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Section 196 of the income tax act, 1961
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Dear Sanchit, Reserves here means all reserves. But P&L dr balance can be adjusted upto available balance of free reserves and miscellaneous expenditure can be deducted from reserves upto avaiable secruties premium balance.
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Dear Navin, Thanks for sharing it. But there is one correction to be made in applicability section. CARO, 2015 is also not applicable to Small companies as well.
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