Offsetting - Ind AS - Indian Accounting Standards - Companies Law

..... tity s future cash flows. Measuring assets net of valuation allowances-for example, obsolescence allowances on inventories and doubtful debts allowances on receivables-is not offsetting. Offsetting financial statement items is reasonable only when that reflects the substance of the transaction or other event. It should not lead to Window dressing . It should help the user to understand the transactions, other events and conditions that have occurred and to assess the entity s future cash flows .....

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Offsetting - Ind AS - Indian Accounting Standards - Companies Law

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..... d by the Ind AS. In addition, an entity presents on a net basis gains and losses arising from a group of similar transactions, for example, foreign exchange gains and losses or gains and losses arising on financial instruments held for trading. However, an entity presents such gains and losses separately if they are material. Illustration - Is offsetting of revenue against expenses, permissible in case of a company acting as an agent and having sub-agents, where commission is paid to sub-agent .....

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Offsetting - Ind AS - Indian Accounting Standards - Companies Law

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