Hi All
I want to know if a person is doing a business in proprietorship and in other (A Private Ltd. Co.) he/she and his/her mother/father is director. Is there any provision that their turnover for the excise limit registration is to be clubbed? Both are mfg. of same product. If yes please provide me related notification, circular or order.
Thanks & regards
Umesh Gautam
Pvt Limited co is seperate identity, and it cant be clubbed unless
1) funds flow / transaction relation between both the companies has been established to evade taxes.
2) common person is the only person who is responsible to run both the companies, vis if the pvt ltd co has MD other than the person of proprietorship, it may not be clubbed.
address of the companies is another reason to show diff / clubbing in establishment. i.e diff address for diff companies to establish that they dont relate to each other.
O P Bagla & Co LLP
New Delhi
CA Inter
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Shyam Joshi & Associates
Pune
B.Com
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CAclubindia
