CARO

This query is : Resolved

AK Venkatesh (Querist)
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14 May 2010 Dear All,

There is a company with a paid up Capital of Rs 60 lakhs & brough forward loss of about Rs 13/- lakhs. Will CARO be applicable to that company.

Regards,
Venkatesh

Rasesh

Rasesh (Expert)
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17 May 2010 CARO will be applicable.

AK Venkatesh

AK Venkatesh (Querist)
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18 May 2010 But sir the Paid up capital & Reserves will then total up to only Rs 47/- Lakhs

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Rasesh

Rasesh (Expert)
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18 May 2010 The fact that the capital and reserves of the company is less than Rs. 50 lacs should not exclude the company from CARO.

Assume that the net worth was eroded, would the company be exempt from CARO?

Also if it is a public limited company, the above limit of 50 lacs is not relevant.