Companies Act section 2: Sub-item (a) omitted by Notification No. G.S.R. 207(E),…

In force · As amended up to 2026-08

(1) Advances other than capital advances shall be classified as: - (a) Security Deposits; - (b) Advances to related parties (giving details thereof); - (c) Other advances (specify nature). 2. Ins. by Notification No. G.S.R. 207(E), dated 24th March, 2021, (w.e.f. 1-4-2021). - (a) interest Income; - (b) dividend Income; and - (c) other non-operating income (net of expenses directly attributable to such income). (2) Advances to directors or other officers of the company or any of them either severally or jointly with any other persons or advances to firms or private companies respectively in which any director is a partner or a director or a member should be separately stated. (ii) Others (specify nature) C. Cash and Bank balances: The following disclosures with regard to cash and bank balances shall be made: (a) Earmarked balances with banks (for example, for unpaid dividend) shall be separately stated. (b) Balances with banks to the extent held as margin money or security against the borrowings, guarantees, other commitments shall be disclosed separately. (c) Repatriation restrictions, if any, in respect of cash and bank balances shall be separately stated. D. Equity - I. Equity Share Capital: For each class of equity share capital: (a) the number and amount of shares authorised; (b) the number of shares issued, subscribed and fully paid, and subscribed but not fully paid; (c) par value per share; (d) a reconciliation of the number of shares outstanding at the beginning and at the end of the period; (e) the rights, preferences and restrictions attaching to each class of shares including restrictions on the distribution of dividends and the repayment of capital; 2. Heading K and the entries relating thereto omitted by Notification No. G.S.R. 207(E), dated 24th March, 2021, (w.e.f. 1-4-2021). *Promoter here means promoter as defined in the Companies Act, 2013. (ii) The Company shall disclose as to whether the fair value of investment property (as measured for disclosure purposes in the financial statements) is based on the valuation by a registered valuer as defined under rule 2 of Companies (Registered Valuers and Valuation) Rules, 2017. (iii) Where the Company has revalued its Property, Plant and Equipment (including Right-of-Use Assets), the company shall disclose as to whether the revaluation is based on the valuation by a registered valuer as defined under rule 2 of Companies (Registered Valuers and Valuation) Rules, 2017. (iv)Where the company has revalued its intangible assets, the company shall disclose as to whether the revaluation is based on the valuation by a registered valuer as defined under rule 2 of Companies (Registered Valuers and Valuation) Rules, 2017. (v) The following disclosures shall be made where Loans or Advances in the nature of loans are granted to promoters, director, KMPs and the related parties (as defined under Companies Act, 2013), either severally or jointly with any other person, that are: (a) repayable on demand; or (b) without specifying any terms or period of repayment, 2. 2. The Explanation ins. by s. 11, ibid. (w.e.f. 29-5-2015). 3. Subs. by vide Notification No. S.O. 1303(E), for sub-section (7) (w.e.f. 24-3-2021). (e) the amount lying in the Investor Education and Protection Fund under section 205C of the Companies Act, 1956 (1 of 1956); (f) the interest or other income received out of investments made from the Fund; (g) the amount received under sub-section (4) of section 38; (h) the application money received by companies for allotment of any securities and due for refund; (i) matured deposits with companies other than banking companies; (j) matured debentures with companies; (k) interest accrued on the amounts referred to in clauses (h) to (j); (l) sale proceeds of fractional shares arising out of issuance of bonus shares, merger and amalgamation for seven or more years; (m) redemption amount of preference shares remaining unpaid or unclaimed for seven or more years; and (n) such other amount as may be prescribed: Provided that no such amount referred to in clauses (h) to (j) shall form part of the Fund unless such amount has remained unclaimed and unpaid for a period of seven years from the date it became due for payment. (3) The Fund shall be utilised for— (a) the refund in respect of unclaimed dividends, matured deposits, matured debentures, the application money due for refund and interest thereon; 2. Item (a) omitted by Notification No. G.S.R. 207(E), dated 24th March, 2021 (w.e.f. 1-4-2021). The amounts shall be classified as: - (a) Provision for employee benefits. - (b) Others (specify nature). I.[1] [Property, Plant and Equipment] - (i) Classification shall be given as: - (a) Land; - (b) Buildings; - (c) Plant and Equipment; - (d) Furniture and Fixtures; - (e) Vehicles; - (f) Office equipment; - (g) Others (specify nature). - (ii) Assets under lease shall be separately specified under each class of asset. 2[(iii) A reconciliation of the gross and net carrying amounts of each class of assets at the beginning and end of the reporting period showing additions, disposals, acquisitions through business combinations, amount of change due to revaluation (if change is 10% or more in the aggregate of the net carrying value of each class of Property, Plant and Equipment) and other adjustments and the related depreciation and impairment losses/reversals shall be disclosed separately.] 2. Sub-item (a) omitted by Notification No. G.S.R. 207(E), dated 24th March, 2021, (w.e.f. 1-4-2021). 3. Subs. by ibid ., for "V. Loans" (w.e.f. 11-10-2018). 1. Ins. by Notification No. G.S.R. 207(E), dated 24th March, 2021, (w.e.f. 1-4-2021). 