Caro 2015 meaning of small scale

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CA Piyush (Querist)
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15 March 2016 Exception of caro applies to some companies which includes pvt and small scale. 1. Exemption of pvt is applicable if Capital below 50lac Loans below 25 lac Turnover below 5 crore For small scale (other than public co.) Cap 50lac Turnover of last year below 2 cr So a pvt co. Having capital 40l Loans 30l Turnover of last year 1 cr and current year 1.5 cr My questions 1. Small scale are other than public. So it includes private co.? 2. In above example this pvt co. Doesnt fulfils first condition but fulfils second (small scale) so caro exempted or not?

PRADEEP KUMAR VATS

PRADEEP KUMAR VATS (Expert)
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16 March 2016 Dear Piyush

In my opinion, following are the answers:-

1. Yes, After reading the definition of small company, it is inferred that Private company may or may not be a small company , however, small company will always be a private company.

2. After reading the content of non applicability of CARO, it won't applicable because it is specifically excluded.

Piyush second question was good observation.

Regards
Pradeep Kumar