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Home Acts & Rules Companies Law Rules Companies (Indian Accounting Standards) Rules, 2015 Chapters List Chapter B B. Indian Accounting Standards (Ind AS) This
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Ind AS - 101 - First-time Adoption of Indian Accounting Standards - Companies (Indian Accounting Standards) Rules, 2015

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..... ASs notified under the Companies Act, 2013 and makes an explicit and unreserved statement in those financial statements of compliance with Ind ASs. 4 [Refer to Appendix 1] 4A [Refer to Appendix 1] 4B [Refer to Appendix 1] 5 This Ind AS does not apply to changes in accounting policies made by an entity that already applies Ind ASs. Such changes are the subject of: (a) requirements on changes in accounting policies in Ind AS 8, Accounting Policies, Changes in Accounting Estimates and Errors; and (b) specific transitional requirements in other Ind ASs. Recognition and measurement Opening Ind AS Balance Sheet 6 An entity shall prepare and present an opening Ind AS Balance Sheet at the date of transition to Ind ASs. This is the starting point for its accounting in accordance with Ind ASs subject to the requirements of paragraphs D13AA and D22. Accounting policies 7 An entity shall use the same accounting policies in its opening Ind AS Balance Sheet and throughout all periods presented in its first Ind AS financial statements. Those accounting policies shall comply with each Ind AS effective at the end of its first Ind AS reporting period, except as specified in paragraphs 13-19 and App .....

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Ind AS - 101 - First-time Adoption of Indian Accounting Standards - Companies (Indian Accounting Standards) Rules, 2015

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..... cies that an entity uses in its opening Ind AS Balance Sheet may differ from those that it used for the same date using its previous GAAP. The resulting adjustments arise from events and transactions before the date of transition to Ind ASs. Therefore, an entity shall recognise those adjustments directly in retained earnings (or, if appropriate, another category of equity) at the date of transition to Ind ASs. 12 This Ind AS establishes two categories of exceptions to the principle that an entity’s opening Ind AS Balance Sheet shall comply with each Ind AS: (a) paragraphs 14-17 and Appendix B prohibit retrospective application of some aspects of other Ind ASs. (b) Appendices C-D grant exemptions from some requirements of other Ind ASs. Exceptions to the retrospective application of other Ind ASs 13 This Ind AS prohibits retrospective application of some aspects of other Ind ASs. These exceptions are set out in paragraphs 14-17 and Appendix B. Estimates 14 An entity’s estimates in accordance with Ind ASs at the date of transition to Ind ASs shall be consistent with estimates made for the same date in accordance with previous GAAP (after adjustments to reflect any differe .....

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Ind AS - 101 - First-time Adoption of Indian Accounting Standards - Companies (Indian Accounting Standards) Rules, 2015

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..... ts of changes in equity and related notes, including comparative information for all statements presented. Non-IndAS comparative information and historical summaries 22 Some entities present historical summaries of selected data for periods before the first period for which they present full comparative information in accordance with Ind ASs. This Ind AS does not require such summaries to comply with the recognition and measurement requirements of Ind ASs. Furthermore, some entities present comparative information in accordance with previous GAAP as well as the comparative information required by Ind AS 1. In any financial statements containing historical summaries or comparative information in accordance with previous GAAP, an entity shall: (a) label the previous GAAP information prominently as not being prepared in accordance with Ind ASs; and (b) disclose the nature of the main adjustments that would make it comply with Ind ASs. An entity need not quantify those adjustments. Explanation of transition to Ind ASs 23 An entity shall explain how the transition from previous GAAP to Ind ASs affected its reported Balance sheet, financial performance and cash flows. 23A [Refer to Appen .....

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Ind AS - 101 - First-time Adoption of Indian Accounting Standards - Companies (Indian Accounting Standards) Rules, 2015

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..... ordance with paragraph 23, and it shall update the reconciliations required by paragraph 24(a) and (b). 27AA If an entity adopts the first time exemption option provided in accordance with paragraph D7AA, the fact and the accounting policy shall be disclosed by the entity until such time that those items of Property, plant and equipment, investment properties or intangible assets, as the case may be, are significantly depreciated, impaired or derecognised from the entity’s Balance Sheet. 28 If an entity did not present financial statements for previous periods, its first Ind AS financial statements shall disclose that fact. Designation of financial assets or financial liabilities 29 An entity is permitted to designate a previously recognised financial asset as a financial asset measured at fair value through profit or loss in accordance with paragraph D19A. The entity shall disclose the fair value of financial assets so designated at the date of designation and their classification and carrying amount in the previous financial statements. 29A An entity is permitted to designate a previously recognised financial liability as a financial liability at fair value through profit o .....

