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Company converted from Public to Private during the year

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Arjun

31 Points Posted on 07 July 2021

During the year Company is converted to Public limited from Private Limited.If the company is required to prepare a seperate financial statement for Private Limited and Public Limited.?

Eg. Company converted to Public as on 31 Dec 2020. Now, if we would need to prepare financial statement for Private limited upto 31 Dec 2020 and another for public limited for period starting from 1 Jan 2021 to 31 Mar 2021?

Replies (4)

Quick Summary

When a company converts from private limited to public limited during the financial year, separate financial statements are not typically required. A single set of financial statements can be prepared for the entire period, but it's crucial to ensure compliance with regulations that differ between private and public companies. Consulting a corporate lawyer is advisable for specific guidance on these transitions.

satya kumar

48 Points Posted on 09 July 2021

One set of F/S will be prepared, but care must be taken to comply with the provisions which were exempted for private company and not applicable to public company such as filing of any return etc.

sonam ranjan

4 Points Posted on 09 July 2021

No need to prepare different F/S for the public limited and private limited. One financial report is enough to know the financial condition of the company. well, you can keep or distribute the copy of same.

You can concern a corporate lawyer. A <b><a target='_blank' rel='nofollow' href=https://rslegal.in/index.php> corporate lawyer</a></b> provides legal advice and solution like company formations and tax structuring, mergers, and acquisitions. et c.

sonam ranjan

4 Points Posted on 09 July 2021

Originally posted by : sonam ranjan
	No need to prepare different F/S for the public limited and private limited. One financial report is enough to know the financial condition of the company. well, you can keep or distribute the copy of same. You can concern a corporate lawyer. A corporate lawyer provides legal advice and solution like company formations and tax structuring, mergers, and acquisitions. et c.