presentation of "Share Application Money"

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CA PARTH SHAH (Querist)
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07 July 2011 hello friends

i want to know where Share Application Money will be presented in balance sheet as per schedule VI as per Company Act 1956?

Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)
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07 July 2011 Neither in 'share capital'nor in 'current liabilities'.
ICAI Compendium of Opinions {Vol. XV, (1996 Edn) pages 34 to 36} says 'share application money pending allotment' should be shown in the balance-sheet under a separate heading between 'Share Capital'and 'Reserves and Surplus'.

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