1[VA. Other Financial Assets: This is an all-inclusive heading, which incorporates financial assets that do not fit into any other financial asset categories, such as, Security Deposits.] - VI. Other current assets (specify nature): This is an all-inclusive heading, which incorporates current assets that do not fit into any other asset categories. Other current assets shall be classified as- - (i) Advances other than capital advances 2. Items (a) and (b) omitted by Notification No. G.S.R. 207(E), dated 24th March, 2021, (w.e.f. 1-4-2021). - IV. Provisions: The amounts shall be classified as- - (i) provision for employee benefits; and (ii) others (specify nature). - 1[FA. Trade Payables The following details relating to Micro, Small and Medium Enterprises shall be disclosed in the notes:- - (a) the principal amount and the interest due thereon (to be shown separately) remaining unpaid to any supplier at the end of each accounting year; - (b) the amount of interest paid by the buyer in terms of section 16 of the Micro, Small and Medium Enterprises Development Act, 2006 (27 of 2006), along with the amount of the payment made to the supplier beyond the appointed day during each accounting year; - (c) the amount of interest due and payable for the period of delay in making payment (which have been paid but beyond the appointed day during the year) but without adding the interest specified under the Micro, Small and Medium Enterprises Development Act, 2006; - (d) the amount of interest accrued and remaining unpaid at the end of each accounting year; and - (e) the amount of further interest remaining due and payable even in the succeeding years, until such date when the interest dues above are actually paid to the small enterprise, for the purpose of disallowance of a deductible expenditure under section 23 of the Micro, Small and Medium Enterprises Development Act, 2006. 2. In addition to the perquisites specified in paragraph 1 of this section, an expatriate managerial person (including a non-resident Indian) shall be eligible to the following perquisites which shall not be included in the computation of the ceiling on remuneration specified in Section II or Section III— (a) Children's education allowance : In case of children studying in or outside India, an allowance limited to a maximum of Rs. 12,000 per month per child or actual expenses incurred, whichever is less. Such allowance is admissible up to a maximum of two children. (b) Holiday passage for children studying outside India or family staying abroad: Return holiday passage once in a year by economy class or once in two years by first class to children and to the members of the family from the place of their study or stay abroad to India if they are not residing in India, with the managerial person. (c) Leave travel concession: Return passage for self and family in accordance with the rules specified by the company where it is proposed that the leave be spent in home country instead of anywhere in India. 2. The auditor or the Secretary of the company or where the company is not required to appointed a Secretary, a Secretary in whole-time practice shall certify that the requirement of this Schedule have been complied with and such certificate shall be incorporated in the return filed with the Registrar under subsection (4) of section 196. PART IV The Central Government may, by notification, exempt any class or classes of companies from any of the requirements contained in this Schedule. 1. Clause (A) omitted by Notification No S.O. 4822(E), dated 12th September, 2018 (w.e.f. 12-9-2018). SCHEDULE VI ( See sections 55 and 186) The term "infrastructural projects" or "infrastructural facilities" includes the following projects or activities:— (1) Transportation (including inter modal transportation), includes the following:— (a) roads, national highways, state highways, major district roads, other district roads and village roads, including toll roads, bridges, highways, road transport providers and other road-related services; (b) rail system, rail transport providers, metro rail roads and other railway related services; (c) ports (including minor ports and harbours), inland waterways, coastal shipping including shipping lines and other port related services; (d) aviation, including airports, heliports, airlines and other airport related services; (e) logistics services. |Type of Borrower|Amount of loan or advance in the nature of loan outstanding|Percentage to the total Loans and Advances in the nature of loans| |---|---|---| |Promoter||| |Directors||| |KMPs||| |Related Parties||| (vi) Capital-Work-in Progress (CWIP) (a) For Capital-work-in progress, following ageing schedule shall be given: CWIP aging schedule (Amount in Rs.) ||||||(Amount in Rs.)| |---|---|---|---|---|---| |CWIP|Amount in CWIP for a period of||||Total*| ||Less than 1 year|1-2 years|2-3 years|More than 3 years|| |Projects in progress Projects temporarily suspended|||||| *Total shall tally with CWIP amount in the balance sheet. (b) For capital-work in progress, whose completion is overdue or has exceeded its cost compared to its original plan, following CWIP completion schedule shall be given: (Amount in Rs.) ||(Amount in Rs.)|(Amount in Rs.)|(Amount in Rs.)|(Amount in Rs.)