Section 139(2) of the companies act, 2013
This query is : Resolved
03 November 2014
Dear Sir,
My Question is When I file form ADT-1 for Appointment of Auditors and in form Whether company is falling under any class of companies as per section 139(2). My question is if the company is private company whether it is following under 139(2) of the company Act, 1956
My Question is When I file form ADT-1 for Appointment of Auditors and in form Whether company is falling under any class of companies as per section 139(2). My question is if the company is private company whether it is following under 139(2) of the company Act, 1956
03 November 2014
please refer Rule 5 of Companies (Audit and Auditors) Rules, 2014.
the private companies falling under following categories shall be included in 139(2):
(a) all unlisted public companies having paid up share capital of rupees ten crore or more;
(b) all private limited companies having paid up share capital of rupees twenty crore or more;
(c) all companies having paid up share capital of below threshold limit mentioned in (a) and (b) above, but having
public borrowings from financial institutions, banks or public deposits of rupees fifty crores or more.
the private companies falling under following categories shall be included in 139(2):
(a) all unlisted public companies having paid up share capital of rupees ten crore or more;
(b) all private limited companies having paid up share capital of rupees twenty crore or more;
(c) all companies having paid up share capital of below threshold limit mentioned in (a) and (b) above, but having
public borrowings from financial institutions, banks or public deposits of rupees fifty crores or more.
Message likes :
11 times
03 November 2014
you may refer https://www.mca.gov.in/Ministry/pdf/NCARules_Chapter10.pdf
Message likes :
2 times
04 November 2014
Thanks Nikhil,
In case of Rotation of Individual Auditors, if the Individual Auditors can complete their tenure of continuous 5 years in the same company without break. whether he shall be eligible for appointment in the same company after the completion of the expiry of the term of 5 consecutive years.
When I read rules 6 of Companies (Audit & Auditors Rules 2014) I see the table and I see he may appointed for anthor 3 year.
Please give me advice whether he is appointer for the auditors in the same company for the 3 years after the completion of the tenure of 5 years.
In case of Rotation of Individual Auditors, if the Individual Auditors can complete their tenure of continuous 5 years in the same company without break. whether he shall be eligible for appointment in the same company after the completion of the expiry of the term of 5 consecutive years.
When I read rules 6 of Companies (Audit & Auditors Rules 2014) I see the table and I see he may appointed for anthor 3 year.
Please give me advice whether he is appointer for the auditors in the same company for the 3 years after the completion of the tenure of 5 years.
Message likes :
1 times
26 March 2016
Mr Aditya,
An individual auditor cannot act as auditor for more than 5 consecutive years.After completion of his tenure company have to appoint one more auditor in his place. And first auditor eligible only after 5 years completion of his tenure as auditor in that company.
Ex: Mr Bindhesh is an auditor of X pvt ltd from Apr'14.
Ans: So as per above provisions bindhesh can be act as auditor till March 2019. After 2019 company should change the auditor(He must not be bindhesh). And Bindesh will be eligible as auditor in the same company after 5 years of completion of his tenure ( From Apr'2024).
An individual auditor cannot act as auditor for more than 5 consecutive years.After completion of his tenure company have to appoint one more auditor in his place. And first auditor eligible only after 5 years completion of his tenure as auditor in that company.
Ex: Mr Bindhesh is an auditor of X pvt ltd from Apr'14.
Ans: So as per above provisions bindhesh can be act as auditor till March 2019. After 2019 company should change the auditor(He must not be bindhesh). And Bindesh will be eligible as auditor in the same company after 5 years of completion of his tenure ( From Apr'2024).
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
- Taxable or Tax exempt
- CAPITAL GAIN BASE ON NOTIFICATION
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
- TDS Deducted AY-2013-14 Not Reflected in 26as
- Demand Outstanding AY 2013-14 TDS Deducted not shown in 26as
- ADVANCE PAYMENT OF ADVOCATE
- DIN reactivation
- REGARDING ANNUAL RETURNS FILLINGS OF A COMPANY INCORPORATED ON 28.03.2025
- Eway bill generation from place other than registeted
- Query – TDS on purchase of land from NRI under Income-tax Act, 2025
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- STATUTORY AUDIT OF A SMALL PRIVATE COMPANY INCORPORATED ON 28.03.2025
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
- How to pay remaining amount of TDS after due date?
- Resigning a auditor from the company for misconduct
- RCM @ 5% on Hamali charges, Transport Charges, Unloading charges we take ITC or not
- CALCULATION OF DEFFERED TAX - OP BL IS DTL & CURRET IT DTA
- LLP audit under companies act
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
