Companies Act 2014

280A.

F56 [ Qualification of company as small company: general

280A. (1) A company that is not excluded by subsection (4) qualifies as a small company in relation to its first financial year if the qualifying conditions are satisfied in respect of that year.

(2) A company that is not excluded by subsection (4) qualifies as a small company in relation to a subsequent financial year (in this subsection referred to as 'relevant year') if the qualifying conditions

(a) are satisfied in respect of the relevant year and the financial year immediately preceding the relevant year,

(b) are satisfied in respect of the relevant year and the company qualified as a small company in relation to the financial year immediately preceding the relevant year, or

(c) were satisfied in the financial year immediately preceding the relevant year and the company qualified as a small company in relation to that preceding financial year.

(3) The qualifying conditions for a small company are satisfied by a company if, in relation to a financial year, it fulfils 2 or more of the following requirements:

(a) the amount of turnover of the company does not exceed 12 million;

(b) the balance sheet total of the company does not exceed 6 million;

(c) the average number of employees does not exceed 50.

(4) This section shall not apply to a company if it is

(a) a holding company, or

(b) an ineligible company.

(5) 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)(a) shall be proportionately adjusted.

(6) For the purposes of subsection (3)(c) , the average number of employees of a company shall be determined by applying the methods specified in section 317 for determining the number required by subsection (1)(a) of that section to be stated in a note to the financial statements of a company.

(7) In this section, qualifying conditions mean the requirements specified in subsection (3) . ]

Annotations

Amendments:

F56

Inserted (9.06.2017) by Companies (Accounting) Act 2017 (9/2017), s. 15, S.I. No. 246 of 2017, art. 3, subject to transitional provision in art. 4.