The Ministry of Corporate Affairs has notified the Companies (Acceptance of Deposits) Amendment Rules, 2020 whereby Rule 2 (c) (xvii) of the said rule has been amended. Now, start-up Cos. who have accepted Rs. 25 lakhs or more by way of convertible note may convert into equity or repay within 10 years from the date of issue in a single tranche. Earlier time period for conversion into equity or repayment was 5 years.The Ministry of Corporate Affairs has notified the Companies (Acceptance of Deposits) Amendment Rules, 2020 whereby Rule 2 (c) (xvii) of the said rule has been amended. Now, start-up Cos. who have accepted Rs. 25 lakhs or more by way of convertible note may convert into equity or repay within 10 years from the date of issue in a single tranche. Earlier time period for conversion into equity or repayment was 5 years.taxmann.com Latest Statutory HappeningsRead More
