1st AGM & 1st FY of New Company

Meetings 1401 views 3 replies

Amit Kumar Verma

CA Final CS Professional

501 Points Posted on 12 October 2012

Hi friends.. Plz tell whether my interpretation is correct. A company is incorporated on 08.03.2011. As per sec 166 it has to hold its 1st AGM within 18 months of incorporation i.e. 08.09.2012 & as per sec 210 it has to place its annual accounts within 9 months from the end of FY. Now if the company makes its first FY from 08.03.2011 to 31.03.2012 bcoz FY as per Companies Act can be more than 12 months (bt not more than 15 months) & holds the AGM on 03.09.2012 , will there be any violation of Companies Act. And plz also tell me whether there will be any problem in Income Tax Act. The company has filed its ITR of AY 2011-12 & 2012-13. Will there be any problem bcoz as per Companies Act there is only 1 FY & as per Income Tax Act there are 2 FY for the same period.

Replies (3)

Deep Narayan Keshrari

Proprietor

45 Points Posted on 13 October 2012

No problem.

Smriti Dhawan

Company Secretary

347 Points Posted on 13 October 2012

In accordance to Section 166 of Companies Act , Company may hold its first annual general meeting within a period of not more than 18 months from the date of its incorporation and if such general meeting is held within that period, it shall not be necessary for the company to hold any annual general meeting in the year of its incorporation or in the following year.

And in accordance to Section 210 of Companies Act, In case of first AGM of the Company, to the period beginning with the incorporation of the Company and ending with a day which shall not preceed the day of the meeting (AGM) by more than nine months.

As your Company was incorporated on 8th Mrach 2011 and AGM was held on 3rd September 2012, so you have compalied both the Sections of Companies Act , to hold AGM of Company.

There is no violation at all in Companies Act and Income Tax Act.