hello,it says that OPC cannot convert voluntarily within 2 years, except the RULE 6 threshold limit,
my doubt is,in that threshold limit they say - AVERAGE ANNUAL TURNOVER during the relevant period : 2 crore..
wt does average annual turnover means?
Average Annual Turnover Means, Simple average of last preceding 3 FY exceeds 2 Crore Rs., Eg. X Opc incorptated on 1.4.16 ,Following were the turnover ( Gross Amount From Sale/ Service / Supply ) for
FY 16-17 - Rs. 2.2 crore
FY 17-18 - Rs. 2.1Crore
FY 18-19 - Rs. 2 .2Crore
so Average annual turnover of last preceding 3 fy exceeds (6.5/3) =2.17 Crores hence exceeding threshold and mandatory to convert into private.
CAclubindia
