Menu
Acquisition of business
Dear Sir/Madam
There is a company which had acquired two-sole proprietors business on 1/1/16. What wil be the accounting entry for such acquisition in books of both parties???
The company gives shares as consideration to the sole proprietors. So will dis shares be shown in proprietors balancesheet?
Replies (1)
Hi Varsha
Transfer all assets & liabilities of proprietorship concern to company books and balance (proprietor's capital) will be share capital. Divide the share capital by face value, you will get the shares issued. Then, follow ROC compliances.
Thanks
Recent Topic
- NPS Premature withdrawl -Tier 1 Account
- Provident fund taxation
- ITR3 AY 26-27 Error in filling status
- Queries on TDS as per IT
- Capital Gains set off on Sale of Land if held for
- ITR Form for income from freelance consultancy
- Gst rate for HSN code 28530010
- Health Insurance
- India GST Mobile App
- Reporting STCG on non equity oriented MF
CAclubindia
