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Form 3

Sanket Kamath (Student) (64 Points)

11 January 2011

Hi,

I have been trying to file an Allotment Return aka Form 2 with the ROC, Karnataka.

The Allotment is for CONSIDERATION OTHER THAN CASH. This requires me to File Form 3 as well.

I have uploaded form 2, as allotment other than cash, but now the Portal is not allowing me to upload form 3 subsequently.

If i upload Form 3, post Form 2 upload, I get an error message saying 'Please file Form 2 before filing Form 3'.

Kindly tell me what would be the possible mistake I am commiting.

Regards

Sanketh S. Kamath

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4 Replies

Neha Gupta (PCS) (377 Points)
Replied 11 January 2011

Well, In my opinion if you have already attached the agreement for issuing shares for consideration other then cash, by choosing the option given in the from 2, no need to file Form 3 then, as system will not show the option to file form 3 after filing form 2.

Sanket Kamath (Student) (64 Points)
Replied 24 January 2011

thanks a lot Neha.

to further my discussion, Form 3 can be filed only if there is NO written agreement for 'allotment otherwise than in cash'. rite?

However, at the ROC, here, the dealing assistants informed me that Form 3 can as well be used in case of Inadequacy of stamping on the Agreement based on which such allotment otherwise than in cash is made. Have i been informed correctly?

If i am informed correct, then it would mean than Form 3 can not at all be filed, as there is a written agreement for the allotment made.

I am trying my hands on Allotment otherwise than for cash for the 1st time, all helps are welcome.

Monali (Company Secretary) (34 Points)
Replied 24 January 2011

Form 3 is required to be filed when allotment is for consideration other than cash. If there is a written agreement which is adequately stamped Form 2 is requied to be filed and Agreemnet needs to be attached to the Form. But when there is no written agreemnet or written agreement is there but not stamped, then Form 3 is required to be filed. For stamp duty on agreement you will need to see the stamp act applicable to you.

Sine the query you raised is interesting, I have further query i.e. on what amount stamp duty on Share certificate is required to be calculated?

Regards,

Monali

Vinod (CA in Practice) (445 Points)
Replied 19 January 2012

Hi Mr. Sanket,

What happened to the error ? is it cleared ?

I also have some doubtsregrding this, which are:

1. What is "written agreement" ? is it means a registered agreement by payment of stamp duty or merely an agreement written and signed in white paper can be considered as a written agreement ?

2. If there is no written agreement, do we need to include the" isssue of shares otherwise than cash" in form 2 ? or it needs to be included in form 3 only ?

3. Is it possible to file form 3 after filing form 2 specifying both kind of allotments ?

4. How much will be the stamp duty for filing form 3 ?

Please advise ..

vinodaca74 @ gmail.com