What is Section 12 of Companies Act?

What is Section 12 of Companies Act?

[(1) A company shall, 10[within thirty days of its incorporation] and at all times thereafter, have a registered office capable of receiving and acknowledging all communications and notices as may be addressed to it.]

Will companies benefit from the Companies Amendment Bill 2020?

The Amendment seeks to align the aforesaid provisions to independent directors/non-executive directors to the effect that in case a company has no profits or its profits are inadequate, then non- executive directors, including an independent director, will be entitled to receive remuneration up to the extent …

What does section 12 of Companies Act 1956 deals with?

(1) Any seven or more persons, or where the company to be formed will be a private company, any two or more persons, associated for any lawful purpose may, by subscribing their names to a memorandum of association and otherwise complying with the requirements of this Act in respect of registration, form an incorporated …

Which two types of companies were introduced under the Companies Act 2013?

Different Types of Companies under Companies Act 2013

  • Statutory Companies.
  • Registered Companies.
  • Companies Limited by Shares.
  • Companies Limited by Guarantees.
  • Unlimited Liability Companies.
  • Public Limited Company.
  • Private Limited Company.
  • One Person Company.

Which company is not required to hold AGM?

All companies except one person company (OPC) should hold an AGM after the end of each financial year.

What is constructive notice of memorandum?

In companies law the doctrine of constructive notice is a doctrine where all persons dealing with a company are deemed (or “construed”) to have knowledge of the company’s articles of association and memorandum of association. The doctrine of indoor management is an exception to this rule.

Why do companies amend the 2020 Act?

The Companies Amendment Bill, 2020 was introduced to amend the Companies Act, 2013 with the intent of improving the ease of doing business in India, de-criminalizing various minor offences and regulating producer companies, amongst other aspects.

What are the changes in companies Act 2020?

The Companies (Amendment) Act, 2020 removes the imprisonment for certain offenses, substitutes fine by penalty in and reduces amount of payable as penalty across the board. In certain minor omissions, etc. penal consequence has been omitted.

What is company Act 1956 explain it in detail?

The Companies Act 1956 was an Act of the Parliament of India, enacted in 1956, which enabled companies to be formed by registration, and set out the responsibilities of companies, their directors and secretaries.

Which type of company was introduced by the Companies Act 2013?

5. One Person Company: The Indian Companies Act 2013 provides new form of private company, i.e. one person company is introduced. It includes only one director and one shareholder. In case of a private company, minimum 2 shareholders and 2 directors were included.

Which of the following type of companies was introduced in Companies Act, 2013?

Registered Companies: Companies registered under the CA, 2013 or under any previous Company Law are called registered companies. Such companies comes into existence when they are registered under the Companies Act and a certificate of incorporation is granted to it by the Registrar.

When does section 12 of the Companies Act come into force?

Section 12 of the Companies Act, 2013 has been notified by the Ministry of Corporate Affairs (MCA) vide Notification No. S.O. 902 (E) issued dated 27.03.2014. This notification was come into force from 1st April, 2014 i.e. the commencement date of section 12 is 1-4-2014. Download all sections of the Companies Act 2013 in PDF.

Who is allowed to invest in a Section 12J company?

The taxpayer is then allowed to deduct their full investment against their taxable income in the relevant tax year. The tax benefit which arises from Section 12J is thus an incentive for taxpayers to invest indirectly in SMEs. Who are allowed to invest in a Section 12J Company? Any taxpayer qualifies to invest in an approved VCC.

Why was Section 12J added to the Income Tax Act?

Section 12J was introduced into the Income Tax Act in July 2009 to provide individuals, companies and trusts with a tax incentive to invest in venture capital companies (VCCs), which fund small and medium-sized enterprises that are believed to have long-term growth potential in economic sectors that are often hard-pressed for financing.

How are venture capital companies regulated under Section 12J?

The Company is a registered Venture Capital Company under Section 12J of the Income Tax Act. In order to obtain this registration, the Company had to acquire an FSB license and register with SARS. The Company is thus regulated by the FSB and by SARS specifically for the compliance with the Section 12J requirements.