Small company
As per Section 2(85) of the Companies Act,2013, Small company means a company, other than a public company-
a. Paid up share capital does not exceed Rs.4 crores or such higher amount as may be prescribed, which shall not exceed Rs.10 Crores.
AND
b. Turnover of which as per profit and loss account for the immediately preceding financial year does not exceed Rs.40 Crores or such higher amount as may be prescribed which shall not be more than 100 crores.
Provided that nothing in this clause shall apply to-
(A) A holding company or a subsidiary company.
(B) A company registered under section 8.
(C) A company or body corporate governed by a special act.
| Small company | Paid up share capital
Does NOT exceed |
Turnover as per immediately preceding financial year profit and loss account Does NOT exceed |
|---|---|---|
| From 15/September/2022 | Rs.4 Crores | Rs.40 Crores |
| From 01/April/2021 | Rs.2 Crores | Rs.20 Crores |
| Prior to 01/April/2021 | Rs.50 Lakhs | Rs.2 Crores |
Amendments Timeline –Small company definition
Paid up share capital not exceeding Rs.4 Crores and Turnover as per profit and loss account for the immediately preceding financial year not exceeding Rs.40 Crores.
Paid up share capital not exceeding Rs.2 Crores and Turnover as per profit and loss account for the immediately preceding financial year not exceeding Rs.20 Crores.