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Ind AS - 101 - First-time Adoption of Indian Accounting Standards - Companies (Indian Accounting Standards) Rules, 2015

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..... entities with transactions and balances in the currency. (b) exchangeability between the currency and a relatively stable foreign currency does not exist. Interim financial reports 32 To comply with paragraph 23, if an entity presents an interim financial report in accordance with Ind AS 34 for part of the period covered by its first Ind AS financial statements, the entity shall satisfy the following requirements in addition to the requirements of Ind AS 34: (a) Each such interim financial report shall, if the entity presented an interim financial report for the comparable interim period of the immediately preceding financial year, include: (i) a reconciliation of its equity in accordance with previous GAAP at the end of that comparable interim period to its equity under Ind ASs at that date; and (ii) a reconciliation to its total comprehensive income in accordance with Ind ASs for that comparable interim period (current and year to date). The starting point for that reconciliation shall be total comprehensive income in accordance with previous GAAP for that period or, if an entity did not report such a total, profit or loss in accordance with previous GAAP. (b) In addition to the .....

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Ind AS - 101 - First-time Adoption of Indian Accounting Standards - Companies (Indian Accounting Standards) Rules, 2015

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..... ) is added in its place. An entity shall apply that amendment when it applies Appendix B of Ind AS 21.] 31[39AD * 39AE * (*Refer Appendix 1) 39AF Appendix C, Uncertainty over Income Tax Treatments, to Ind AS 12 added paragraph E8. An entity shall apply that amendment when it applies Appendix C to Ind AS 12.] Appendix A Defined terms This appendix is an integral part of this Ind AS. date of transition to Ind ASs The beginning of the earliest period for which an entity presents full comparative information under Ind ASs in first Ind AS financial statements deemed cost An amount used as a surrogate for cost or depreciated cost at a given date. Subsequent depreciation or amortisation assumes that the entity had initially recognised the asset or liability at the given date and that its cost was equal to the deemed cost. fair value Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. (See Ind AS 113.) first Ind AS financial statements The first annual financial statements in which an entity adopts Indian Accounting Standards (Ind ASs), by an explicit and unreserved st .....

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Ind AS - 101 - First-time Adoption of Indian Accounting Standards - Companies (Indian Accounting Standards) Rules, 2015

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..... at the time of initially accounting for those transactions. Hedge accounting B4 As required by Ind AS 109, at the date of transition to Ind ASs an entity shall: (a) measure all derivatives at fair value; and (b) eliminate all deferred losses and gains arising on derivatives that were reported in accordance with previous GAAP as if they were assets or liabilities. B5 An entity shall not reflect in its opening Ind AS Balance Sheet a hedging relationship of a type that does not qualify for hedge accounting in accordance with Ind AS 109 (for example, many hedging relationships where the hedging instrument is a stand-alone written option or a net written option; or where the hedged item is a net position in a cash flow hedge for another risk than foreign currency risk). However, if an entity designated a net position as a hedged item in accordance with previous GAAP, it may designate as a hedged item in accordance with Ind ASs an individual item within that net position, or a net position if that meets the requirements in paragraph 6.6.1 of Ind AS 109, provided that it does so no later than the date of transition to Ind ASs. B6 If, before the date of transition to Ind ASs, an entity had .....

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Ind AS - 101 - First-time Adoption of Indian Accounting Standards - Companies (Indian Accounting Standards) Rules, 2015

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..... s without taking into account the requirements related to the modification of the time value of money element in paragraphs B4.1.9B-B4.1.9D of Ind AS 109 until those financial assets are derecognized. B8B If it is impracticable to assess whether the fair value of a prepayment feature is insignificant in accordance with paragraph B4.1.12(c) of Ind AS 109 on the basis of the facts and circumstances that exist at the date of transition to Ind-ASs, an entity shall assess the contractual cash flow characteristics of that financial asset on the basis of the facts and circumstances that existed at the date of transition to Ind-ASs without taking into account the exception for prepayment features in paragraph B4.1.12 of Ind AS 109. An entity shall disclose the carrying amount at the reporting date of the financial assets whose contractual cash flow characteristics have been assessed based on the facts and circumstances that existed at the date of transition to Ind ASs without taking into account the exception for prepayment features in paragraph B4.1.12 of Ind AS 109 until those financial assets are derecognised. B8C If it is impracticable (as defined in Ind AS 8) for an entity to apply re .....

