Section 186
neha (CS) (30 Points)
27 June 2016
For calculation of free reserve rent equalisation reserve is consider or not
2 Replies
CA Harshal Totla
(Chartered Accountant)
(2229 Points)
Replied 27 June 2016
“free reserves” means such reserves which, as per the latest audited balance
sheet of a company, are available for distribution as dividend:
Provided that—
(i) any amount representing unrealised gains, notional gains or revaluation
of assets, whether shown as a reserve or otherwise, or
(ii) any change in carrying amount of an asset or of a liability recognised
in equity, including surplus in profit and loss account on measurement of the
asset or the liability at fair value,
shall not be treated as free reserves
sheet of a company, are available for distribution as dividend:
Provided that—
(i) any amount representing unrealised gains, notional gains or revaluation
of assets, whether shown as a reserve or otherwise, or
(ii) any change in carrying amount of an asset or of a liability recognised
in equity, including surplus in profit and loss account on measurement of the
asset or the liability at fair value,
shall not be treated as free reserves
Recent Topics
- Avoiding tax audit in case of intraday equity loss
- Form 3CEAB
- Form 3CEAA and Form 3CEAB
- DIR 3 Web KYC
- Can i declare LTCG income as business income if I
- Stock entry in new software
- I have an EMI collection shop, what is its SAC cod
- Making payment once in quarter possible under QRMP
- Master File Documentation related
- Applicability of 44AD needs clarification
Related Threads
CAclubindia
