banner_ad

deposit received from business associate by PVT LTD Company

This query is : Resolved 
Profile Image

Profile Image

(Querist)
15 April 2011 There is an MOU between a PVT LTD Co. and a proprietary firm which states that the company will receive a deposit of Rs. 100 lacs and will pay an interest @12% p.a.on the said deposit.
My question is
1. Can a pvt ltd company accept the deposit from one of its business associates such as distributor of its product?
2. is it permissible to accept Trade deposit from outsiders u/s 58A and if not, whats the penalty?
Profile Image

prasad

Profile Image

prasad (Expert)
15 April 2011 Yes U/s 58A pvt ltd company cannot accept deposits.

Pvt Ltd Company can accept trade deposits. This will not come under the per view of Section 58A
Profile Image

RAVINDRA KUMAR

Profile Image

RAVINDRA KUMAR (Querist)
20 April 2011 still not Clarified by Mr. Prasad.
Profile Image

Dhirajlal Rambhia

Profile Image

Dhirajlal Rambhia (Expert)
08 July 2023 "Sorry, I am not a featured member."

For featured members contact....

https://www.caclubindia.com/catalogue/featured.asp
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now


CCI Pro
Join CAclubindia WhatsApp Finance Community & stay updated with the latest TAX news, compliance alerts and important updates all in one place!


Similar Resolved Queries


loading


Unanswered Queries


banner

Trending Online Classes

view all classess

CCI Pro
Meet our CAclubindia PRO Members
Subscribe Now

Follow us
add to google news



Answer Query



Quick Links



Browse by Category




Latest Job Openings

View all
Company
10 May 2026
Finance specialist

Right way solution

Ajmer

CA

View Details
Company
16 May 2026
Audit clerk

mgirt & co

Bengaluru

CA Inter

View Details
Company
06 May 2026
Account Assistant / Article Clerk

V.K. Ranjan & Co(Chartered Accountants)

New Delhi

B.Com

View Details
Company
11 May 2026
CA Dropout

Patron Accounting LLP

Pune

CA Inter

View Details
Company
Featured 29 April 2026
Manager- Finance and Compliance

Naveen Fintech Pvt Ltd

Kolkata

CA Inter

View Details
Company
Featured 27 May 2026
Lead Conversion Executive / Sales Closing Executive

SMJ global advisors pvt ltd

New Delhi

B.Com

View Details
Company
23 May 2026
Article Assistant

Geeta Manchanda & CO.

New Delhi

CA Inter

View Details
Company
26 May 2026
CA / MBA (Finance) / CMA / M.Com (Finance)

Sri Aurobindo Gnostic Centre of Education

New Delhi

CA

View Details