
Rule 3 of Companies (Acceptance of Deposits) Rules, 1975 deal with the limit upto which a company can accept deposits/ loans. Private company exempted this limit.
For any invitation and acceptance of unsecured loan/deposits from relatives of directors and member, the company will have to file a statement in lieu of advertisement in accordance with the provisions of Rule 4A of the Companies (Acceptance of Deposits) Rules, 1975. The company will also have to file annual return of deposits in accordance with Rule 10.
Regards
Querist : Anonymous
Click here to login now
Similar Resolved Queries
- House Property Reporting in ITR
- TDS Claim year
- TDS Challan Code
- Rent lease agreement
- Relief u/s Section 89
- REGARDING SECTION 44AE
- Merchant Export Accounting
- Section 43B(h) – MSME Invoice Paid Before Year End but After 45 Days
- Agriculture income or business income
- Entries in AIS regarding sale of units and shares
- 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
- GST Refund_RFD-01
- Form10BD was uploaded successfully without any Error but after 24 hours, Form10BE are not available
- Annexure B utility for GST Refund
- Tax amount diff in Gstr1 and 3B in tax compare reports
- Tds on GST in connection with sale to public company
- Restoration of certificate of practice
- Regarding change in correspondence address in SSP portal
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
CAclubindia
