Section 2(85) defines a Small Company as – ‘‘small company’’ means a company, other than a public company,— (i) paid-up share capital of which does not exceed fifty lakh rupees or such higher amount as may be prescribed which shall not be more than five crore rupees; or
Turnover of which as per its last profit and loss account does not exceed 2 crore rupees or such higher amount as may be prescribed which shall not be more than 20 crore rupees.
Here I have a doubt regarding paid up share capital of such higher as may be prescribed which shall not exceed five crore rupees. What does it mean ....if a private company holding paid up share capital of Rs.3 crore can avail the status of small company?
CAclubindia
