GST Helpdesk   Subscription   Demo   New User   Login      
Tax Management India .com
TMI - Tax Management India. Com
Extracts
Home List
← Previous Next →

NOTICE INVITING COMMENTS ON THE REVISED SCHEDULE III TO THE COMPANIES ACT 2013 FOR A COMPANY WHOSE FINANCIAL STATEMENTS ARE DRAWN UP IN COMPLIANCE OF COMPANIES (INDIAN ACCOUNTING STANDARDS) RULES 2015 AND AS AMENDED FROM TIME TO TIME

News and Press Release - Dated:- 10-2-2016 - GOVERNMENT OF INDIA Ministry of Corporate Affairs Dated the 9th February, 2016 1. The draft revised Schedule III to the Companies Act, 2013 for a company whose financial statements are drawn up in compliance of companies (Indian Accounting Standards) Rules, 2015 and as amended from time to time has been placed on the Ministry s website at www.mca.gov.in. It has been decided to invite suggestions/comments on the above draft. 3. Suggestions/comments on .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

tion (1) of Section 467 of the Companies Act,2013 (18 of 2013), the Central Government hereby makes the following amendments to schedule III of the said Act with effect from the date of publication of this notification in the Official Gazette, namely:- 1. In Schedule III, before the heading General instructions for preparation of Balance Sheet and Statements of Profit and Loss of a Company the following shall be inserted: Division I Financial Statements for a company whose Financial Statements a .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

OF A COMPANY required to comply with Ind AS. 1. Every company to which Indian Accounting Standards ( Ind AS) notified under the Companies (Indian Accounting Standards) Rules 2015 apply, shall prepare its financial statements in accordance with this Schedule or as near thereto as circumstances admit. 2. Where compliance with the requirements of the Act including Indian Accounting Standards (except the option of presenting assets and liabilities in the order of liquidity as provided by the releva .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

dian Accounting Standards. Additional disclosures specified in the Indian Accounting Standards shall be made in the Notes or by way of additional statement(s) unless required to be disclosed on the face of the Financial Statements. Similarly, all other disclosures as required by the Companies Act shall be made in the Notes in addition to the requirements set out in this Schedule. 4. (i) Notes shall contain information in addition to that presented in the Financial Statements and shall provide wh .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

not assist users of Financial Statements and not providing important information as a result of too much aggregation. 5. Depending upon the turnover of the company, the figures appearing in the Financial Statements may be rounded off as below: Turnover Rounding off (i) less than one hundred crore rupees To the nearest hundreds, thousands, lakhs or millions, or decimals thereof. (ii) one hundred crore rupees or more To the nearest, lakhs, millions or crores, or decimals thereof. Once a unit of m .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

mic decisions that users make on the basis of the financial statements. Materiality depends on the size and nature of the item judged in the particular circumstances. 8. For the purpose of this Schedule, the terms used herein shall be as per the Indian Accounting Standards. 9. Where any Act or Regulation requires specific disclosures to be made in the standalone financial statements of a company, the said disclosures shall be made in addition to those required under this Schedule. Note: This Sch .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

presented as an addition or substitution on the face of the Financial Statements when such presentation is relevant to an understanding of the company s financial position or performance or to cater to industry/sector-specific disclosure requirements or when required for compliance with the amendments to the Companies Act or under the Indian Accounting Standards. PART I -BALANCE SHEET Name of the Company……………………. Balance Sheet as at &hellip .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

Assets (i) Investments (ii) Trade receivables (iii) Loans (iv) Others (to be specified) (i) Deferred tax assets (net) (j) Other non-current assets (2) Current assets (a) Inventories (b) Financial Assets (i) Investments (ii) Trade receivables (iii) Cash and cash equivalents (iv) Bank balances other than (iii) above (v) Loans (vi) Others (to be specified) (c) Current Tax Assets (Net) (d) Other current assets Total Assets EQUITY AND LIABILITIES Equity (a) Equity Share capital (b) Other Equity LIAB .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ilities (Net) Total Equity and Liabilities See accompanying notes to the financial statements Notes GENERAL INSTRUCTIONS FOR PREPARATION OF BALANCE SHEET 1. An entity shall classify an asset as current when: (a) it expects to realise the asset, or intends to sell or consume it, in its normal operating cycle; (b) it holds the asset primarily for the purpose of trading; (c) it expects to realise the asset within twelve months after the reporting period; or (d) the asset is cash or a cash equivalen .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

when: (a) it expects to settle the liability in its normal operating cycle; (b) it holds the liability primarily for the purpose of trading; (c) the liability is due to be settled within twelve months after the reporting period; or (d) it does not have an unconditional right to defer settlement of the liability for at least twelve months after the reporting period. Terms of a liability that could, at the option of the counterparty, result in its settlement by the issue of equity instruments do .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

