Whether 185 & 186 is applicable for every transaction Or closing balance as on 31.03 How it count for compliance under 185 & 186.
Consider a case , where a Husband & Wife (Both are Directors of various 5 P.Ltd Hospital)
In every 5 Hosipital either Husband & wife Or along such 5 companies have related shares.
Every company transfers its fund to Other companies and such directors depending on its reqirement.
Hence body corporated are invested in company,there is no exemption on amount which can be given to Directors/Related companies u/s 185.
Companies normally closes(Settles) such loans/advance Accounts of related companies/Director.(Please note no interest is charged on such transactions.) on FY closing.
So is there any non compliance in giving interest loan.
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