A co. Wants to issue bonus shares.
Free Reserve : 50cr
SPR:20cr
CRR: 50 cr.
Co.wants to issue 5cr bonus shares of 10each. And also co. Wants to not let the money out of pockets of the co. For that year (i.e. dividend or any other purpose) , so as law has not told us the priority of using money (#63 (1)) .. so can we stop the money to go out by using free reserves firstly? Or
#63 (3) would not let it happen for dividend?
Menu
Issue of Bonus Share
Replies (1)
For capital portion arrangement i.e, Face Value of issue of bonus share you can use only free reserves and if you issue Bonus Share on Premium you can use both i.e, free reserves and security premium reserves.
Recent Topics :
- Capital Gain on sale of Depreciated Factory Gala
- Interesting Observation from a Recent Income Tax S
- ITR 3 Utility Not Taking Marginal Relief on Net To
- MV Electrosystems IPO Allotment Date, Status Check
- TDS payment code query
- Query on FLAIR return
- Itr 4 problem
- Capital Gains Mismatch Due to Sale Agreement in FY
- REGARDING NRO INVESTMENT IN SHARES OF DOMESTIC COM
- DTAA benefits
Related Topics :
CAclubindia
