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Budget breather for 'small companies', LLPs and one-person companies

More than 200,000 companies will have reduced compliance burden following a change in the definition of small companies announced in the Union Budget 2021-22 in terms of fewer compliances, and lower filing fees and penalties. The budget has raised the threshold of paid-up capital for small companies from Rs 50 lakh to Rs 2 crore and turnover from Rs 2 crore to Rs 20 crore. Companies falling under this definition would not have to prepare cash flows as part of financial statements and would ...
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