Company Law : Step-loans can unintentionally violate Section 185 by creating indirect loans to directors. Companies often overlook how layered t...
Company Law : Section 185 of Companies Act, 2013 goes beyond just regulating loans to directors—it encompasses a broader spectrum of transacti...
Company Law : "Learn about the prohibitions and restrictions under Section 185 of the Companies Act, 2013, regarding loans to directors, relativ...
Company Law : Among the provisions outlined in the act, Section 185 has garnered substantial attention due to its impact on loans and advances t...
Company Law : Explore Section 185 of the Companies Act, 2013, its exemptions, and practical examples. Learn when Section 185 is not applicable, ...
Income Tax : The dispute concerned cancellation of IDS benefits due to non-payment. The Tribunal held that once IDS lapses, undisclosed income ...
Income Tax : The ITAT Mumbai deleted Rs. 10.84 crore addition made under Section 68, ruling that the assessee had properly documented loans and...
Corporate Law : Bombay High Court quashed reassessment proceedings initiated using data from a valid IDS declaration, holding that once accepted u...
Income Tax : Calcutta High Court ruling states payments by supervisors to individual labourers, each not exceeding Rs. 20,000, cannot be disall...
Income Tax : ITAT Mumbai held that addition of notional interest on advances to related parties (i.e. the directors and sister concern/related ...
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 ...
Section 185 of the Companies Act, 2013 states that no company is allowed to make, advance any loan, that includes the loan to constituted by a book debt to, or provide any guarantee or give any security relatedany loan taken by,— 1. Any director of company, or of a company that is its holding company […]
Practical application of Section 185 and Section 186 of Companies Act,2013 read with Section 2(22)(e) of Income Tax Act, 1961 and consequences on non- compliance’s of these sections. Let’s summarise these sections and understand the provision of relevant acts. Section 186 of Companies Act,2013 – Whether Loan, advance or guarantee is allowed to Directors or […]
Prohibitions, Relaxations, and exemption in case of Loan transactions entered into by the company. The very routine transactions which almost all companies are willing to make for the rotation of money or whatsoever purpose it may be. There are four subsections of section 185 of the companies act 2013. Section 185 (1) :- No company […]
CONCEPTUAL ANALYSIS SERIES – I 185. Loan to Directors, etc. (1) No company shall, directly or indirectly, advance any loan, including any loan represented by a book debt to, or give any guarantee or provide any security in connection with any loan taken by,— (a) any director of company, or of a company which is its holding company […]
This article will help you to get to know about the provisions related to the loans to Director in accordance with the Companies Act 2013. Sec- 185 of Companies Act, 2013 deals with the provisions of loans to Director. Loan to Director- Section 185(1) of the Act states that a Company cannot – Advance loan directly or indirectly, […]
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 […]
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 […]
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 […]
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 […]
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 […]
