There is no specific procedure for change in the accounting year as per Companies Act, 1956. But as per Section 210 the accounting year shall not exceed 15 months. So you can change the financial year by passing a resolution in the meeting of the Board of directors of the company and shall intimate the respective ROC regarding the change well in advance. ROC in turn will give his approval for the change. But pass such resolution before the close of the financial year. The company should have passed a resolution in Dec 2009, to close the current year in Dec 2009.
If they have not passed such a resolution, they may close the year as usual in March 2010. The next financial year can be ending in Dec 2010, by passing a resolution either now or any time before 31st Dec 2010.
But please consider that income tax calculation will be only from 1st April to 31st March base. So, there will be dual calculation. Form April to December and second from January to March. Then club the both and apply Income Tax provision.
Further as per Income tax uniform accounting year has to be followed i.e 1st April to 31st March. This has been affected with effect from asst .year 1989-90. So while filing return for the next asst. year, you shall intimate the same along with the return of income.
07 August 2009
You may use the following resolution:
"RESOLVED THAT in accordance with the provisions of section 210 and other applicable provisions of the companies Act, 1956 and subject to such other approvals and sanctions as may be required, next financial years i.e. 2010-11, of the company shall be from ______ to ______ and thereafter same shall be followed."
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