Section 372A query
This query is : Resolved
CA Brijesh Gandhi
(Querist)
22 March 2010
if Co.ABC has invested Rs.75lakh on May,09 as a debenture application money in it's group company, and has received back from them on Jan,2010. (i.e. during the year it self)
The ABC co. has shown this transaction as Investment in it's Books of accounts.
and no income is generated on this investment.
query:
whether above transaction covered under sec.372A i.e inter corporate deposit or in any other section of co. act?
since as per my judgment it is just manipulation of accounts.
if Co.ABC has invested Rs.75lakh on May,09 as a debenture application money in it's group company, and has received back from them on Jan,2010. (i.e. during the year it self)
The ABC co. has shown this transaction as Investment in it's Books of accounts.
and no income is generated on this investment.
query:
whether above transaction covered under sec.372A i.e inter corporate deposit or in any other section of co. act?
since as per my judgment it is just manipulation of accounts.
28 March 2010
Hi brijesh,
Mere flow of funds need not be classified as manipulation. You need to go into the details to take that stand. it is good that you are skeptic.
check for the board minutes. and relevant provisions of the 372A for the genuinity of the transaction.
Mere flow of funds need not be classified as manipulation. You need to go into the details to take that stand. it is good that you are skeptic.
check for the board minutes. and relevant provisions of the 372A for the genuinity of the transaction.
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
- Tax on Amount transferred in HUF Account
- Nursery business
- GST REFUND ISSUE ON PURCHASE OF PLANT AND MACHINERY
- TDS on Dashcam rent and allied services
- Working on Gold wastage during Melting of old gold jewellery
- Condonation Request sec 119(2) b -Enhancement Limit of Leave Exemption prior to AY 2023
- Section 269ST applicability for capital introduced by partner to his partnership firm
- GST input credit on commercial property
- ETDS return q4 25-26
- Intimation under section 245
- GSTR-9C filing
- Royalty payments to the Mining Department for procurement of murum - GST input
- HOW TO ADJUST CREDIT NOTE AMOUNT ?
- Import Order Cancelled.
- WRONG GSTR7 ENTRIES ACCEPTED ERRONEOUSLY
- 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
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
