TMI BlogDisclosure of accounting policies - Upto AY 2015-16X X X X Extracts X X X X X X X X Extracts X X X X ..... red by sub-section (2) of section 145 of the Income-tax Act, 1961 (43 of 1961), the Central Government hereby notifies the following accounting standards to be followed by all assessees following mercantile system of accounting, namely :- A. Accounting Standard I relating to disclosure of accounting policies : 1. All significant accounting policies adopted in the preparation and prese ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tements for the previous year but which is reasonably expected to have a material effect in any year subsequent to previous year, the fact of such change shall be appropriately disclosed in the previous year in which the change is adopted. 4. Accounting policies adopted by an assessee should be such so as to represent a true and fair view of the state of affairs of the business, profession or ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f the financial statements. 5. If the fundamental accounting assumptions relating to Going Concern, Consistency and Accrual are followed in financial statements, specific disclosure in respect of such assumptions is not required. If a fundamental accounting assumption is not followed, such fact shall be disclosed. 6. For the purposes of paragraphs (1) to (5), the expressions,- (a) ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... explanatory notes forming part thereof; (e) Going concern refers to the assumption that the assessee has neither the intention nor the necessity of liquidation or of curtailing materially the scale of the business, profession or vocation and intends to continue his business, profession or vocation for the foreseeable future. - - statute, statutory provisions legislation, law, enactment, ..... X X X X Extracts X X X X X X X X Extracts X X X X
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