23 February 2011
Can a defunct company having immovable property in its B/S apply for EES, 2011? The company absolutely doesn't carry any business for last 3 years. Plz reply.
24 February 2011
“defunct company” means a company registered under the Companies Act, 1956 which is not carrying over any business activity or operation on or after the 1st April, 2008 and includes a company which has not raised its paid up capital as provided in sub sections (3) and (4) of section 3 of the Companies Act, 1956;
So in my opinion, the Company can apply for the EES , 2011.Since your Company falls under the above mentioned criteria of defunct company and having Immovable property can not become a ground for non applicability of the scheme., OR for fixed assets( Immovable Property) , u should show sale of assets and accordingly manage the balance-sheet in such a way that it shows no business and assets & liabilities in the balance-sheet.
25 February 2011
I know at least about one company which had fixed assets under assets and still its strike off process has been approved by ROC under EES 2011.
27 February 2011
I got the answer for applicability of the scheme. Few further questions arised on the same issue as under :- 1) How to dispose of property after the name has been striked off from ROC records, as the very existence of company comes to an end after approval of EES Application by ROC? 2) Can the powers given by POA or Board Resolution given by company before application to EES,2011 be enforced after approval of EES? 3) If any of the director or any other officer is empowered by Board Resolution or POA before applying for EES, 2011 to dispose of the property will it lead to "DEEMED TRANSFER" for capital gain purposes under Income Tax Act, 1961?
27 February 2011
Thanks Expert CS Taher and Expert Aditi. I am agree with expert Aditi about her views about applicability of scheme. But it is not giving the exact solution to my query about immovable property i.e. whether I can keep the property or I should sell it before application. Please guide me on this.
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