Section 297 and 314
This query is : Resolved
10 February 2012
In a Private Company dealing in hotel business having paid up capital more than 1 Cr, the Board proposes to enter into a contract with the wife of one of the Directors.
What sections will be attracted? Is it Section 297 and 314 or something else? As per my knowledge the COmpany needs to apply to RD under Section 297 and pass Special resolution under Section 314 and take approval of CG.
Can anyone tell me the correct procedure for doing the needful.
Also if any one can tell me the difference between Section 314 (1) and Section 314 (1B)
What sections will be attracted? Is it Section 297 and 314 or something else? As per my knowledge the COmpany needs to apply to RD under Section 297 and pass Special resolution under Section 314 and take approval of CG.
Can anyone tell me the correct procedure for doing the needful.
Also if any one can tell me the difference between Section 314 (1) and Section 314 (1B)
11 February 2012
Section 297 will be followed. Here a contract is entered by Company with relative (Wife) of one of Director.. So you can follow the simplified procedure U/S 297. Call a Board Meeting. Make the complete disclosure of everything into contract, its Arm length Price etc. Call EGM and Pass SR. File E-Form 23 and later E-Form 24A.
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
- House Property Reporting in ITR
- Refund Annexure-B
- TDS Claim year
- Liable to deduct tds and 44ADA
- TDS Challan Code
- Refund of 20%pre-deposit paid for stay application
- Nomination of Bank for refund in itr 2
- Section 56(2) of the Income tax Act 1961 , Gift to relative .
- Rent lease agreement
- CCFS 2026 Schemed
- Internship/Academic shown in Salary Pay Slip of a Doctor
- 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
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
CAclubindia