| |---|---|---|---|---| |CWIP|To be completed in|||| ||Less than 1 year|1-2 years|2-3 years|More than 3 years| |Project 1||||| ||321|||| Project 2" Details of projects where activity has been suspended shall be given separately. (vii) Intangible assets under development: (a) For Intangible assets under development, following ageing schedule shall be given: Intangible assets under development aging schedule ==> picture [509 x 172] intentionally omitted <== 2. For the purpose of this Schedule, the term depreciation includes amortisation. (f) shares in respect of each class in the company held by its holding company or its ultimate holding company including shares held by subsidiaries or associates of the holding company or the ultimate holding company in aggregate; (g) shares in the company held by each shareholder holding more than five per cent. shares specifying the number of shares held; (h) shares reserved for issue under options and contracts or commitments for the sale of shares or disinvestment, including the terms and amounts; - (i) for the period of five years immediately preceding the date at which the Balance Sheet is prepared- - aggregate number and class of shares allotted as fully paid up pursuant to contract without payment being received in cash; - aggregate number and class of shares allotted as fully paid up by way of bonus shares; and - aggregate number and class of shares bought back; - (j) terms of any securities convertible into equity shares issued along with the earliest date of conversion in descending order starting from the farthest such date; - (k) calls unpaid (showing aggregate value of calls unpaid by directors and officers); - (l) forfeited shares (amount originally paid up). 2[(m) A company shall disclose Shareholding of Promoters* as under: (b) promotion of investors' education, awareness and protection; (c) distribution of any disgorged amount among eligible and identifiable applicants for shares or debentures, shareholders, debenture-holders or depositors who have suffered losses due to wrong actions by any person, in accordance with the orders made by the Court which had ordered disgorgement; (d) reimbursement of legal expenses incurred in pursuing class action suits under sections 37 and 245 by members, debenture-holders or depositors as may be sanctioned by the Tribunal; and (e) any other purpose incidental thereto, in accordance with such rules as may be prescribed: Provided that the person whose amounts referred to in clauses (a) to (d) of sub-section (2) of section 205C transferred to Investor Education and Protection Fund, after the expiry of the period of seven years as per provisions of the Companies Act, 1956 (1 of 1956), shall be entitled to get refund out of the Fund in respect of such claims in accordance with rules made under this section. Explanation.— The disgorged amount refers to the amount received through disgorgement or disposal of securities. (4) Any person claiming to be entitled to the amount referred in sub-section (2) may apply to the authority constituted under sub-section (5) for the payment of the money claimed. (iv) Where sums have been written-off on a reduction of capital or revaluation of assets or where sums have been added on revaluation of assets, every balance sheet subsequent to date of such write-off, or addition shall show the reduced or increased figures as applicable and shall by way of a note also show the amount of the reduction or increase as applicable together with the date thereof for the first five years subsequent to the date of such reduction or increase. J. Intangible assets - (i) Classification shall be given as: - (a) Goodwill; - (b) Brands /trademarks; - (c) Computer software; - (d) Mastheads and publishing titles; - (e) Mining rights; - (f) Copyrights, and patents and other intellectual property rights, services and operating rights; - (g) Recipes, formulae, models, designs and prototypes; - (h) Licences and franchise; - (i) Others (specify nature). 3[(ii) A reconciliation of the gross and net carrying amounts of each class of assets at the beginning and end of the reporting period showing additions, disposals, acquisitions through business combinations, amount of change due to revaluation (if change is 10% or more in the aggregate of the net carrying value of each class of 1. Subs. by Notification No. G.S.R. 207(E), dated 24th March, 2021, for "Tangible Assets" (w.e.f. 1-4-2021) 2. Subs. by Notification No. G.S.R. 207(E), dated 24th March, 2021, for item (iii) (w.e.f. 1-4-2021). Explanation .-The terms 'appointed day', 'buyer',' enterprise', 'micro enterprise', 'small enterprise' and 'supplier', shall have the same meaning assigned to those under clauses (b), (d), (e), (h), (m) and (n) respectively of section 2 of the Micro, Small and Medium Enterprises Development Act, 2006.] 2[FB. For trade payables due for payment, following ageing schedule shall be given: Trade payable aging schedule |||(Amount in Rs.)|(Amount in Rs.)|(Amount in Rs.)|(Amount in Rs.)|(Amount in Rs.)| |---|---|---|---|---|---|---| |||Outstanding for following periods from due date of payment# Less than 1 year 1-2 years 2-3 years More than 3 years Total||||| ||Particulars|Outstanding for following periods from due date of payment#||||| |||Less than 1 year|1-2 years|2-3 years|More than 3 years|Total| ||(i) MSME (ii) Others (iii) Disputed dues- MSME (iv) Disputed dues- Others|||||| |||||||| similar information shall be given where no due date of payment is specified in that case disclosure shall be from the date of the transaction. Unbilled dues shall be disclosed separately] G. The presentation of liabilities associated with group of assets classified as held for sale and non-current assets classified as held for sale shall be in accordance with the relevant Indian Accounting Standards (Ind ASs). H. Contingent Liabilities and Commitments: (to the extent not provided for) Explanation I .— For the purposes of Section II of this Part, "effective capital" means the aggregate of the paid-up share capital (excluding share application money or advances against shares); amount, if any, for the time being standing to the credit of share premium account; reserves and surplus (excluding revaluation reserve); long-term loans and deposits repayable after one year (excluding working capital loans, overdrafts, interest due on loans unless funded, bank guarantee, etc., and other short-term arrangements) as reduced by the aggregate of any investments (except in case of investment by an investment company whose principal business is acquisition of shares, stock, debentures or other securities),accumulated losses and preliminary expenses not written off. Explanation II .