One of my automobile dealer clients is availing "channel finance facility" from
leading private banks, The amount is secured by lien on vehicles purchased
through out of the channel finance amount. The vehicle are kept with the dealer.
The dealer has to pay the channel finance amount within stipulated periof i.e 60
days or on the date of sale of vehicle which ever is earlier.
My question is that charge with roc require to be register or not?
Menu
Charge with roc
Replies (1)
As per my understanding and analysis based on section 125(4) of the companies act, 1956, the charge mentioned by you is required to be registered u/s 125(4)(e) bcoz it is on movable property and in the nature of Hypothecation.
However if the dealer sold all the stock within a month and repay the bank within 30 days of taking loan, then charge is not required to be filed. But it seems quite difficult so it is advisable to file the charge.
Regards
Recent Topic
- SBI direct mutual funds ITR
- 44AE Section
- FEMA compliant structure
- Tax obligation in AY 2026-27
- EFILING ITR2 FROM COMMON FILING UTILITY
- SBI gold bond interest
- PPF Interest Exempt - But what drop down to choose
- Itr2 or itr3 intraday trade 1 loss of 70 paise
- Calculation of IT
- CA FINAL FR IndAS 33 Doubt(Corrected)
Related Topics
CAclubindia
