Comparison of ICDS III, AS-7 & IndAS-115 - Income Tax - Ready Reckoner - Income Tax

..... o contract with a customer and establishes principles on reporting the nature, amount, timing and uncertainty of revenue and cash flows arising from a contract with customer. Revenue Recognition Under ICDS III, percentage of completion method is applicable, except during early stages of a contract when the outcome of the contract cannot be estimated reliably. In this case, revenue is recognised to the extent of costs incurred. This is possible only when up to 25% of the work is completed otherwi .....

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Comparison of ICDS III, AS-7 & IndAS-115 - Income Tax - Ready Reckoner - Income Tax

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..... wing steps are applied: 1) Identify the contract(s) with a customer. 2) Identify the performance obligations in the contract (account for a ‘distinct’ good or service). 3) Determine the transaction price. 4) Allocate the transaction price to the performance obligations in the contract. 5)Recognise revenue when (or as) the entity satisfies a performance obligation. Identification of contracts ICDS III is similar to Indian GAAP Under AS 7, a construction contract is a contract which is .....

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Comparison of ICDS III, AS-7 & IndAS-115 - Income Tax - Ready Reckoner - Income Tax

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