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Ind AS - 101 - First-time Adoption of Indian Accounting Standards - Companies (Indian Accounting Standards) Rules, 2015

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..... f Ind AS 109; and (b) the rebuttable presumption in paragraph 5.5.11 of Ind AS 109 for contractual payments that are more than 30 days past due if an entity will apply the impairment requirements by identifying significant increases in credit risk since initial recognition for those financial instruments on the basis of past due information. B8G If, at the date of transition to Ind ASs, determining whether there has been a significant increase in credit risk since the initial recognition of a financial instrument would require undue cost or effort, an entity shall recognise a loss allowance at an amount equal to lifetime expected credit losses at each reporting date until that financial instrument is derecognised (unless that financial instrument is low credit risk at a reporting date, in which case paragraph B8F(a) applies). Embedded derivatives B9 A first-time adopter shall assess whether an embedded derivative is required to be separated from the host contract and accounted for as a derivative on the basis of the conditions that existed at the later of the date it first became a party to the contract and the date a reassessment is required by paragraph B4.3.11 of Ind AS 109. Gov .....

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Ind AS - 101 - First-time Adoption of Indian Accounting Standards - Companies (Indian Accounting Standards) Rules, 2015

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..... e. For example, if a first-time adopter elects to restate a business combination that occurred on 30 June 2010, it shall restate all business combinations that occurred between 30 June 2010 and the date of transition to Ind ASs, and it shall also apply Ind AS 110 from 30 June 2010. C2 An entity need not apply Ind AS 21, The Effects of Changes in Foreign Exchange Rates, retrospectively to fair value adjustments and goodwill arising in business combinations that occurred before the date of transition to Ind ASs. If the entity does not apply Ind AS 21 retrospectively to those fair value adjustments and goodwill, it shall treat them as assets and liabilities of the entity rather than as assets and liabilities of the acquiree. Therefore, those goodwill and fair value adjustments either are already expressed in the entity’s functional currency or are non-monetary foreign currency items, which are reported using the exchange rate applied in accordance with previous GAAP. C3 An entity may apply Ind AS 21 retrospectively to fair value adjustments and goodwill arising in either: (a) all business combinations that occurred before the date of transition to Ind ASs; or (b) all business co .....

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Ind AS - 101 - First-time Adoption of Indian Accounting Standards - Companies (Indian Accounting Standards) Rules, 2015

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..... not based on original cost, such as fair value. The first-time adopter shall measure these assets and liabilities on that basis in its opening Ind AS Balance Sheet, even if they were acquired or assumed in a past business combination. It shall recognise any resulting change in the carrying amount by adjusting retained earnings (or, if appropriate, another category of equity), rather than goodwill/capital reserve. (e) Immediately after the business combination, the carrying amount in accordance with previous GAAP of assets acquired and liabilities assumed in that business combination shall be their deemed cost in accordance with Ind ASs at that date. If Ind ASs require a cost-based measurement of those assets and liabilities at a later date that deemed cost shall be the basis for cost-based depreciation or amortisation from the date of the business combination. 21[(f) If an asset acquired, or liability assumed, in a past business combination was not recognised in accordance with previous GAAP, it does not have a deemed cost of zero in the opening Ind AS Balance Sheet. Instead, the acquirer shall recognise and measure it in its consolidated Balance Sheet on the basis that Ind ASs wo .....

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Ind AS - 101 - First-time Adoption of Indian Accounting Standards - Companies (Indian Accounting Standards) Rules, 2015

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..... stments shall be made to the carrying amount of goodwill / capital reserve at the date of transition to Ind ASs. For example, the first-time adopter shall not restate the carrying amount of goodwill / capital reserve: (i) to exclude in-process research and development acquired in that business combination (unless the related intangible asset would qualify for recognition in accordance with Ind AS 38 in the Balance Sheet of the acquiree); (ii) to adjust previous amortisation of goodwill; (iii) to reverse adjustments to goodwill that Ind AS 103 would not permit, but were made in accordance with previous GAAP because of adjustments to assets and liabilities between the date of the business combination and the date of transition to Ind ASs. (i) If the first-time adopter recognised goodwill in accordance with previous GAAP as a deduction from equity: (i) it shall not recognise that goodwill in its opening Ind AS Balance Sheet. Furthermore, it shall not reclassify that goodwill to profit or loss if it disposes of the subsidiary or if the investment in the subsidiary becomes impaired. (ii) adjustments resulting from the subsequent resolution of a contingency affecting the purchase conside .....

