Board of director of Anil ltd decided not to preserve the books of accounts and other records for more then 5 years for shortage of space in the office premises. examine the board decision
The decision taken by Board is incorrect. The company should preserve the books of accounts and other relevant papers for at least 8 years. Government may order any company to maintain proper books of accounts for more than 8 years also.
If company has shortage of space then they can convert it into electronic form.
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