— (a) Where the appointment of the managerial person is made in the year in which company has been incorporated, the effective capital shall be calculated as on the date of such appointment; (b) In any other case the effective capital shall be calculated as on the last date of the financial year preceding the financial year in which the appointment of the managerial person is made. 1. Ins. by Notification No. S.O. 1256(E), dated 18[th] March, 2021 (w.e.f. 18-3-2021). 2. Clause (d) omitted by Notification No. S.O. 4822(E), dated 12th September, 2018 (w.e.f. 12-9-2018). (2) Agriculture, including the following, namely:— (a) infrastructure related to storage facilities; (b) construction relating to projects involving agro-processing and supply of inputs to agriculture; (c) construction for preservation and storage of processed agro-products, perishable goods such as fruits, vegetables and flowers including testing facilities for quality. (3) Water management, including the following, namely:— (a) water supply or distribution; (b) irrigation; (c) water treatment. - (4) Telecommunication, including the following, namely:— (a) basic or cellular, including radio paging; (b) domestic satellite service ( i.e ., satellite owned and operated by an Indian company for providing telecommunication service); (c) network of trunking, broadband network and internet services. (5) Industrial, commercial and social development and maintenance, including the following, namely:— (a) real estate development, including an industrial park or special economic zone; (b) tourism, including hotels, convention centres and entertainment centres; (c) public markets and buildings, trade fair, convention, exhibition, cultural centres, sports and recreation infrastructure, public gardens and parks; (d) construction of educational institutions and hospitals; (e) other urban development, including solid waste management systems, sanitation and sewerage systems. *Total shall tally with the amount of Intangible assets under development in the balance sheet. (b) For Intangible assets under development, whose completion is overdue or has exceeded its cost compared to its original plan, the following Intangible assets under development completion schedule shall be given: (Amount in Rs.) ==> picture [437 x 97] intentionally omitted <== Details of projects where activity has been suspended shall be given separately. (viii) Details of Benami Property held Where any proceeding has been initiated or pending against the company for holding any benami property under the Benami Transactions (Prohibition) Act, 1988 (45 of 1988) and rules made thereunder, the company shall disclose the following:- - (a) Details of such property, - (b) Amount thereof, - (c) Details of Beneficiaries, - (d) If property is in the books, then reference to the item in the Balance Sheet, - (e) If property is not in the books, then the fact shall be stated with reasons, - (f) Where there are proceedings against the company under this law as an abetter of the transaction or as the transferor then - the details shall be provided, - (g) Nature of proceedings, status of same and company's view on same. (ix) where the Company has borrowings from banks or financial institutions on the basis of security of current assets, it shall disclose the following:- |2[(m) A company shall disclose Shareholding of Promoters*as under:|2[(m) A company shall disclose Shareholding of Promoters*as under:|2[(m) A company shall disclose Shareholding of Promoters*as under:|2[(m) A company shall disclose Shareholding of Promoters*as under:|| |---|---|---|---|---| |Shares held by promoters at the end of the year||||% Change during the year*| |S.No|Promoter name|No. of Shares*|%of total shares|| |Total||||| *Promoter hare means promoter as defined in the Companies Act, 2013. 1. Ins. by Notification No. G.S.R. 207(E), dated 24th March, 2021, (w.e.f. 1-4-2021). 2. Ins. by Notification No. G.S.R. 207(E), dated 24th March, 2021, (w.e.f. 1-4-2021). Details shall be given separately for each class of shares * percentage change shall be computed with respect to the number at the beginning of the year or if issued during the year for the first time then with respect to the date of issue.] - II. Other Equity: - (i) 'Other Reserves' shall be classified in the notes as- - (a) Capital Redemption Reserve; - (b) Debenture Redemption Reserve; - (c) Share Options Outstanding Account; and - (d) Others- (specify the nature and purpose of each reserve and the amount in respect thereof); (Additions and deductions - since last balance sheet to be shown under each of the specified heads) - (ii) Retained Earnings represents surplus i.e . balance of the relevant column in the Statement of Changes in Equity; 2. Where, during any financial year, any addition has been made to any asset, or where any asset has been sold, discarded, demolished or destroyed, the depreciation on such assets shall be calculated on a pro rata basis from the date of such addition or, as the case may be, up to the date on which such asset has been sold, discarded, demolished or destroyed. 3. Subs. by Notification No. G.S.R. 207(E), dated 24th March, 2021, for item (ii) (w.e.f. 1-4-2021). intangible assets) and other adjustments and the related depreciation and impairment losses or reversals shall be disclosed separately.] (iii) Where sums have been written-off on a reduction of capital or revaluation of assets or where sums have been added on revaluation of assets, every balance sheet subsequent to date of such write-off, or addition shall show the reduced or increased figures as applicable and shall by way of a note also show the amount of the reduction or increase as applicable together with the date thereof for the first five years subsequent to the date of such reduction or increase. K. Non-current investments (i) Non-current investments shall be classified as trade investments and other investments and further classified as: - (a) Investment property; - (b) Investments in Equity Instruments; - (c) Investments in preference shares; - (d) Investments in Government or trust securities; - (e) Investments in debentures or bonds; - (f) Investments in Mutual Funds; - (g) Investments in partnership firms; - (h) Other non-current investments (specify nature). (i) Contingent Liabilities shall be classified as- - (a) claims against the company not acknowledged as debt; - (b) guarantees excluding financial guarantees; and - (c) other money for which the company is contingently liable. 