Quantcast
Home   »   Business   »   IFRS and Ind AS – Practical Aspects In India- Series Part-1

IFRS and Ind AS – Practical Aspects In India- Series Part-1

Published on: October 5, 2019 | Updated on: October 5, 2019
IFRS and Ind AS - Practical Aspects In India- Series Part-1

IFRS and Ind AS

IFRS are the global International Financial Reporting Standards followed worldwide. While here in India, on similar lines about 40 standards have been made. In MyIndia, we are starting a series of articles on IFRS and Ind-AS, on their practical challenges. We are sharing some views in terms of how these are practically adhered upon. There will be a series of articles on these aspects and we will share our thoughts in the same. Let us first understand the basic concepts of IFRS and Ind AS and how they are evolved? This will be series of articles in which we will be helping our friends and students to understand the Ind AS and follow the same in practical life. There are certain major aspects which you need to understand.

1. While IFRS are global standards and are followed by more than 130 countries, India has converged in IFRS and have made standards known by the name Ind AS.

2. There are 2 set of standards, IFRS and IAS and 2 sets of Interpretations – IFRIC and SIC. India has only 1 set being Ind AS and all 4 are merged together in India.

3. There are 2 series in India – 1 to 41 (Total 41 however only 24 are effective)  and 101 to 116 (16 re effective). This is how it works:

S no. IAS/IFRS Name of Standard IND AS
1 IAS 1 Presentation of Financial Statements Ind AS 1
2 IAS 2 Inventories Ind AS 2
IAS -3, 4, 5,6 are deleted Ind AS -3,4,5,6 are not made
3 IAS 7 Statement of Cash Flows Ind AS 7
4 IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors Ind AS 8
N/a IAS-9 is deleted Not made
5 IAS 10 Events after the Reporting Period Ind AS 10
N/a IAS 11 Construction Contracts Merged in Ind AS 115
6 IAS 12 Income Taxes Ind AS 12
IAS-13 to 15 are  deleted not made
7 IAS 16 Property, Plant and Equipment Ind AS 16
N/a IAS 17 Leases  (not applicable from April,2019) Merged in Ind AS 116
N/a IAS 18 Revenue Merged in Ind AS 115
8 IAS 19 Employee Benefits Ind AS 19
9 IAS 20 Accounting for Government Grants and Disclosure of Government Assistance Ind AS 20
10 IAS 21 The Effects of Changes in Foreign Exchange Rates Ind AS 21
11 IAS 23 Borrowing Costs Ind AS 23
12 IAS 24 Related Party Disclosures Ind AS 24
13 IAS 26 Accounting and Reporting by Retirement Benefit plan Not made
14 IAS 28 Investments in Associates Ind AS 28
15 IAS 29 Financial Reporting in Hyperinflationary Economies Ind AS 29
16 IAS 31 Interests in Joint Ventures Ind AS 31
17 IAS 32 Financial Instruments: Presentation Ind AS 32
18 IAS 33 Earnings per Share Ind AS 33
19 IAS 34 Interim Financial Reporting Ind AS 34
20 IAS 36 Impairment of Assets Ind AS 36
21 IAS 37 Provisions, Contingent Liabilities and Contingent Assets Ind AS 37
22 IAS 38 Intangible Assets Ind AS 38
23 IAS 40 Investment Property Ind AS 40
24 IAS 41 Agriculture Ind AS 41
25 IFRS 1 First-time Adoption of IFRS Ind AS 101
26 IFRS 2 Share-based Payment Ind AS 102
27 IFRS 3 Business Combinations Ind AS 103
28 IFRS 4 Insurance Contracts Ind AS 104
29 IFRS 5 Non-Current Assets Held for Sale and Discontinued Operations Ind AS 105
30 IFRS 6 Exploration for and Evaluation of Mineral Resources Ind AS 106
31 IFRS 7 Financial Instruments: Disclosures Ind AS 107
32 IFRS 8 Operating Segments IND AS 108
33 IFRS 9 Financial Instruments – Assets (effective date Jan-2015) IND AS 109
34 IFRS 10 Consolidated Financial Statements (to replace IAS 27) IND AS 110
35 IFRS 11 Joint Arrangements – revised 28 June 2012 IND AS 111
36 IFRS 12 Disclosure of Interests in Other Entities IND AS 112
37 IFRS 13 Fair Value Measurement IND AS 113
38 IFRS 14 Regulatory Deferral Accounts IND AS 114
39 IFRS 15 Revenue from Contract with Customers IND AS 115
40 IFRS 16 Lease IND AS 116

 

So we can see that on this table, there is 1 to 1 linkage of IAS and IFRS with Ind AS .

4. As far as applicability are concerned , the application as of now is for :

a)  All companies which are Listed In India including their subsidiaries and Joint ventures. This is irrespective of their net worth

b)  All companies in India whose net worth is more than 250 crores ( Rs. 2500 million)

c) Companies who may not meet the criteria can on voluntary basis , start applying the same.

5. Banks and insurance companies are to be done from 2020 onward.

We will be publishing more articles in this series …Happy Mapping and Happy Ind AS application.

Summary
Article Name
IFRS and Ind AS - Practical Aspects - Series - part 1
Author
Description
Worldwide IFRS (International Financial Reporting standards ) are implemented and as off now more than 130 countries have adopted these standards. On similar Lines,India has also adopted them from 2016 onwards for Companies whose Net worth is above Rs. 2500 million or for companies which are listed on stock exchanges.


EU GDPR Update:
MapsofIndia has updated its Terms and Privacy Policy to give Users more transparency into the data this Website collects, how it is processed and the controls Users have on their personal data. Users are requested to review the revised Privacy Policy before using the website services, as any further use of the website will be considered as User's consent to MapsofIndia Privacy Policy and Terms.
We follow editorialcalls.org for border and boundary demarcations