Sectin 4(7)
This query is : Resolved
22 November 2011
Can anyone Describe me the section 7(7) of the companies act
Sectin 4(7) A private company, being a subsidiary of a body corporate incorporated outside India, which, if incorporated in
India, would be a public company within the meaning of this Act, shall be deemed for the purposes of this Act to be a
subsidiary of a public company if the entire share capital in that private company is not held by that body corporate
whether alone or together with one or more other bodies corporate incorporated outside India.
Sectin 4(7) A private company, being a subsidiary of a body corporate incorporated outside India, which, if incorporated in
India, would be a public company within the meaning of this Act, shall be deemed for the purposes of this Act to be a
subsidiary of a public company if the entire share capital in that private company is not held by that body corporate
whether alone or together with one or more other bodies corporate incorporated outside India.
23 November 2011
In simple words if a foreign company, [which if incorporated in India, would be a public company], holds entire share capital of an Indian private company (say XYZ private Limited) whether alone or together with one or more other bodies corporate incorporated outside India, then such Indian private company (say XYZ private Limited) would be considered as a private limited company as far as compliance of companies act, 1956 is concerned.
RG
RG
23 November 2011
Through section 4(7) an exemption is provided to a Private company whose 100% share capital is held by a foreign company (Would be Indian public company if incorporated in India).
Where such entire share capital of Indian private company is not held by foreign company (Would be Indian public company if incorporated in India), such private company would be considered as subsidiary of public company and have to comply all the provisions applicable to a public company.
RG
Where such entire share capital of Indian private company is not held by foreign company (Would be Indian public company if incorporated in India), such private company would be considered as subsidiary of public company and have to comply all the provisions applicable to a public company.
RG
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Is this income indian or foreign income?
- ITC temporary reversal and reclaim
- GST on export of services and Input Credit
- RCM applicability on Rent Paid by Registered Person to Unregistered Landlord for Residental Building
- Inventory of finished goods
- Applicable TDS rate for sale of property in Nov 2024
- Sale of property furniture sale
- Can we claim ITC of Feb-2024 in the month of November-2024 which was not claimed by oversight
- REGARDING 25 AS DATE OF PAYMENT AND DATE OF BOOKING
- Tds on building rent monthly
- Regarding Waiver of Interest levied u/s 50 of PGST/CGST Act
- LAST YEAR 2022-23 ITC IN NEXT YEAR 2023-24 REPORITNG IN GSTR-9
- MIS MATCH OF INVOICE NUMBER
- IGST Credit-Show cause notice issued-confusion
- Issue of gst e invoice
- How to adjusted advances given or receipt
- Foreign vendor without PAN unable to to register due to non receipt of OTP on foreign number ?
- 133(6) DIN INVALID format error - ->WHERE TO REPLY 133(6) notice?
- Query for dubts
- Regarding einvoice taken on nil rated sales
Trending Online Classes
CAclubindia