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Ind AS - 101 - First-time Adoption of Indian Accounting Standards - Companies (Indian Accounting Standards) Rules, 2015

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..... ) investments in subsidiaries, joint ventures and associates (paragraphs D14 and D15); (h) assets and liabilities of subsidiaries, associates and joint ventures (paragraphs D16 and D17); (i) compound financial instruments (paragraph D18); (j) designation of previously recognised financial instruments (paragraphs D19-D19C); (k) fair value measurement of financial assets or financial liabilities at initial recognition (paragraph D20); (l) decommissioning liabilities included in the cost of property, plant and equipment (paragraphs D21 and D21A); 10[(m) financial assets or intangible assets accounted for in accordance with Appendix D to Ind AS 115 Service Concession Arrangements (paragraph D22);] (n) borrowing costs (paragraph D23); (o) [Refer to Appendix 1]; (p) extinguishing financial liabilities with equity instruments (paragraph D25); (q) severe hyperinflation (paragraphs D26-D30); (r) joint arrangements (paragraph D31-D31AL); (s) stripping costs in the production phase of a surface mine (paragraph D32); (t) designation of contracts to buy or sell a non-financial item (paragraph D33); 11[(u) revenue (paragraphs D34-D35)] 12[(ua)] non-current assets held for sale and discontinued o .....

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Ind AS - 101 - First-time Adoption of Indian Accounting Standards - Companies (Indian Accounting Standards) Rules, 2015

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..... is reclassification is permitted if an insurer changes accounting policies when it first applies Ind AS 104 and if it makes a subsequent policy change permitted by paragraph 22. The reclassification is a change in accounting policy and Ind AS 8 applies. Deemed cost D5 An entity may elect to measure an item of property, plant and equipment at the date of transition to Ind ASs at its fair value and use that fair value as its deemed cost at that date. D6 A first-time adopter may elect to use a previous GAAP revaluation of an item of property, plant and equipment at, or before, the date of transition to Ind ASs as deemed cost at the date of the revaluation, if the revaluation was, at the date of the revaluation, broadly comparable to: ( a ) fair value; or ( b ) cost or depreciated cost in accordance with Ind ASs, adjusted to reflect, for example, changes in a general or specific price index. 3[D7 The elections in paragraphs D5 and D6 are also available for: (a) Omitted*; 23[(aa) right-of-use assets (Ind AS 116, Leases); and] (b) intangible assets that meet: (i) the recognition criteria in Ind AS 38 (including reliable measurement of original cost); and (ii) the criteria in Ind AS 38 fo .....

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Ind AS - 101 - First-time Adoption of Indian Accounting Standards - Companies (Indian Accounting Standards) Rules, 2015

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..... all either establish the deemed cost by applying the criteria in paragraphs D5-D7 or measure assets and liabilities in accordance with the other requirements in this Ind AS. D8A Under some GAAP’s exploration and development costs for oil and gas properties in the development or production phases are accounted for in cost centers that include all properties in a large geographical area. A first-time adopter using such accounting under previous GAAP may elect to measure oil and gas assets at the date of transition to Ind ASs on the following basis: (a) exploration and evaluation assets at the amount determined under the entity’s previous GAAP; and (b) assets in the development or production phases at the amount determined for the cost centre under the entity’s previous GAAP. The entity shall allocate this amount to the cost centre’s underlying assets pro rata using reserve volumes or reserve values as of that date. The entity shall test exploration and evaluation assets and assets in the development and production phases for impairment at the date of transition to Ind ASs in accordance with Ind AS 106, Exploration for and Evaluation of Mineral Resources, or In .....

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Ind AS - 101 - First-time Adoption of Indian Accounting Standards - Companies (Indian Accounting Standards) Rules, 2015

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..... ph D9E) at the date of transition to Ind AS.; (b) measure a right-of-use asset at the date of transition to Ind AS. The lessee shall choose, on a lease-by-lease basis, to measure that right-of-use asset at either:- (i) its carrying amount as if Ind AS 116 had been applied since the commencement date of the lease (see paragraph D9E), but discounted using the lessee’s incremental borrowing rate at the date of transition to Ind AS; or (ii) an amount equal to the lease liability, adjusted by the amount of any prepaid or accrued lease payments relating to that lease recognised in the Balance Sheet immediately before the date of transition to Ind AS. (c) apply Ind AS 36 to right-of-use assets at the date of transition to Ind AS. D9C Omitted* D9D A first-time adopter that is a lessee may do one or more of the following at the date of transition to Ind AS, applied on a lease-by-lease basis: (a) apply a single discount rate to a portfolio of leases with reasonably similar characteristics (for example, a similar remaining lease term for a similar class of underlying asset in a similar economic environment). (b) elect not to apply the requirements in paragraph D9B to leases for which th .....

