Calculation of limits under sec 58a of companies act

Pvt ltd 629 views 1 replies

 

While calculating the limits under Section 58A of Companies Act for acceptance of Fixed Deposits, can we consider capital reserves as part of Share Capital + Free Reserves ?

Under what circumstances can the Capital Reserve be considered as Free Reserves ?

The Company has credited the profit on sale of shares directly to Capital Reserve. Can this portion of Capital Reserve be considered as Free Reserve ?

 

Replies (1)

profit on sale of fixed assets -transferred to captial reserve is treated as free reserve .

pofit on sale of shares- which is capital reserve to be treated as free reserve.

As per my knowledge.


CCI Pro

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Related Threads
Loading