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What is 'Financial Year'

(Guest)

What is Financial Year as per The Companies Act, 1956.

I have heard that the same has been changed to April to March format, as same as Income Tax.

Please clarify it.

With Warm Regards,
Kunal Agrawal.

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CS Arpita Rajpurohit (Company Secretary) (1111 Points)
Replied 20 February 2009

Section 2 of CA,1956 DEFINES:

"financial year" means, in relation to any body corporate, the period in respect of which any profit and loss account of the body corporate laid before it in annual general meeting is made up, whether that period is a year or not;

Provided that, in relation to an insurance company, "financial year" shall mean the calendar year referred to in sub-section (1) of section 11 of the Insurance Act, 1938 (4 of 1933);