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Extension of financial year

Priya Sharma (Company Secretary & Student.MBA) (998 Points)

05 February 2011

CAn anybody throw light of extension of financial year, includning the time limits and the resolution also please.

Regards

Priya

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8 Replies

nidhigoel89 (Company Secretary ) (594 Points)
Replied 05 February 2011

Hello!

You can refer sec 210(4) for referring the provision related to extension of financial year..................and for extension of financial year is attached...........

Regards

Nidhi

Attached File : 43 resolution extension.doc downloaded: 646 times

1 Like

Rajeev kumar Nayak (ACS) (283 Points)
Replied 05 February 2011

Hi,

As per Section 210, financial year may be more than or less than 12 months but it should not be more than 15 months. but it may be extended to upto 18 months with approval of ROC.

For extension company has to file the application with ROC along with justification.

Thanks

Rajeev Nayak

CA Sahil Singla.. (Service Tax ) (3746 Points)
Replied 05 February 2011

In addition to above , for the very first financial year, it can be extended upto 18 months & this period could not be increased at all

1 Like

Tejal (CS) (123 Points)
Replied 11 September 2012

Dear Sir/Madam,

Our company has extended its F.Y. from 1st April, 2010 to 30th September, 2011 i.e. for 18 months.

Now company wants to file annual accounts of 6 months i.e. from 1st October, 2011 to 31st March, 2012.

So my query is can we file annual accounts for 6 months or do we have to again apply for extension till 31st Mach, 2013???

And what is the procedure?

I really need a help. Please guide me.

Aditya Soni (CS Final Student Trainee) (727 Points)
Replied 11 September 2012

Dear Tejal,

As per Sec 210 (4) says that, "The period to which the account aforesaid relates is referred to in this Act as a “financial year”; and it may be less or more than a calendar year, but it shall not exceed fifteen months:

Provided that it may extend to eighteen months where special permission has been granted in that behalf by the Registrar."

So, with the above clarification, in your case, you do not have to take extension again.

Regards,

Aditya

1 Like

Tejal (CS) (123 Points)
Replied 01 November 2012

Dear Aditya,

It means we can file for 6 months i.e. 1st October, 2011 to 31st March, 2012?

Am i right?

P C Agrawal (Registered independent director Past Chairman of Aurangabad Chapter of ICSI Practicing Company Secretary at Aurangabad) (8229 Points)
Replied 06 November 2012

I presume the facts to be as under:

1. Till 31/3/2010 you had been closing your books on 31st March every year.

2. Later on you decided to close books on 30th September every year and you have taken approval of ROC for extension of financial year from 1.4.2010 to 30.9.2011 u/s 210(4).

3. Now again you want to close your books on 31st March every year.

If this is correct, only Board resolution would be sufficient to change the financial year again and close the books on 31/3/2012 since this financial year will be of 9 months only. Permission of ROC is required only if the financial year is more than 15 months (max.18 months).

Thanks