1. Ins. by Notification No. G.S.R. 1022(E), dated 11th October, 2018 (w.e.f. 11-10-2018). 2. Ins. by Notification No. G.S.R. 207(E), dated 24th March, 2021, (w.e.f. 1-4-2021). - (ii) Commitments shall be classified as- - (a) estimated amount of contracts remaining to be executed on capital account and not provided for; - (b) uncalled liability on shares and other investments partly paid; and - (c) other commitments (specify nature). I. The amount of dividends proposed to be distributed to equity and preference shareholders for the period and the related amount per share shall be disclosed separately. Arrears of fixed cumulative dividends on irredeemable preference shares shall also be disclosed separately. J. Where in respect of an issue of securities made for a specific purpose the whole or part of amount has not been used for the specific purpose at the Balance Sheet date, there shall be indicated by way of note how such unutilised amounts have been used or invested. 1[JA. Where the company has not used the borrowings from banks and financial institutions for the specific purpose for which it was taken at the balance sheet date, the company shall disclose the details of where they have been used.] [2] * * * Explanation III .— For the purposes of this Schedule, "family" means the spouse, dependent children and dependent parents of the managerial person. Explanation IV .— The Nomination and Remuneration Committee while approving the remuneration under Section II or Section III, shall— (a) take into account, financial position of the company, trend in the industry, appointee's qualification, experience, past performance, past remuneration, etc.; (b) be in a position to bring about objectivity in determining the remuneration package while striking a balance between the interest of the company and the shareholders. Explanation V .— For the purposes of this Schedule, "negative effective capital" means the effective capital which is calculated in accordance with the provisions contained in Explanation I of this Part is less than zero. Explanation VI.— For the purposes of this Schedule:— 1* * * * * (B) "Remuneration" means remuneration as defined in clause (78) of section 2 and includes reimbursement of any direct taxes to the managerial person. Section V. —Remuneration payable to a managerial person in two companies: Subject to the provisions of sections I to IV, a managerial person shall draw remuneration from one or both companies, provided that the total remuneration drawn from the companies does not exceed the higher maximum limit admissible from any one of the companies of which he is a managerial person. (6) Power, including the following:— - (a) generation of power through thermal, hydro, nuclear, fossil fuel, wind and other - renewable sources; - (b) transmission, distribution or trading of power by laying a network of new - transmission or distribution lines. (7) Petroleum and natural gas, including the following:— - (a) exploration and production; - (b) import terminals; - (c) liquefaction and re-gasification; - (d) storage terminals; - (e) transmission networks and distribution networks including city gas infrastructure. (8) Housing, including the following:— - (a) urban and rural housing including public / mass housing, slum rehabilitation, etc; (b) other allied activities such as drainage, lighting, laying of roads, sanitation and - facilities. (9) Other miscellaneous facilities/services, including the following:— - (a) mining and related activities; - (b) technology related infrastructure; - (c) manufacturing of components and materials or any other utilities or facilities required by the infrastructure sector like energy saving devices and metering devices; - (d) environment related infrastructure; - (e) disaster management services; - (f) preservation of monuments and icons; - (g) emergency services (including medical, police, fire and rescue). - (10) such other facility service as may be prescribed. SCHEDULE VII ( See section 135) (a) whether quarterly returns or statements of current assets filed by the Company with banks or financial institutions are in agreement with the books of accounts; - (b) if not, summary of reconciliation and reasons of material discrepancies, if any to be adequately disclosed. (x) Wilful Defaulter* Where a company is a declared wilful defaulter by any bank or financial Institution or other lender, following details shall be given: (a) Date of declaration as willful defaulter, - (b) Details of defaults (amount and nature of defaults) * wilful defaulter‖ here means a person or an issuer who or which is categorized as a willful defaulter by any bank or financial institution (as defined under the Companies Act, 2013) or consortium thereof, in accordance with the guidelines on wilful defaulters issued by the Reserve Bank of India. (xi) Relationship with Struck off Companies Where the company has any transactions with companies struck off under section 248 of the Companies Act, 2013 or section 560 of Companies Act, 1956, the Company shall disclose the following details, namely:- |Name of struck off Company|Nature of transactions with struck- off Company|Balance outstanding|Relationship with the