Which is not compulsory for Joint Stock Company?

Registration of Joint Stock Company is not compulsory.

For which company registration is compulsory?

Association or partnership firm having more than 100 persons for any business must mandatorily be registered as a company.

Is audit of Joint Stock Company compulsory?

Companies formed and registered under the Companies Act, 1956 have to compulsorily audit its books of accounts as the owners (shareholders) and the management of the company is different. …

What is required for Joint Stock Company?

A joint-stock company must be incorporated, has an independent legal personality and limited liability, and is required to have a certain capital upon incorporation.

Under which law are the joint stock companies regulated in India?

In the year 1850, taking the English Joint Stock Companies Act 1844 as a base, a provision was made for registration of joint stock companies in India. The Act consolidated and amended the law relating to incorporation, regulation and winding-up of trading companies and other associations.

Which audit is compulsory for joint stock company?

Hence, according to the companies Act, 1956, the compulsory audit of every Joint Stock Company is mandatory and therefore, an auditor is to be appointed to do the job and submit his report to the shareholders of the Company.

Which audit is compulsory for all joint stock companies?

statutory audit
6102 (“TCC”), all joint stock companies are subject to statutory audit. Said article stipulates that statutory audit is conducted pursuant to article 398 of the TCC and the relevant regulation (“Regulation”) to be introduced by Ministry of Customs and Trade and the Council of Ministers, as the case may be.

Why is the necessity of joint stock company?

Joint-stock companies allow a solid business to form and thrive with many working together. Each shareholder invests in the company and is able to benefit from the business. Every shareholder owns a piece of the company, up to the amount that they’ve invested. Ownership comes with additional privileges.

What is required to register a company in India?

If you intend to register a new company in India, you must submit an application to the Ministry of Corporate Affairs (MCA). You make the application online at the MCA portal remotely too. For registration, you’ll need a Digital Signature Certificate(DSC), and Director Identity Number(DIN), among other things.

Is the Certificate of incorporation of joint stock company compulsory?

On getting the Certificate of Incorporation, the company gets an independent legal existence i.e., it becomes a corporate body. An unregistered organisation or association has no corporate existence and hence it cannot be called a ‘company’. Hence, registration of the Joint Stock Company is compulsory.

Is the registration of a company compulsory to start a business?

Registration of the company is optional not compulsory. One can start the business with other ways also rather than registering like acquiring tax license, service tax registration. Was this answer helpful?

What is a jointjoint stock company?

Joint stock company is a type of business organization that is owned by its investors. In a joint stock company the company stock can be bought and sold by the shareholders. Shareholders should be having possession of at least 1 stock of the company in order to be counted as a partial owner.

Is a joint stock company a legal entity?

Separate Legal Entity – A joint stock company is an individual legal entity, apart from the persons involved. It can own assets and can because it is an entity it can sue or can be sued. Whereas a partnership or a sole proprietor, it has no such legal existence apart from the person involved in it.