Section 212 of the companies act, 1956
This query is : Resolved
13 August 2012
Dear All,
This query is with regard the compliance of section 212 of the Companies Act, 1956.
If the laws of the country in which the subsidiary is registered does not require the accounts to be audited mandatorily,
Still is it necessary to get the accounts of subsidiary audited?
Or the signatures of the directors of subsidiary are sufficient on the financials.
Kindly share your views.
This query is with regard the compliance of section 212 of the Companies Act, 1956.
If the laws of the country in which the subsidiary is registered does not require the accounts to be audited mandatorily,
Still is it necessary to get the accounts of subsidiary audited?
Or the signatures of the directors of subsidiary are sufficient on the financials.
Kindly share your views.
13 August 2012
The Ministry of Corporate Affairs, Govt, of India vide its circular 2/2011 dated 28th February 2011 has granted an exemption to the Companies under Section 212(8) of the Companies Act 1956 from attaching accounts along with the report of the Board of Directors as required by Section 212( 1) of the Companies Act 1956 of the Subsidiary Companies to the Balance Sheet of the holding Company .
As far as I know,it is mandatory to get the accounts of subsidiaries audited as the holding Company is in India(come under Companies Act 1956)only thing is it need not require to attach with that of holding Company.
As far as I know,it is mandatory to get the accounts of subsidiaries audited as the holding Company is in India(come under Companies Act 1956)only thing is it need not require to attach with that of holding Company.
13 August 2012
Thanks Anusha,
The circular says that if the consolidated financials are audited by the statutory auditors of the holding company, the balance sheet of subsidiary need not be attached to that of the holding company.
Does this mean that the balance sheet of the subsidiary need not be separately audited?
The circular says that if the consolidated financials are audited by the statutory auditors of the holding company, the balance sheet of subsidiary need not be attached to that of the holding company.
Does this mean that the balance sheet of the subsidiary need not be separately audited?
Message likes :
1 times
13 August 2012
No,,Each Company (subsidiary)should seperately get audited.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Applicability
- Is Aadhar PAN linking required for opening bank account?
- Where to show the RCM on Rent paid to unregistered landlord
- CPC Processing IT Return for AY 2023-24 without recognizing the Taxation Option under New Regime
- TDS NUMBER SURRENDER
- Offsetting interest income against derivative trading losses
- Legal heir raised refund , but refund issued to the closed account of deceased.
- Application of 115BAC
- GSTR-3B - Do I file nil when there is no sale but I've bought raw materials
- RCM - commercial rent paid to URP under GST
- Whether still royalty
- 20% OF DEMAND PAYMENT IN APPEAL
- Issue of gst e invoice
- Interchangeable words in accounts
- Adjusted profit/Loss in the case of LLP and Pvt. Ltd.company
- How to adjusted advances given or receipt
- Foreign vendor without PAN unable to to register due to non receipt of OTP on foreign number ?
- 133(6) DIN INVALID format error - ->WHERE TO REPLY 133(6) notice?
- Query for dubts
- Regarding Resignation by Auditor from Pvt. Ltd.
Trending Online Classes
-
Excel Mastery Program
CA Rishabh Pugalia
CAclubindia
