11 October 2010
IS THERE ANY TURNOVER SPECIFICATION OR PAID UP CAPITAL CRITERIA FOR applicability of cost audit pertaining to manufacturing company under section 209(1)(d) of the companies act.
Whether maintennace of cost records has been prescribed by the Central govt. under sec 209(1)(d) , whether such accounts and records have been made and maintained.
there is no issue of cost audit, it only says about cost records.
CARO, 2003 and CARO (Amendment), 2004 - A Comparative Analysis [Submitted by Mr. V.M.V. Subba Rao, B.Com., F.C.A., D.I.S.A(ICA)] Sl. No. Clause CARO, 2003 CARO (Amend), 2004 Amendments / Remarks 01 Clause (iv)(2) of Para 1 a private limited company with a paid up capital and reserves not more than fifty lakh rupees and has not accepted any public deposit and does not have loan outstanding ten lakh rupees or more from any bank or financial institution and does not have a turnover exceeding five crore rupees. 'a private limited company with a paid up capital and reserves not more than rupees fifty lakh and which does not have loan outstanding exceeding rupees twenty five lakh from any bank or financial institution and does not have a turnover exceeding rupees five crore at any point of time during the financial year. 1. The Pvt. Ltd. Companies cannot legally raise public deposits and hence the clause has been omitted. 2. The loan outstanding limit has been raised from Rs.10 lakhs to Rs. 25 lakhs above. 3. Now a private limited Company, in order to be exempt from the applicability of the Order, must satisfy all the conditions at any point of time during the financial year.
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