prabhaaas (Company Secretary and Cost Accountant) (116 Points)
22 October 2015THE DEFINITION OF A SMALL COMPANY IS BASED ON THRESHOLD LIMITS- ON PAID UP CAPITAL AND TURNOVER . THE DEF IN SEC 2(85 ) GIVES LIMITS OF 50 LACS/5CRORES FOR CAPITAL AND 2 CRORES / 20 CRORES FOR TURNOVER.
MY QUERY
SHOULD WE TAKE LIMITS OF 50 LACS OR 5 CRORES FOR CAPITAL AND SIMILARLY FOR TURNOVER SHOULD WE TAKE 2 CRORES OR 20 CRORES
RAHUL
(Student CA Final )
(377 Points)
Replied 24 October 2015
The former in both cases. The latter is the threshold limit upto which it can be raised by the Ministry when required.
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