Consolidated Financial Statements – Schedule III Companies Act 2013

Articles discuss Consolidated Financial Statements – Schedule III Companies Act 2013,

GENERAL INSTRUCTIONS FOR THE PREPARATION OF CONSOLIDATED FINANCIAL STATEMENTS

1. Where a company is required to prepare Consolidated Financial Statements, i.e., consolidated balance sheet and consolidated statement of profit and loss, the company shall mutatis mutandis follow the requirements of this Schedule as applicable to a company in the preparation of balance sheet and statement of profit and loss. In addition, the consolidated financial statements shall disclose the information as per the requirements specified in the applicable Accounting Standards including the following:

(i) Profit or loss attributable to ―minority interest‖ and to owners of the parent in the statement of profit and loss shall be presented as allocation for the period.

(ii) ―Minority interests‖ in the balance sheet within equity shall be presented separately from the equity of the owners of the parent.

2. In Consolidated Financial Statements, the following shall be disclosed by way of additional information:

Format for Disclosure of Consolidated Financial Statements

Name of the Entity in the	Net Assets, i.e., Total Assets minus Total Liabilities	Share in Profit or Loss
As % of consolidated net assets	Amount	As % of consolidated profit/ loss	Amount
net assets
1	2	3	4	5
Parent
Subsidiaries
Indian
1.
2.
3.
.
.
Foreign
1.
2.
3.
.
.
Minority Interest in all subsidiaries
Associates (Investment as per
the equity method)
1.
2.
3.
.
.
Foreign
1.
2.
3.
.
.
Joint Ventures (as per
proportionate consolidation/
investment as per the equity
method)
Indian
1.
2.
3.
.
.
Foreign
1.
2.
3.
.
.
Total

3. All subsidiaries, associates and joint ventures (whether Indian or foreign) will be covered under consolidated financial statements. Consolidated Financial Statements – Schedule III Companies Act 2013.
4. An entity shall disclose the list of subsidiaries or associates or joint ventures which have not been consolidated in the consolidated financial statements along with the reasons of not consolidating

Amendments

1. Substituted by Notification dated 4th September, 2015.

Under the heading “Equity and Liabilities”, in para (4),

For,”(b) Trade payables.”

the following shall be substituted, namely: –

“(b) Trade Payables: –

(A) total outstanding dues of micro-enterprises and small enterprises; and

(B) total outstanding dues of creditors other than micro-enterprises and small enterprises.”.

2. Inserted by Notification dated 4th September, 2015.
3. Substituted by Notification dated 6th April, 2016.

In Schedule III, for the heading.

“General instructions for preparation of Balance Sheet and Statements of Profit and Loss of a Company.”

the following shall be substituted, namely: –

“Division I

Financial Statements for a company whose Financial Statements are required to comply with the Companies (Accounting Standards) Rules, 2006.