Consolidation of Accounts
A Company was having 31% holding in B Company as at 31 March 2015.A Company was not having any control on activities of B Company. Hence no consolidation was required under AS 21 and consolidation under Companies act 2013 was deferred till 31 March 2016.
But in FY 2015-16, A Company has sold its holding to third party and A Companies holding in B Company reduced to 1% as at 31 March 2016.
Whether consolidation under Comapanies act 2013 will be required for FY 2015-2016?
No. Consolidation shall not be required for FY 2015-16.