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Ind AS - 101 - First-time Adoption of Indian Accounting Standards - Companies (Indian Accounting Standards) Rules, 2015

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..... ore the beginning of the first Ind AS financial reporting period as per the previous GAAP. Investments in subsidiaries, joint ventures and associates D14 When an entity prepares separate financial statements, Ind AS 27 requires it to account for its investments in subsidiaries, joint ventures and associates either: (a) at cost; or (b) in accordance with Ind AS 109. D15 If a first-time adopter measures such an investment at cost in accordance with Ind AS 27, it shall measure that investment at one of the following amounts in its separate opening Ind AS Balance Sheet: (a) cost determined in accordance with Ind AS 27; or (b) deemed cost. The deemed cost of such an investment shall be its: (i) fair value at the entity’s date of transition to Ind ASs in its separate financial statements; or (ii) previous GAAP carrying amount at that date. A first-time adopter may choose either (i) or (ii) above to measure its investment in each subsidiary, joint venture or associate that it elects to measure using a deemed cost. Assets and liabilities of subsidiaries, associates and joint ventures D16 If a subsidiary becomes a first-time adopter later than its parent, the subsidiary shall, in its .....

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Ind AS - 101 - First-time Adoption of Indian Accounting Standards - Companies (Indian Accounting Standards) Rules, 2015

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..... sentation requires an entity to split a compound financial instrument at inception into separate liability and equity components. If the liability component is no longer outstanding, retrospective application of Ind AS 32 involves separating two portions of equity. The first portion is in retained earnings and represents the cumulative interest accreted on the liability component. The other portion represents the original equity component. However, in accordance with this Ind AS, a first-time adopter need not separate these two portions if the liability component is no longer outstanding at the date of transition to Ind ASs. Designation of previously recognised financial instruments D19 Ind AS 109 permits a financial liability (provided it meets certain criteria) to be designated as a financial liability at fair value through profit or loss. Despite this requirement an entity is permitted to designate, at the date of transition to Ind ASs, any financial liability as at fair value through profit or loss provided the liability meets the criteria in paragraph 4.2.2 of Ind AS 109 at that date. D19A An entity may designate a financial asset as measured at fair value through profit or lo .....

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Ind AS - 101 - First-time Adoption of Indian Accounting Standards - Companies (Indian Accounting Standards) Rules, 2015

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..... g the depreciation policy adopted by the entity in accordance with Ind ASs. D21A An entity that uses the exemption in paragraph D8A(b) (for oil and gas assets in the development or production phases accounted for in cost centers that include all properties in a large geographical area under previous GAAP) shall, instead of applying paragraph D21 or Appendix A of Ind AS 16: (a) measure decommissioning, restoration and similar liabilities as at the date of transition to Ind ASs in accordance with Ind AS 37; and (b) recognise directly in retained earnings any difference between that amount and the carrying amount of those liabilities at the date of transition to Ind ASs determined under the entity’s previous GAAP. 14[Financial assets or intangible assets accounted for in accordance with Appendix D, Service Concession Arrangements to Ind AS 115] D22 A first-time adopter may apply the following provisions while applying the 15[Appendix D to Ind AS 115:] i) Subject to paragraph (ii), changes in accounting policies are accounted for in accordance with Ind AS 8, i.e. retrospectively, except for the policy adopted for amortization of intangible assets arising from service concession a .....

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Ind AS - 101 - First-time Adoption of Indian Accounting Standards - Companies (Indian Accounting Standards) Rules, 2015

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..... n the functional currency no longer has either, or both, of the characteristics in paragraph D27, or when there is a change in the entity’s functional currency to a currency that is not subject to severe hyperinflation. D29 When an entity’s date of transition to Ind ASs is on, or after, the functional currency normalisation date, the entity may elect to measure all assets and liabilities held before the functional currency normalisation date at fair value on the date of transition to Ind ASs. The entity may use that fair value as the deemed cost of those assets and liabilities in the opening Ind AS Balance Sheet. D30 When the functional currency normalisation date falls within a 12-month comparative period, the comparative period may be less than 12 months, provided that a complete set of financial statements (as required by paragraph 10 of Ind AS 1) is provided for that shorter period. Joint arrangements D31 [Refer to Appendix 1] Joint ventures - transition from proportionate consolidation to the equity method D31AA When changing from proportionate consolidation to the equity method, an entity shall recognise its investment in the joint venture at transition date to In .....

