Section 2(9) of the Companies Act, 1956 define the expression “Branch Office” in relation to company means: (a) Any establishment described as branch by the company; (b) Any establishment carrying on either the same or substantially the same activity as that carried on by the head office of the company; or (c) Any establishment engaged in the production, processing or manufacture, But does not include any establishment specified in any order made by Central Government under section 8.
Vide Circular F.No. 8/16(1)/61-PR, the term “Branch Office” includes any establishment engaged in any production, processing or manufacture. Branch office of a company registered under the Companies Act, 1956 may be located in India or elsewhere.
Appointment of Auditor
Where a company has a branch office, the accounts of that office shall be audited by the company’s auditor appointed u/s 224 or by a person qualified as auditor of the company u/s 226 of the Companies Act.
08 October 2010
THANK YOU SIR FOR REPLYING ME AND GUIDING ME. I WANT TO FURTHER ASK THAT WHETHER THERE IS ANY OTHER FINANCIAL CRITERIA LIKE TURNOVER AT SUCH BRANCH OFFICE, OR ALIKE NATURE?
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