Whether a private Company having paid-up share capital of rupees 45 lakhs and turnover of Rs. 20 crores as ......

Dear Friend, as far as your query is concerned that Whether a private Company having paid-up share capital of rupees 45 lakhs and turnover of Rs. 20 crores as per last audited balance sheet will be treated as small company? Let me informed that It is not a small company. Section 2(85) defines a small company as a company other than a public company— (i) paid-up share capital of which does not exceed fifty lakh rupees or such higher amount as may be prescribed which shall not be more than five crore rupees; or (ii) turnover of which as per its last profit and loss account does not exceed 2 crore rupees or such higher amount as may be prescribed which shall not be more than twenty crore rupees: Provided that nothing in this clause shall apply to— (A) a holding company or a subsidiary company; (B) a company registered under section 8; or (C) a company or body corporate governed by any special Act. This means that a private company shall not be covered in the definition of small company if either its paid up share capital exceeds Rs. 50 lakhs or its turnover exceeds Rs. 2 crores. Since the turnover of this company is more than Rs 2 crores i.e. Rs. 20 Crores, it will not be a small company. Hope answer was helpful to you Regards, Arjun Pratap Singh