A. Non-Current Assets I. Property, Plant and Equipment (i) Classification shall be given as: (a) Land. (b) Buildings. (c) Plant and Equipment. (d) Furniture and Fixtures. (e) Vehicles. (f) Office equipment. (g) Bearer Plants (h) Others (specify nature). (ii) Assets under lease shall be separately specified under each class of assets. (iii) A reconciliation of the gross and net carrying amounts of each class of assets at the beginning and end of the reporting period showing additions, disposals, .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

II Goodwill A reconciliation of the gross and net carrying amount of goodwill at the beginning and end of the reporting period showing additions, impairments, disposals and other adjustments. IV. Other Intangible assets (i) Classification shall be given as: (a) Brands /trademarks. (b) Computer software. (c) Mastheads and publishing titles. (d) Mining rights. (e) Copyrights, patents, other intellectual property rights, services and operating rights. (f) Recipes, formulae, models, designs and prot .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

the beginning and end of the reporting period showing additions, disposals, acquisitions through business combinations and other adjustments shall be disclosed separately. VI. Investments (i) Investments shall be classified as: (a) Investments in Equity Instruments; (b) Investments in Preference Shares; (c) Investments in Government or trust securities; (d) Investments in debentures or bonds; (e) Investments in Mutual Funds; (f) Investments in partnership firms; (g) Other investments (specify na .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

eparately. (ii) The following shall also be disclosed: (a) Aggregate amount of quoted investments and market value thereof; (b) Aggregate amount of unquoted investments; (c) Aggregate amount of impairment in value of investments. VII.Trade Receivables (i) Trade receivables shall be sub-classified as: (a) Secured, considered good; (b) Unsecured considered good; (c) Doubtful. (ii) Allowance for bad and doubtful debts shall be disclosed under the relevant heads separately. (iii) Debts due by direct .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

nsecured, considered good; (c) Doubtful. (iii) Allowance for bad and doubtful loans shall be disclosed under the relevant heads separately. (iv) Loans due by directors or other officers of the company or any of them either severally or jointly with any other persons or amounts due by firms or private companies respectively in which any director is a partner or a director or a member should be separately stated. IX.Other non-current assets Other non-current assets shall be classified as- (i) Capi .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

stated. (iii) Bank deposits with more than 12 months maturity; (iv) Others (specify nature). B. Current Assets I. Inventories (i) Inventories shall be classified as: (a) Raw materials; (b) Work-in-progress; (c) Finished goods; (d) Stock-in-trade (in respect of goods acquired for trading); (e) Stores and spares; (f) Loose tools; (g) Others (specify nature). (ii) Goods-in-transit shall be disclosed under the relevant sub-head of inventories. (iii) Mode of valuation shall be stated. II. Investments .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

whom investments have been made and the nature and extent of the investment so made in each such body corporate (showing separately investments which are partly-paid). (ii) The following shall also be disclosed (a) Aggregate amount of quoted investments and market value thereof; (b) Aggregate amount of unquoted investments; (c) Aggregate amount of impairment in value of investments. III. Trade Receivables (i) Aggregate amount of Trade Receivables outstanding for a period exceeding six months fro .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

artner or adirector or a member should be separately stated. IV. Cash and cash equivalents Cash and cash equivalents shall be classified as: a. Balances with Banks (of the nature of cash and cash equivalents); b. Cheques, drafts on hand; c. Cash on hand; d. Others (specify nature). V. Loans (i) Loans shall be classified as: (a) Security deposits; (b) Loans to related parties (giving details thereof); (c) Others (specify nature). (ii) The above shall also be sub-classified as: (a) Secured, consid .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ding, which incorporates current assets that do not fit into any other asset categories. Other current assets shall be classified as- (i) Advances other than capital advances 1. Advances other than capital advances shall be classified as: (a) Security Deposits; (b) Advances to related parties (giving details thereof); (c) Other advances (specify nature). 2. Advances to directors or other officers of the company or any of them either severally or jointly with any other persons or advances to firm .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ion restrictions, if any, in respect of cash and bank balances shall be separately stated. D. Equity I. Equity Share Capital for each class of equity share capital: (a) the number and amount of shares authorized; (b) the number of shares issued, subscribed and fully paid, and subscribed but not fully paid; (c) par value per share; (d) a reconciliation of the number of shares outstanding at the beginning and at the end of the period; (e) the rights, preferences and restrictions attaching to each .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

