Register u/s 301(1)

 

A holding company provided interest free loan to its WOS B. Under section 372A the said transaction is exempt as the section doesn't apply to loan made by holding company to its wos. 372A (8) (c).

Directors of A are also director and member of B. How to comply section 297 and what entry need to be passed under Reg 301(1).

Replies (5)

Section 297 applies only to sale,  purchase or supply of any goods, materials or services.

Providing loans does not fall within the scope of this section and hence not applicable.

Thanks for clarification.

But providing loan is not a service??? and What about entry in register u/s 301(1), cause section 299 is applicable here.


Regards

However sections 299 and 301 will be applicable as they cover all contracts or arrangements in which directors are concerned or interested directly or indirectly . however only if the shareholding of the director is more than 2% of the paid up share capital in the other company.

Originally posted by : Jayashree S Iyer

However sections 299 and 301 will be applicable as they cover all contracts or arrangements in which directors are concerned or interested directly or indirectly . however only if the shareholding of the director is more than 2% of the paid up share capital in the other company.

 

Agreed with expert Jayshree Mam!

Providing loan is not a service.

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
08 October 2026
Account Executive

Elite Taxation

New Delhi

CA Foundation

View Details
Company
07 October 2026
Senior Account Manager

Amplio Invest

Mumbai

M.Com

View Details
Company
Featured 03 October 2026
Accountant

A P Lodha and Associates

Jalna

B.Com

View Details
Company
ARTICLESHIP 28 September 2026
Junior Accountant

J S P M & Associates LLP

Pune

B.Com

View Details
Company
ARTICLESHIP 30 September 2026
CA Article Assistant

CA Suraj Garg & Associates

New Delhi

CA Final

View Details
Company
30 September 2026
Senior Accounts Executive

Codeboard Technology

Chennai

MBA

View Details
Company
26 September 2026
Chartered Accountant

pushpganga ventures

Pune

CA

View Details
Company
Featured 21 September 2026
Consultant - Reporting

Finrep Advisors LLP

Mumbai

CA

View Details