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Query on TCS annual report

24 February 2023

TCS has disclose the share of its section 8 subsidiary TCS foundation under investment
my question is whether investment in section 8 company considered as investment.?

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6 Replies

Samarth Pachchigar (68 Points)
Replied 24 February 2023

Yes, as per the standards it will be considered as an investment as the company even tho not getting any dividend from the company still be eligible to show it as investment

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Atharv Sankliya (1306 Points)
Replied 25 February 2023

Which standard sir )

Samarth Pachchigar (68 Points)
Replied 25 February 2023

As per sec 129 of companies act, 2013 an investment in sec 8 company shall be shown as an application of money in the balance sheet and the holding company cannot be be shown as an investment however as per AS21 if the the holding company has an ownership in such company then the consolidation can be done if any sort of economic benefits are received by the holding company of such sec 8 company