Aanand Jha
(Employed)
(692 Points)
Replied 17 April 2016
CARO is applicable if Paidup Capital + Reserve exceeds Rs. 50 Lakh
mohammad rasool baig
(Management Consultant)
(1026 Points)
Replied 18 April 2016
Under section 2 (85) of the Companies Act, 2013 a Small Company means a company other than a Public Company that satisfies either of the following conditions: Paid-up share capital which does not exceed 50 lac rupees or such higher amount as may be prescribed which shall not be more than 5 crore rupees
So company is private company & paid up capital is less than 50 lakhs. Hence your company is small company.
Since your company is small company, CARO will be applicable only when your company outstanding loan crosses the stipulated limit of Rs 25 lakhs.
Vipin
(ddd)
(84 Points)
Replied 18 April 2016
Aanand Jha
(Employed)
(692 Points)
Replied 21 April 2016
In calculation Reserve shall also be considered in the given case paidup capital + Reserve exceeded Rs. 50L, hence it should be applicable
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