Direct Tax Laws & International Taxation - May 2018 MTP

Section 244 of the Companies Act, 2013 provides the eligibility of members who hold the right to file the application under section 241 for oppression and mismanagement with the Tribunal. These qualification as provided in section 244 ensure that only the persons with sufficient interest in the affairs of the company can file the petition under section 241 of the Act. According to the section in the case of a company not having a share capital, not less than one-fifth…

(a) According to the Section 248(2) of the Companies Act, 2013, a company may, after extinguishing all its liabilities, by a special resolution, or consent of seventy-five per cent. members in terms of paid-up share capital, file an application in the prescribed manner to the Registrar for removing the name of the company from the register of companies on all or any of the grounds specified in subsection (1) and the Registrar shall, on receipt of such application, cause a…

(a) The given problem will be dealt with section 212 read with the Companies (Arrests in connection with Investigation by Serious Fraud Investigation Office) Rules, 2017. According to section 212(1), where Central Government is of the opinion, that it is necessary to investigate into the affairs of a company by the Serious Fraud Investigation Office, the Central Government may, by order, assign the investigation into the affairs of the said company to the Serious Fraud Investigation Office and its Director…

(a) (1) In accordance with the provisions of the Companies Act, 2013, as contained under section 129(3) and (4): Where a company has one or more subsidiaries, it shall, in addition to its own financial statements prepare a consolidated financial statement of the company and of all the subsidiaries in the same form and manner as that of its own. The consolidated financial statements shall also be laid before the AGM of the company along with the laying of its…

According to the Banking Regulation (Amendment) Act, 2017 vide Notification dated 25 th August, 2017 w.e.f. 4th May 2017, Section 35AA have been inserted. This section deals with the Power of Central Government to authorise Reserve Bank for issuing directions to banking companies to initiate insolvency resolution process. According to the section, the Central Government may, by order, authorise the Reserve Bank to issue directions to any banking company or banking companies to initiate insolvency resolution process in respect of…

Rule 11 of the Companies (Registered Valuers and Valuation) Rules, 2017, which deals with the transitional arrangements. It states that any person who may be rendering valuation services under the Act, on the date of commencement of these rules, may continue to render valuation services without a certificate of registration under these rules up to 31st March, 2018. Provided that if a company has appointed any valuer before such date and the valuation or any part of it has not…

(a) As per the regulation 7 of the Foreign Exchange Management (Acquisition and Transfer of Immovable Property in India) Regulations, 2000, no person being a citizen of Pakistan, Bangladesh, Sri Lanka, Afghanistan, China, Iran, Nepal, Bhutan, Macau or Hong Kong without prior permission of the Reserve Bank shall acquire or transfer immovable property in India, other than lease, not exceeding five years. Since in the given case, Mr. Xing Yang transferred his immovable property in India on lease for more…

(a) Samrat Ltd. has an undertaking (Unit-A) in Special Economic Zone (SEZ) and another undertaking (Unit- B) in Free Trade Zone (FTZ) for developing computer software. It furnishes the following particulars for its 3 rd year of operations ended on 31st March, 2018: Unit A Unit B ` (In lacs) ` (In lacs) Total Sales: 150 100 Export Sales : 125 10 54 36 (Inclusive of ` 15 lacs for onsite development of computer software outside India by Unit A)…