Investment Property Accounting Policy disclosed by Coal India Limited

Investment properties
Property (land or a building or part of a building or both) held to earn rentals or for capital appreciation or both, rather than for, use in the production or supply of goods or services or for administrative purposes; or sale in the ordinary course of businesses are classified as investment property.

Investment property is measured initially at its cost, including related transaction costs and where applicable borrowing costs.

Investment properties are depreciated using the straight-line method over their estimated useful lives.
(Coal India Limited Financial Year Ended 31 March 2023)

Analysis for Material Accounting Policy Information:
Primary condition – Accounting policy relates to material transaction, other event or condition:
The company has not presented investment properties in Balance Sheet and therefore, the primary condition is not met.

Conclusion:
As primary condition is not met, the company shall not disclose the policy on investment properties in its material accounting policy information.

Policy disclosed by the Company in its financial statements for the year ended 31 March 2025:
Property (land or a building or part of a building or both) held to earn rentals or for capital appreciation or both, rather than for, use in the production or supply of goods or services or for administrative purposes; or sale in the ordinary course of businesses are classified as an investment property.

Investment property is measured initially at its cost, including related transaction costs and where applicable borrowing costs.

Investment properties are depreciated using the straight-line method over their estimated useful lives.

Analysis of whether the policy disclosed meets material accounting policy criteria in Ind AS 1:

The company has continued disclosure of the policy on investment property as material accounting policy despite the same not being presented in Balance Sheet. Thus, the company has not complied with the requirement to disclose material accounting policy information.