safeguards; (d) to provide for transfer of certain sums to the capital redemption reserve account when a company purchases its own share out of free ... Central Government. 3. The corporate sector is going through difficult times. The capital market is also at low ebb, which requires immediate morale boosting efforts
dividend, be transferred to a reserve fund, to be called the capital redemption reserve account, a sum equal to the nominal amount of the shares ... share capital of a company shall, except as provided in this section, apply as if the [capital redemption reserve account] [ Substituted
redemption reserve" are includible in computing the capital base. According to the assessee, capital redemption reserve falls under "other reserves" mentioned ... nature of share capital. For the above reasons, we agree with the Tribunal that the capital redemption reserve should be taken into account while determining
free reserves; (ii) the securities premium account; or (iii) the capital redemption reserve account: Provided that no issue of bonus shares shall be made
reduction of share capital of a company shall, except as provided in this section, apply as if the Capital Redemption Reserve Account were paid ... case may be, a reduction, in the share capital of the company. (4) The capital redemption reserve account may, notwithstanding anything in this section
Companies Act, 2013
69. Transfer of certain sums to capital redemption reserve account.—
(1) Where a company purchases its own shares out of free reserves ... value of the shares so purchased shall be transferred to the capital redemption reserve account and details of such transfer shall be disclosed
Companies Act, 1956
77AA. Transfer of certain sums to capital redemption reserve account .-
Where a company purchases its own shares out of free reserves, then ... value of the share so purchased shall be transferred to the capital redemption reserve account referred to in clause (d) of the proviso
that form, capital redemption reserve is shown as item (2) under the head "Reserves and Surplus". Any reserve that is created under ... called capital redemption reserve. In the instant cases, however, the assessee has called the reserve in question as the preference share capital redemption reserve. Even
included in its capital a sum of Rs. 4,41,900 shown in its balance-sheet as its capital redemption reserve. The ITO excluded this ... share capital of a company shall, except as provided in this section, apply as if the capital redemption reserve account were paid-up share capital
further observed
that the reserves aggregating to Rs. 1.80 crores, viz. Capital Redemption
Reserve (Rs. 0.05 crores) and Share Premium Account (Rs. 1.75 crores)
were ... Capital Advisors P. Ltd. vs. DCIT
ITA Nos. 7472 -7474/Mum/2016
DCIT vs. Anand Rathi Capital Advisors P. Ltd
viz. Capital Redemption Reserve
