Sec 52 of companies act 2013 Securities premium: A company - TopicsExpress



          

Sec 52 of companies act 2013 Securities premium: A company can issue shares at a premium whether for cash or otherwise and the sum equal to premium is transfered to account called securities premium account. Securities premium account can be used for following 1. Bonus shares 2. Writing of preliminary expenses 3. Writing off expenses, discount, commission paid, for issue of shares or debentures 4. Premium payable on redemption of preference shares or debentures. 5. Buy back of shares Notwithstanding anything contained above for certain class of companies as may be prescribed and whose financial statements comply with sec 133 accounting standards shall use only for 1. Bonus shares 2. Writing off expenses, discount, commission paid, for issue of shares or debentures . 3. Buy back of shares Thank you Ashok
Posted on: Thu, 08 Jan 2015 15:32:48 +0000

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