Follow Us :

section 185

Latest Articles


Section 185 Companies Act 2013: Prohibitions on Loans to Directors & Others

Company Law : "Learn about the prohibitions and restrictions under Section 185 of the Companies Act, 2013, regarding loans to directors, relativ...

July 24, 2023 8598 Views 0 comment Print

Understanding Section 185 of Companies Act 2013: A Comprehensive Overview

Company Law : Among the provisions outlined in the act, Section 185 has garnered substantial attention due to its impact on loans and advances t...

June 24, 2023 4338 Views 0 comment Print

Section 185 of Companies Act, 2013: Exemptions and Examples

Company Law : Explore Section 185 of the Companies Act, 2013, its exemptions, and practical examples. Learn when Section 185 is not applicable, ...

June 12, 2023 27456 Views 0 comment Print

Loan to Directors as per Companies Act 2013

Company Law : Section 185 of the Companies Act 2013 Specifically provides about the Provisions related to Loan to directors by the company. In t...

June 4, 2023 43701 Views 0 comment Print

Section 185 of Companies Act 2013: A Detailed Overview

Company Law : Section 185 of the Companies Act is like a rule book that tells grown-ups who run big lemonade stands (called companies) what they...

February 7, 2023 6729 Views 4 comments Print


Latest Judiciary


Section 40A(3): Calcutta HC allows cash Payments to Labourers Under Rs. 20,000

Income Tax : Calcutta High Court ruling states payments by supervisors to individual labourers, each not exceeding Rs. 20,000, cannot be disall...

April 12, 2024 4110 Views 0 comment Print

Addition of Notional Interest on Advances to Related Parties Unsustainable due to availability of sufficient interest free funds

Income Tax : ITAT Mumbai held that addition of notional interest on advances to related parties (i.e. the directors and sister concern/related ...

July 18, 2023 1800 Views 0 comment Print

SC held liability to discharge arrears of property tax & water tax inspite of being post-liquidation liability

Corporate Law : Conclusion: Arrears of property tax and water tax until the date of confirmation of sale, i.e., 04.07.2003, would qualify as the e...

May 25, 2023 1518 Views 0 comment Print


Latest Notifications


Loans & advances to employees – Applicability of Section 185 / 186 of Companies Act, 2013

Company Law : The issue has been examined and it is hereby clarified that loans and/or advances made by the companies to their employees, other ...

March 10, 2015 94837 Views 0 comment Print


Detailed Analysis of Section 185 – Loan to Directors

June 2, 2021 4173 Views 1 comment Print

SECTION-185 ⇓ LOAN, GUARANTEE OR PROVIDING SECURITY TO DIRECTORS, ETC. OBJECTIVE OF SECTION 185 ⇓ To Prevent the directors from using their undue influence in obtaining Loan From their Own Company either for themselves or for their relatives or partners. APPLICABILITY OF SECTION 185 ⇓ This Section Shall be Applicable to ALL COMPANIES Except:- Certain […]

Company Law Section 185- Prohibition, Restriction Exemption & Penalty

May 7, 2021 2937 Views 0 comment Print

Section 185 of the Companies Act, 2013 regulates the provisions relating to grant of loans to directors of the company. Article explains Prohibition on grant of loans to directors  under section Section 185 (1), Restriction under Section 185(2) on grant of loans to directors of the company, Exemption under Section 185(3) against on grant of […]

Analysis of Section 184, 185 and 186 of Companies Act, 2013

November 21, 2020 60132 Views 1 comment Print

Disclosure of Interest by Director under Section 184, Loan to Director under Section 185 and Loan and Investment under Section 186 of the Companies Act, 2013. This Article aims to bring a clear vision on the Disclosure of Interest by Director under Section 184, Loan to Director under Section 185 and Loan and Investment under […]

Loan to Directors| Section 185 Provisions | Companies Act, 2013

September 10, 2020 2955 Views 0 comment Print

Legal Provision:- Section No. 185: 1. No company shall, directly or indirectly, give advance any loan, including any loan represented by a book debts to or give any guarantee or provide any security in connection with any loan taken by- Any director of company or of a company which is its holding company or any […]

Provisions of Loan from Directors under Companies Act, 2013

August 14, 2020 340779 Views 6 comments Print

Before jumping into the main discussion, let us have a look into the important term as under: Loans is not defined anywhere in the Companies Act, 2013. However, in normal parlance, any transaction in which money is given with the intention to be returned either with or without interest is termed as loan. Deposits include […]

Loan to Director under Companies Act, 2013

July 27, 2020 6024 Views 0 comment Print

Loan to Directors under Companies Act, 2013 1. Section 185(1) Prohibition No company shall give, advance any loan, including any book debts to, or provide any security or give  any guarantee in connection with any loan taken by- a. any director of company, or of a company which is its holding Company or any partner […]

Section 185 – Loan to Directors- An Overview

July 17, 2020 6015 Views 0 comment Print

♦ Purpose of the provisions of Section 185:  To address the difficulties being faced in genuine transactions due to the complete embargo on providing loans to subsidiaries with common directors, the companies are permitted to give loans to entities in which directors are interested after passing special resolution and adhering to disclosure requirements. This would […]

Loan to Directors by Companies – Section 185

June 29, 2020 13626 Views 1 comment Print

Loan to Directors, etc. Section 185 of Companies Act, 2013, explains the provisions related to loans or advances to directors or any security provided in connection with any loan taken by him or his relative either directly or indirectly by the company and also the punishment for contravention of the provisions of this section. The […]

Summary of section 185 of Companies Act, 2013: Loan to Directors

May 31, 2020 4044 Views 0 comment Print

The summary of the provision related to Loan to Directors as per section 185 of the Companies Act, 2013 is given below: A. Compliance required: Section 185(1) 185(2) Facility Provide Loan, Give Guarantee or Provide Security Provide Loan, Give Guarantee or Provide Security Lender Any Other Company Any Other Company Borrower a) Its director b) […]

Section 185- Loan, Guarantee & Security to Director & related parties

May 31, 2020 3900 Views 4 comments Print

1. Objective of Section 185 of Companies Act, 2013:- In order to prevent Directors and their related persons to derive out the funds of the company by way of presenting loan with an intention to not to repay such amount subsequently. Hence that loan becomes non performing asset for the company. 2. Legal Provisions of […]