CA Rahul Agrawal (Deputy Manager) (81 Points)
08 September 2012A private Limited Company has share application money more than its authorized capital. The company wants to converts this share application money in to loans. Can the company do this?
If yes, please explain the procrdure & requirements under "The Companies Act, 1956" and also the required disclosure in the financial statements under revised schedule VI.
Ganeshbabu K
(Audit and Tax Advisory)
(48564 Points)
Replied 08 September 2012
share application money pending allotment has to show as a separate line item in eq&liabilites
CAclubindia
