Calls in advance is presented under which of the following head and sub-head in the Balance Sheet of a company as per Schedule III, Part I of the Companies Act, 2013?

Correct option is C

As per Schedule III, Part I of the Companies Act, 2013, Calls in Advance is shown under Current Liabilities → Other Current Liabilities.
Calls in Advance arise when shareholders pay amounts before they are actually due. Since the company is obligated to refund or adjust this amount against future calls within the upcoming operating cycle, it is treated as a current liability and not as share capital.
The amount cannot be treated as equity because it has not yet been called and does not confer rights associated with share capital. The company must also pay interest on calls in advance (if provided in Articles of Association), which reinforces its liability nature.
Thus, the correct classification is: Current Liabilities → Other Current Liabilities, making option (c) the correct answer.
Information Booster
1. Calls in advance do not form part of share capital until they are actually called.
2. Interest on calls in advance is paid at the rate specified in the Articles of Association (usually up to 6% p.a.).
3. Calls in advance cannot be used to declare dividends, as it is not share capital.
4. It is expected to be settled within the next 12 months, hence classified under current liabilities.
5. It appears in the Notes to Accounts under the heading Other Current Liabilities