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CA Foundation doubt

what is a subsidiary company? and what is the difference between holding and subsidiary company

Asked by zikra2 Jul 2025648 views

1 answer

  1. Nishanth · 2 Jul 2025

    the difference between holding and subsidiary company is same as the difference between a parent and a child where the parent is the holding company and the child is the Subsidary company a holding company is a company which holds more than one half of the total voting power either directly or indirectly through one or more of its subsidiary or even if it controls composition of majority of board of directors such company is called as holding company it basically means if a company is in a position to influence the decision of the other company it is a holding company

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