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Ind AS - 101 - First-time Adoption of Indian Accounting Standards - Companies (Indian Accounting Standards) Rules, 2015

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..... After initial recognition at the date of transition to Ind ASs, an entity shall account for its investment in the joint venture using the equity method in accordance with Ind AS 28. Joint operations-transition from the equity method to accounting for assets and liabilities D31AG When changing from the equity method to accounting for assets and liabilities in respect of its interest in a joint operation, an entity shall, at the date of transition to Ind ASs, derecognise the investment that was previously accounted for using the equity method and any other items that formed part of the entity’s net investment in the arrangement in accordance with paragraph 38 of Ind AS 28 and recognise its share of each of the assets and the liabilities in respect of its interest in the joint operation, including any goodwill that might have formed part of the carrying amount of the investment. D31AH An entity shall determine its interest in the assets and liabilities relating to the joint operation on the basis of its rights and obligations in a specified proportion in accordance with the contractual arrangement. An entity measures the initial carrying amounts of the assets and liabilities by .....

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Ind AS - 101 - First-time Adoption of Indian Accounting Standards - Companies (Indian Accounting Standards) Rules, 2015

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..... sts in the production phase of a surface mine D32 A first-time adopter may apply the Appendix B of Ind AS 16 Stripping Costs in the Production Phase of a Surface Mine from the date of transition to Ind ASs. As at transition date to Ind ASs, any previously recognised asset balance that resulted from stripping activity undertaken during the production phase (‘predecessor stripping asset’) shall be reclassified as a part of an existing asset to which the stripping activity related, to the extent that there remains an identifiable component of the ore body with which the predecessor stripping asset can be associated. Such balances shall be depreciated or amortised over the remaining expected useful life of the identified component of the ore body to which each predecessor stripping asset balance relates. If there is no identifiable component of the ore body to which that predecessor stripping asset relates, it shall be recognised in opening retained earnings at the transition date to Ind ASs. Designation of contracts to buy or sell a non-financial item D33 Ind AS 109 permits some contracts to buy or sell a non-financial item to be designated at inception as measured at fair .....

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Ind AS - 101 - First-time Adoption of Indian Accounting Standards - Companies (Indian Accounting Standards) Rules, 2015

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..... e tax treatments E8 A first-time adopter whose date of transition to Ind ASs is before the date of notification of this Appendix may elect not to reflect the application of the Appendix C, Uncertainty over Income Tax Treatments, to Ind AS 12, Income Taxes, in comparative information in its first Ind AS financial statements. An entity that makes that election shall recognise the cumulative effect of applying Appendix C to Ind AS 12 as an adjustment to the opening balance of retained earnings (or other component of equity, as appropriate) at the beginning of its first Ind AS reporting period.] Appendix 1 Note: This Appendix is not a part of the Ind AS 101, First-time Adoption of Indian Accounting Standards. The purpose of this Appendix is only to highlight major differences between Ind AS 101 and corresponding International Financial Reporting Standard (IFRS) 1, First-time Adoption of International Financial Reporting Standards. Major differences between Indian Accounting Standard (Ind AS) 101 Firsttime Adoption of Indian Accounting Standards and IFRS 1 1. Paragraph 3 of Ind AS 101 specifies that an entity’s first Ind AS financial statements are the first annual financial state .....

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Ind AS - 101 - First-time Adoption of Indian Accounting Standards - Companies (Indian Accounting Standards) Rules, 2015

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..... ransitional provisions of other IFRSs. However Ind ASs do not provide transitional provisions, accordingly wherever considered an appropriate transitional provision in other IFRSs has been incorporated in the respective exemptions in Appendix D of Ind AS 101. The following paragraphs in IFRS 1 provide the transitional provisions of other IFRSs which are included in Ind AS 101: (i) Paragraph D4 includes the transitional provisions of IFRS 4 Insurance Contracts; (ii) Paragraph D9 includes the transitional provisions of IFRIC 4 Determining whether an Arrangement contains a Lease; (iii) Paragraph D22 includes the transitional provisions of IFRIC 12 Service Concession Arrangements; (iv) Paragraph D25 includes the transitional provisions of IFRIC 19 Extinguishing Financial Liabilities with Equity Instruments; (v) Paragraph D31 includes the transitional provisions of IFRS 11 Joint Arrangements; (vi) Paragraph D32 includes the transitional provisions of IFRIC 20 Stripping Costs in the Production Phase of a Surface Mine; and (vii) Paragraph D34 and D35 includes the transitional provisions of IFRS 15 Revenue from contracts customer. 8. IFRS 1 provides for various optional exemptions that an .....

