Companies Act 2014
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CHAPTER 5 Group financial statements: exemptions and exclusions | ||
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Exemption from consolidation: size of group | ||
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297. (1) Subsection (2) applies save where the company has elected to prepare IFRS group financial statements; its operation is subject to subsections (3) to (8) and section 298 . | ||
(2) A holding company shall, in respect of a particular financial year, be exempt from the requirement to prepare group financial statements if, at the financial year end date of the holding company— | ||
(a) for that financial year, and | ||
(b) for the financial year of that company immediately preceding that financial year, | ||
the holding company and all of its subsidiary undertakings taken as a whole satisfy at least 2 of the following 3 qualifying conditions. | ||
(3) Those qualifying conditions are— | ||
(a) the balance sheet total of the holding company and its subsidiary undertakings taken as a whole does not exceed €10 million, | ||
(b) the amount of the turnover of the holding company and its subsidiary undertakings taken as a whole does not exceed €20 million, and | ||
(c) the average number of persons employed by the holding company and its subsidiary undertakings taken as a whole does not exceed 250. | ||
(4) In this section “balance sheet total”, in relation to a company or undertaking, means the aggregate of the amounts shown as assets in the company's or undertaking's balance sheet. | ||
(5) In this section “amount of the turnover”, in relation to a company or undertaking, means the amount of the turnover shown in the company's or undertaking's profit and loss account. | ||
(6) For the purposes of this section, the average number of persons employed shall be that required to be disclosed in accordance with section 317 . | ||
(7) In the application of this section to any period which is a financial year but is not in fact a year, the amount specified in subsection (3)(b) shall be proportionally adjusted. | ||
(8) This section shall not apply where— | ||
(a) any shares, debentures or other debt securities of a subsidiary undertaking have been admitted to trading on a regulated market in an EEA state, or | ||
(b) any of the subsidiary undertakings is a credit institution or an insurance undertaking. |