Section 82-84

Sections 82-84 of the Company Act 2063 provide for the joint stock company to maintain proper records and books of accounts and prepare and present the final accounts of their business operations.

Section 82 of the Act requires that every company shall have to keep at its registered office proper records and books of accounts of all sums of money received and paid, all purchase and sale of goods, the assets and liabilities in Nepali under the double entry system. They may also present translated version of the company accounts prepared in Nepali.

According to Section 83 of the Act, every public limited company must maintain its accounts under the double entry system, and prepare annually the profit and loss account, Balance sheet and Cash flow report 30 days prior to its Annual General Meeting (AGM). In case of a private limited company, the accounts are to be prepared within 60 days of the end of accounting period.

Section 84 of the Act provides that the company shall have to prepare a Balance sheet in a prescribed form that depicts the true position of its assets, liabilities and the shareholders’ equity.