Struck off company, if any, to be disclosed| |---|---|---|---| ||Investment in securities||| ||Receivables||| ||Payables||| ||Shares held by stuck off company||| ||Other outstanding balances (to be specified)||| 2. Paragraph 5 omitted by Notification No. G.S.R. 237(E), dated 31st March , 2014 (w.e.f. 1-4-2014). SCHEDULE III ( See section 129) 1[ Division I FINANCIAL STATEMENTS FOR A COMPANY WHOSE FINANCIAL STATEMENTS ARE REQUIRED TO COMPLY WITH THE COMPANIES (ACCOUNTING STANDARDS) RULES, 2006 General Instructions for Preparation of Balance Sheet and Statement of Profit and Loss of a Company.] GENERAL INSTRUCTIONS - (iii) A reserve specifically represented by earmarked investments shall disclose the fact that it is so represented; (iv) Debit balance of Statement of Profit and Loss shall be shown as a negative figure under the head 'retained earnings'. Similarly, the balance of 'Other Equity', after adjusting negative balance of retained earnings, if any, shall be shown under the head 'Other Equity' even if the resulting figure is in the negative; and - (v) Under the sub-head 'Other Equity', disclosure shall be made for the nature and amount of each item. - E. Non-Current Liabilities - I. Borrowings: - (i) borrowings shall be classified as- - (a) Bonds or debentures - (b) Term loans - (I) from banks - (II) from other parties - (c) Deferred payment liabilities - (d) Deposits - (e) Loans from related parties 1* (g) Liability component of compound financial instruments (h) Other loans (specify nature); (ii) borrowings shall further be sub-classified as secured and unsecured. Nature of security shall be specified separately in each case. (iii) where loans have been guaranteed by directors or others, the aggregate amount of such loans under each head shall be disclosed; Under each classification, details shall be given of names of the bodies corporate indicating separately whether such bodies are (i) subsidiaries, (ii) associates,(iii) joint ventures, or (iv) controlled special purpose entities in whom investments have been made and the nature and extent of the investment so made in each such body corporate (showing separately investments which are partly-paid). In regard to investments in the capital of partnership firms, the names of the firms (with the names of all their partners, total capital and the shares of each partner) shall be given. (ii) Investments carried at other than at cost should be separately stated specifying the basis for valuation thereof; - (iii) The following shall also be disclosed: - (a) Aggregate amount of quoted investments and market value thereof; - (b) Aggregate amount of unquoted investments; - (c) Aggregate provision for diminution in value of investments. L. Long-term loans and advances - (i) Long-term loans and advances shall be classified as: - (a) Capital Advances; - 1* - (c) Loans and advances to related parties (giving details thereof); - (d) Other loans and advances (specify nature). - (ii) The above shall also be separately sub-classified as: - (a) Secured, considered good; - (b) Unsecured, considered good; - (c) Doubtful. * * [3] [ L. Additional Regulatory Information - (i) Title deeds of Immovable Properties not held in name of the Company The company shall provide the details of all the immovable properties (other than properties where the Company is the lessee and the lease agreements are duly executed in favour of the lessee) whose title deeds are not held in the name of the company in following format and where such immovable property is jointly held with others, details are required to be given to the extent of the company's share. |Relevant line item in the Balance sheet|Description of item of property|Gross carrying value|Title deeds held in the name of|Whether title deed holder is a promoter, director or relative# of promoter*/director or employee of promoter/director|Property held since which date|Reason for not being held in the name of the company| |---|---|---|---|---|---|---| |PPE - Investment property|Land Building Land|-|-|-|-|also indicate if in dispute| |- Non-current asset held for sale - others|Building Land Building|||||| Relative here means relative as defined in the Companies Act, 2013. 1. Ins. by Notification No. G.S.R. 207(E), dated 24th March, 2021, (w.e.f. 1-4-2021). 3. Ins. by Notification No. G.S.R. 207(E), dated 24th March, 2021, (w.e.f. 1-4-2021). Activities which may be included by companies in their Corporate Social Responsibility Policies Activities relating to:— 1[(i) eradicating hunger, poverty and malnutrition, 2[promoting health care including preventive health] and sanitation[3] [Including contribution to the Swatch Bharat Kosh set-up by the Central Government for the promotion of sanitation] and making available safe drinking water; (ii) promoting education, including special education and employment enhancing vocation skills especially among children , women, elderly, and the differently abled and livelihood enhancement projects; (ii) promoting gender equality, empowering women, setting up homes and hostels for women and orphans; setting up old age homes, day care centres and such other facilities for senior citizens and measures for reducing inequalities faced by socially and economically backward groups; (iv) ensuring environmental sustainability, ecological balance, protection of flora and fauna, animal welfare, agroforestry, conservation of natural resources and maintaining quality of soil, air and water 4[including contribution to the Clean Ganga Fund set-up by the Central Government for rejuvenation of river Ganga]; (v) protection of national heritage, art and culture including restoration of buildings and sites of historical importance and works of art; setting up public libraries; promotion and development of traditional arts and handicrafts; (xii) Registration of charges or satisfaction with Registrar of Companies (ROC) Where