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Ind AS - 101 - First-time Adoption of Indian Accounting Standards - Companies (Indian Accounting Standards) Rules, 2015

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..... to use the transition date facts and circumstances for lease arrangements which includes both land and building elements to assess the classification of each element as finance or an operating lease at the transition date to Ind ASs. Also, if there is any land lease newly classified as finance lease then the first time adopter may recognise assets and liability at fair value on that date; any difference between those fair values is recognised in retained earnings. 3. Paragraph D35AA has been added to provide for transitional relief while applying Ind AS 105 - Non-current Assets Held for Sale and Discontinued Operations. Paragraph D35AA provides an entity to use the transitional date circumstances to measure such assets or operations at the lower of carrying value and fair value less cost to sell. 33[9. Paragraphs E1-E2 of Appendix E of IFRS 1 provides ‘Short-term exemptions from IFRSs’, however Ind AS 101 does not provide the aforesaid short-term exemptions. In order to maintain consistency with paragraph numbers of IFRS 1, the same have been retained in Ind AS 101.] 7[10. IFRS 9 Financial Instruments is effective from annual period beginning on or after January 1, 201 .....

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Ind AS - 101 - First-time Adoption of Indian Accounting Standards - Companies (Indian Accounting Standards) Rules, 2015

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..... ported under previous GAAP." 2. Substituted vide F. No. 01/01/2009-CL-V(Part) - Dated 30-3-2016 before it was read as, "(m) financial assets or intangible assets accounted for in accordance with Appendix C to Ind AS 115 Service Concession Arrangements(paragraph D22); " 3. Substituted vide F. No. 01/01/2009-CL-V(Part) - Dated 30-3-2016 before it was read as, "D7 The elections in paragraphs D5 and D6 are also available for: (a) investment property, accounted for in accordance with the cost model in Ind AS 40, Investment Property; and (b) intangible assets that meet: ( i ) the recognition criteria in Ind AS 38 (including reliable measurement of original cost); and ( i i ) the criteria in Ind AS 38 for revaluation (including the existence of an active market). An entity shall not use these elections for other assets or for liabilities." 4. Substituted vide F. No. 01/01/2009-CL-V(Part) - Dated 30-3-2016 before it was read as, “Financial assets or intangible assets accounted for in accordance with Appendix C, Service Concession Arrangements to Ind AS 115 D22 A first-time adopter may apply the following provisions while applying the Appendix C to Ind AS 115: .....

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Ind AS - 101 - First-time Adoption of Indian Accounting Standards - Companies (Indian Accounting Standards) Rules, 2015

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..... corporated in Ind AS 101.” 8. Inserted vide F. No. 01/01/2009-CL-V(Part) - Dated 30-3-2016 9. Inserted vide F. No. 01/01/2009-CL-V(Part VI) - Dated 28-03-2018, w.e.f. 1st day of April, 2018, 10. Substituted vide F. No. 01/01/2009-CL-V(Part VI) - Dated 28-03-2018, w.e.f. 1st day of April, 2018, before it was read as, "2[(m) financial assets or intangible assets accounted for in accordance with Appendix A to Ind AS 11 Service Concession Arrangements (paragraph D22); ]" 11. Substituted vide F. No. 01/01/2009-CL-V(Part VI) - Dated 28-03-2018, w.e.f. 1st day of April, 2018, before it was read as, "(u) revenue from contracts with customers (paragraph D34 - D35); and" 12. Renumbered vide F. No. 01/01/2009-CL-V(Part VI) - Dated 28-03-2018, w.e.f. 1st day of April, 2018, before it was read as, "(v)" 13. Inserted vide F. No. 01/01/2009-CL-V(Part VI) - Dated 28-03-2018, w.e.f. 1st day of April, 2018, 14. Substituted vide F. No. 01/01/2009-CL-V(Part VI) - Dated 28-03-2018, w.e.f. 1st day of April, 2018, before it was read as, "4[Financial assets or intangible assets accounted for in accordance with Appendix A, Service Concession Arrangements to Ind AS 1 .....

