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Ravindra Bhosale (Assistant Manager)     19 July 2020

Capital in cash

Dear Sir,

What is the limit for raising capital by cash in proprietorship firm?



 4 Replies

Raj C Doshi

Raj C Doshi (Practising CA)     19 July 2020

Depends on cash in hand in the books of accounts based on accounts maintained and/or ITRs filed
sabyasachi mukherjee

sabyasachi mukherjee   20 July 2020

Another pertinent point.

as per partnership deed or as agreed mutually.
Sagar Patel

Sagar Patel (Tax and Business Consultant)     20 July 2020

You can raise cash as capital in proprietorship firm up to the cash balance in your personal books of account maintained and/ or filed with ITR.
In Partnership check you cash balance as mentioned above along with provision in partnership deed regarding same.
Prachi Bansal

Prachi Bansal   05 May 2021

Is there a limited account amount of cash that can be raised in proprietorship firm?


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