any charges or satisfaction yet to be registered with ROC beyond the statutory period, details and reasons thereof shall be disclosed. (xiii) Compliance with number of layers of companies Where the company has not complied with the number of layers prescribed under clause (87) of section 2 of the Act read with the Companies (Restriction on number of Layers) Rules, 2017, the name and CIN of the companies beyond the specified layers and the relationship or extent of holding of the company in such downstream companies shall be disclosed. (xiv) Following Ratios to be disclosed:- (a) Current Ratio, (b) Debt-Equity Ratio, - (c) Debt Service Coverage Ratio, (d) Return on Equity Ratio, (e) Inventory turnover ratio, - (f) Trade Receivables turnover ratio, - (g) Trade payables turnover ratio, (h) Net capital turnover ratio, (i) Net profit ratio, (j) Return on Capital employed, (k) Return on investment. The company shall explain the items included in numerator and denominator for computing the above ratios. Further explanation shall be provided for any change in the ratio by more than 25% as compared to the preceding year. (xv) Compliance with approved Scheme(s) of Arrangements 2. The disclosure requirements specified in this Schedule are in addition to and not in substitution of the disclosure requirements specified in the Accounting Standards prescribed under the Companies Act, 2013. Additional disclosures specified in the Accounting Standards shall be made in the notes to accounts or by way of additional statement unless required to be disclosed on the face of the Financial Statements. Similarly, all other disclosures as required by the Companies Act shall be made in the notes to accounts in addition to the requirements set out in this Schedule. (iv) bonds or debentures (along with the rate of interest, and particulars of redemption or conversion, as the case may be) shall be stated in descending order of maturity or conversion, starting from farthest redemption or conversion date, as the case may be. Where bonds/debentures are redeemable by installments, the date of maturity for this purpose must be reckoned as the date on which the first installment becomes due; (v) particulars of any redeemed bonds or debentures which the company has power to reissue shall be disclosed; (vi) terms of repayment of term loans and other loans shall be stated; and (vii) period and amount of default as on the balance sheet date in repayment of borrowings and interest shall be specified separately in each case. (vi) measures for the benefit of armed forces veterans, war widows and their dependents; (vii) training to promote rural sports, nationally recognised sports, paralympic sports and Olympic sports; (viii) contribution to the Prime Minister's National Relief Fund[5] [or Prime Minister's Citizen Assistance and Relief in Emergency Situations Fund (PM CARES Fund)] or any other fund set up by the Central Government for socio-economic development and relief and welfare of the Scheduled Castes, the Scheduled Tribes, other backward classes, minorities and women; 6[(ix)(a) Contribution to incubators or research and development projects in the field of science, technology, engineering and medicine, funded by the Central Government or State Government or Public Sector Undertaking or any agency of the Central Government or State Government; and Where the Scheme of Arrangements has been approved by the Competent Authority in terms of sections 230 to 237 of the Companies Act, 2013, the company shall disclose that the effect of such Scheme of Arrangements have been accounted for in the books of account of the Company 'in accordance with the Scheme' and 'in accordance with accounting standards' and any deviation in this regard shall be explained. (xvi) Utilisation of Borrowed funds and share premium: (A) Where company has advanced or loaned or invested funds (either borrowed funds or share premium or any other sources or kind of funds) to any other person(s) or entity(ies), including foreign entities (Intermediaries) with the understanding (whether recorded in writing or otherwise) that the Intermediary shall (i) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the company (Ultimate Beneficiaries) or (ii) provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries; the company shall disclose the following:- (I) date and amount of fund advanced or loaned or invested in Intermediaries with complete details of each Intermediary. (II) date and amount of fund further advanced or loaned or invested by such Intermediaries to other intermediaries or Ultimate Beneficiaries alongwith complete details of the ultimate beneficiaries. 2. An operating cycle is the time between the acquisition of assets for processing and their realisation in cash or cash equivalents. Where the normal operating cycle cannot be identified, it is assumed to have a duration of twelve months. (b) Contributions to public funded Universities; Indian Institute of Technology (IITs); National Laboratories and autonomous bodies established under Department of Atomic Energy (DAE); Department of Biotechnology (DBT); Department of Science and Technology (DST); Department of Pharmaceuticals; Ministry of Ayurveda, Yoga and Naturopathy, Unani, Siddha and Homoeopathy (AYUSH); Ministry of Electronics and Information Technology and other bodies, namely Defense Research and Development Organisation (DRDO); Indian Council of Agricultural Research (ICAR); Indian Council of Medical Research (ICMR) and Council of Scientific and Industrial Research (CSIR), engaged in conducting research in science, technology, engineering and medicine aimed at promoting Sustainable Development Goals (SDGs)] (x) rural development projects.] 7[(xi) slum are development. 1. Subs. by Notification No. G.S.R. 130(E), dated 27th February 2014, for item (i) to (x) (w.e.f. 1-4-2014). 