aditya (employee) (30 Points)
10 November 2010hello forum members.
i have heard that all financial transactions in a pvt ltd company are done through cheques.(even payment of sweeper)
is it true??
if not then how does one withdraw cash from the bank? i ask this bcoz i have heard that because a pvt ltd company shows 1 lakh as start up capital cash in hand one cannot write a self cheque and withdraw money?
HARDIK
(COMPANY SECRETARY NCFM (Corporate Governance ))
(664 Points)
Replied 10 November 2010
Hi
Promoters issue cheques in favor of Company for allotment which is deposited in Bank. It may be show as Bank or cash in hand.
Neha Gupta
(PCS)
(377 Points)
Replied 10 November 2010
Yes agreed with Hardik Sir, ones the money is deposited it can be withdrawal for making payments either by cheque and cash.
But the minimum paid up capital requirements i.e. Rs. 1 lac paid up capital needed to be maintain by the Company in bank account and/ or by way of cash.
aditya
(employee)
(30 Points)
Replied 11 November 2010
thanks for the prompt answer.
so i am a director of a pvt ltd company and i need cash then i can write a self cheque and withdraw money from the bank?
i am still confused bcoz someone told me that i cant do so because i need to maintain 1 lac cash in hand.
And if i am showing 1 lac cash -in -hand then why do i need to withdraw cash from the bank??
chandan
(accountant)
(22 Points)
Replied 29 April 2011
can a Ltd compay take cash for expenses of Company from its employee..??
25 Hours GST Scrutiny of Return and Notice Handling(With Recording)
Survey, Search and Seizure under Income Tax Act 1961
CAclubindia
