mahipal m. chande (ca) (216 Points)
08 December 2016ONE OF MY CLIENT HAS SEVEN PROPRIETORSHIP FIRMS WHERE ALL THE PROPRIETORS ARE FAMILY MEMBERS.
NOW, THEY WANT TO CONVERT INTO A SINGLE PVT LTD COMPANY?
IT ACT TELLS ABOOUT CONVERSION OF A SINGLE PROPRIETORSHIP TO A SINGLE PVT LTD,
THEY WANT ALL THE SEVEN FIRMS TO BE CONVERTED INTO ONE PVT LTD .
IS IT POSSIBLE TO DO SO?
Abhishek
(Student CA IPC / IPCC)
(143 Points)
Replied 10 December 2016
Form a PVT Limited Co and acquire the firms n issue shares to the proprieters as considration
mahipal m. chande
(ca)
(216 Points)
Replied 10 December 2016
ARE TAKE OVER AND CONVERSION SAME?
IT ACT EXEMPTS CAPITAL GAIN ON CONVERSION BUT NOT ON TAKE OVER
CAclubindia