2. Subs. by Notification No. G.S.R. 261(E), dated 31st March 2014 for "promoting preventive health care" (w.e.f. 31-3- 2014). 3. Ins. by Notification No. G.S.R. 741(E), dated by 24th October, 2014 (w.e.f. 24-10-2014). 4. Ins. by ibid . (w.e.f. 24-10-2014). 5. Ins. by Notification No. G.S.R. 313(E), dated 26th May, 2020 (w.e.f. 28-03-2020). 6. Subs. by Notification No. G.S.R. 525(E), dated 24[th] August, 2020 (w.e.f. 24-08-2020). (III) date and amount of guarantee, security or the like provided to or on behalf of the Ultimate Beneficiaries (IV) declaration that relevant provisions of the Foreign Exchange Management Act, 1999 (42 of 1999) and Companies Act has been complied with for such transactions and the transactions are not violative of the Prevention of Money-Laundering act, 2002 (15 of 2003).; (B) Where a company has received any fund from any person(s) or entity(ies), including foreign entities (Funding Party) with the understanding (whether recorded in writing or otherwise) that the company shall (i) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Funding Party (Ultimate Beneficiaries) or (ii) provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries, the company shall disclose the following:- (I) date and amount of fund received from Funding parties with complete details of each Funding party. (II) date and amount of fund further advanced or loaned or invested other intermediaries or Ultimate Beneficiaries alongwith complete details of the other intermediaries' or ultimate beneficiaries. (III) date and amount of guarantee, security or the like provided to or on behalf of the Ultimate Beneficiaries 2. (A) In respect of a company other than a finance company revenue from operations shall disclose separately in the notes revenue from— (a) Sale of products; (b) Sale of services; 1[(ba) Grants or donations received (relevant in case of section 8 companies only)] - (c) Other operating revenues; Less : (d) Excise duty. (B) In respect of a finance company, revenue from operations shall include revenue from— (a) Interest; and (b) Other financial services. Revenue under each of the above heads shall be disclosed separately by way of notes to accounts to the extent applicable. 7. Ins. by Notification No. G.S.R. 568(E), dated by 6th August 2016. Explanation .— For the purposes of this item, the term 'slum area' shall mean any area declared as such by the Central Government or any State Government or any other competent authority under any law for the time being in force.] 1[(xii) disaster management, including relief, rehabilitation and reconstruction activities.] 1. Ins. by Notification No. G.S.R. 390(E), dated 30th May, 2019 (w.e.f. 30-5-2019). (IV) declaration that relevant provisions of the Foreign Exchange Management Act, 1999 (42 of 1999) and Companies Act has been complied with for such transactions and the transactions are not violative of the Prevention of Money-Laundering act, 2002 (15 of 2003). 2. In Consolidated Financial Statements, the following shall be disclosed by way of additional information: |Name of|the entity in|Net Assets,i.e., total assets minus total|Net Assets,i.e., total assets minus total|Share in profit or loss|Share in profit or loss| |---|---|---|---|---|---| ||the|liabilities|||| |||As % of|Amount|As % of|Amount| |||consolidated net||consolidated profit|| |||assets||or loss|| ||1|2|3|4|5| |Parent|||||| |Subsidiaries|||||| |Indian|||||| |1.|||||| 2. 3. . . Foreign 1. Chapter XXVIII: ## SPECIAL COURTS | Section 2 2. ||1|2|3|4|5| |---|---|---|---|---|---| |3.|||||| |.|||||| |. Minority|||||| |Interest in|||||| |all subsidiaries|||||| |Associates|||||| |(Investment|||||| |as per the|equity||||| |method)|||||| |Indian|||||| |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 2. Where compliance with the requirements of the Act including Indian Accounting Standards (except the option of presenting assets and liabilities in the order of liquidity as provided by the relevant Ind AS) as applicable to the companies require any change in treatment or disclosure including addition, amendment, substitution or deletion in the head or sub-head or any changes inter se, in the financial or statements forming part thereof, the same shall be made and the requirements under this Schedule shall stand modified accordingly. 2. The operating cycle of an entity is the time between the acquisition of assets for processing and their realisation in cash or cash equivalents. When the entity's normal operating cycle is not clearly identifiable, it is assumed to be twelve months. 2. The Statement of Profit and Loss shall include: (1) Profit or loss for the period; - (2) Other Comprehensive Income for the period. The sum of (1) and (2) above is 'Total Comprehensive Income'. 2. Where compliance with the requirements of relevant Act, Regulations, Guidelines or Circulars issued by the relevant regulator from time to time including Indian Accounting Standards (Ind AS) (except the option of presenting assets and liabilities in accordance with current, non-current classification as provided by relevant Ind AS) as applicable to the NBFCs require any change in treatment or disclosure including addition, amendment, substitution or deletion in the head or sub-head or any changes inter se, in the financial statements or statements forming part thereof, the same shall be made and the requirements under this Schedule shall stand modified accordingly. 2. Share application money pending allotment shall be classified into equity or liability in accordance with relevant Indian Accounting Standards. Share application money to the extent not refundable shall be shown under the head Equity and share application money to the extent refundable shall be separately shown under 'Other financial liabilities'.

Source: India Code

Section 2. Sub-item (a) omitted by Notification No. G.S.R. 207(E), dated 24th March, 2021, (w.e.f. 1-4-2021)

How this section changed