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    when private company will not be considered as small company?

    Posted By : Sarah Bhandari / Published on : 13-Oct-2018 11:27 PM / View : 584 / Comment : 1

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    Dear All,

    Please answer me -

    Whether a private Company having paid-up share capital 45 Lakhs and
    turnover of Rs. 20 Crores as per last audited balance sheet will be
    treated as a small company or not?
    Read more on : company small considered private

    • As per Section 2(85) defines a Small Company as – ‘‘small company’’ means a company, other than a public company,—

      1. 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; and 

      2. turnover of which as per its last profit and loss account does not exceed two crore rupees or such higher amount as may be prescribed which shall not be more than twenty crore rupees.

      If any one  above limits crossed In your case exceed the amount will fall other than small Company.

      Therefore , Answer is No it will not be "Small Company" because turnover of Rs. 20 Crores as per last audited balance sheet.

       

      13-10-2018 / 06:18:41 AM
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