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Ind AS - 101 - First-time Adoption of Indian Accounting Standards - Companies (Indian Accounting Standards) Rules, 2015

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..... cquirer shall recognise and measure it in its consolidated Balance Sheet on the basis that Ind ASs would require in the Balance Sheet of the acquiree. To illustrate: if the acquirer had not, in accordance with its previous GAAP, capitalised finance leases acquired in a past business combination, it shall capitalise those leases in its consolidated financial statements, as Ind AS 17, Leases, would require the acquiree to do in its Ind AS Balance Sheet. Similarly, if the acquirer had not, in accordance with its previous GAAP, recognised a contingent liability that still exists at the date of transition to Ind ASs, the acquirer shall recognise that contingent liability at that date unless Ind AS 37, Provisions, Contingent Liabilities and Contingent Assets, would prohibit its recognition in the financial statements of the acquiree. Conversely, if an asset or liability was subsumed in goodwill/capital reserve in accordance with previous GAAP but would have been recognised separately under Ind AS 103, that asset or liability remains in goodwill/capital reserve unless Ind ASs would require its recognition in the financial statements of the acquiree." 22. Substituted vide NOTIFICATION .....

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Ind AS - 101 - First-time Adoption of Indian Accounting Standards - Companies (Indian Accounting Standards) Rules, 2015

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..... ts Ind ASs. For an entity to have made the same determination of whether the arrangement contained a lease in accordance with previous GAAP, that determination would have to have given the same outcome as that resulting from applying Ind AS 17, Leases, and Appendix C of Ind AS 17." 27. Substituted vide NOTIFICATION No. [F. No. 01/01/2009-CL-V-(Part VII)] dated 30-03-2019 w.e.f. 01-04-2019 before it was read as "D9AA When a lease includes both land and building elements, a first time adopter may assess the classification of each element as finance or an operating lease at the date of transition to Ind ASs on the basis of the facts and circumstances existing as at that date. If there is any land lease newly classified as finance lease then the first time adopter may recognise assets and liability at fair value on that date; and any difference between those fair values is recognised in retained earnings." 28 Inserted vide NOTIFICATION No. [F. No. 01/01/2009-CL-V-(Part VII)] dated 30-03-2019 w.e.f. 01-04-2019 29 Substituted vide NOTIFICATION No. [F. No. 01/01/2009-CL-V-(Part VII)] dated 30-03-2019 w.e.f. 01-04-2019 before it was read as "12. Following paragraph numb .....

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Ind AS - 101 - First-time Adoption of Indian Accounting Standards - Companies (Indian Accounting Standards) Rules, 2015

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  1. Companies Act, 2013
  2. Section 133 - Central Government to prescribe accounting standards
  3. Section 115JB - Special provision for payment of tax by certain companies
  4. Ind AS - 116 - Leases
  5. Ind AS - 115 - Revenue from Contracts with Customers
  6. Ind AS - 114 - Regulatory Deferral Accounts
  7. Ind AS - 113 - Fair Value Measurement
  8. Ind AS - 111 - Joint Arrangements
  9. Ind AS - 110 - Consolidated Financial Statements
  10. Ind AS - 109 - Financial Instruments
  11. Ind AS - 108 - Operating Segments
  12. Ind AS - 107 - Financial Instruments: Disclosures
  13. Ind AS - 106 - Exploration for and Evaluation of Mineral Resources
  14. Ind AS - 105 - Non-current Assets Held for Sale and Discontinued Operations
  15. Ind AS - 104 - Insurance Contracts
  16. Ind AS - 103 - Business Combinations
  17. Ind AS - 102 - Share-based Payment
  18. Ind AS - 040 - Investment Property
  19. Ind AS - 038 - Intangible Assets
  20. Ind AS - 037 - Provisions, Contingent Liabilities and Contingent Assets
  21. Ind AS - 036 - Impairment of Assets
  22. Ind AS - 034 - Interim Financial Reporting
  23. Ind AS - 032 - Financial Instruments: Presentation
  24. Ind AS - 028 - Investments in Associates and Joint Ventures
  25. Ind AS - 027 - Separate Financial Statements
  26. Ind AS - 023 - Borrowing Costs
  27. Ind AS - 021 - The Effects of Changes in Foreign Exchange Rates
  28. Ind AS - 020 - Accounting for Government Grants and Disclosure of Government Assistance
  29. Ind AS - 016 - Property, Plant and Equipment
  30. Ind AS - 012 - Income Taxes
  31. Ind AS - 010 - Events after the Reporting Period
  32. Ind AS - 008 - Accounting Policies, Changes in Accounting Estimates and Errors
  33. Ind AS - 001 - Presentation of Financial Statements

 

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