options and contracts/commitments for the sale of shares/disinvestment, including the terms and amounts; (i) For the period of five years immediately preceding the date as at which the Balance Sheet is prepared: Aggregate number and class of shares allotted as fully paid up pursuant to contract(s) without payment being received in cash. Aggregate number and class of shares allotted as fully paid up by way of bonus shares. Aggregate number and class of shares bought back. (j) Terms of any securit .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

f each reserve and the amount in respect thereof); (Additions and deductions since last balance sheet to be shown under each of the specified heads) (ii) Retained Earnings represents surplus i.e. balance of the relevant column in the Statement of Changes in Equity. (iii) A reserve specifically represented by earmarked investments shall disclose the fact that it is so represented. (iv) Debit balance of Statement of Profit and Loss shall be shown as a negative figure under the head retained earnin .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

(e) Loans from related parties. (f) Long term maturities of finance lease obligations (g) Liability component of compound financial instruments (h) Other loans (specify nature). (ii) Borrowings shall further be sub-classified as secured and unsecured. Nature of security shall be specified separately in each case. (iii) Where loans have been guaranteed by directors or others, the aggregate amount of such loans under each head shall be disclosed. (iv) Bonds/debentures (along with the rate of inter .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

yment of term loans and other loans shall be stated. (vii) Period and amount of default as on the balance sheet date in repayment of borrowings and interest shall be specified separately in each case. II. Provisions The amounts shall be classified as: (a) Provision for employee benefits. (b) Others (specify nature). III. Other non-current liabilities (a) Advances (b) Others (specify nature) F. Current Liabilities I. Borrowings (i) Borrowings shall be classified as: (a) Loans repayable on demand .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ified separately in each case. II. Other Financial Liabilities Other Financial liabilities shall be classified as: (a) Current maturities of long-term debt; (b) Current maturities of finance lease obligations; (c) Interest accrued; (d) Unpaid dividends; (e) Application money received for allotment of securities to the extent refundable and interest accrued thereon; (f) Unpaid matured deposits and interest accrued thereon; (g) Unpaid matured debentures and interest accrued thereon; (h) Others (sp .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

non-current assets classified as held for sale shall be in accordance with the relevant Indian Accounting Standards (Ind ASs). H. Contingent Liabilities and Commitments (to the extent not provided for) (i). Contingent Liabilities shall be classified as: (a) Claims against the company not acknowledged as debt; (b) Guarantees excluding financial guarantees; (c) Other money for which the company is contingently liable. (ii). Commitments shall be classified as: (a) Estimated amount of contracts rem .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

for a specific purpose the whole or part of amount has not been used for the specific purpose at the Balance Sheet date, there shall be indicated by way of note how such unutilized amounts have been used or invested. 7. When a company applies an accounting policy retrospectively or makes a restatement of items in the financial statements or when it reclassifies items in its financial statements, the company shall attach to the Balance Sheet, a Balance Sheet as at the beginning of the earliest c .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ce with the requirements of the relevant Indian Accounting Standards. Accordingly, the disclosure and presentation requirements in this regard applicable to the relevant class of equity or liability shall be applicable mutatis mutandis to the preference shares. For instance, redeemable preference shares shall be classified and presented under non-current liabilities as borrowings and the disclosure requirements in this regard applicable to such borrowings shall be applicable mutatis mutandis to .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

y……………………. Statement of Profit and Loss for the period ended ……………………… (Rupees in…………) Particulars Note No. Figures for the current reporting period Figures for the previous reporting period I Revenue From Operations II Other Income III Total Income (I+II) IV EXPENSES Cost of materials consumed Purchases of Stock-in-Trade Changes in inventories of fin .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

) from Discontinued operations (after tax) (X-XI) XIII Profit/(loss) for the period (IX+XII) XIV Other Comprehensive Income A (i) Items that will not be reclassified to profit or loss (ii) Income tax relating to items that will not be reclassified to profit or loss B (i) Items that will be reclassified to profit or loss (ii) Income tax relating to items that will be reclassified to profit or loss XV Total Comprehensive Income for the period (XIII+XIV)(Comprising Profit (Loss) and Other Comprehen .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

n like manner as they apply to a Statement of Profit and Loss. 2. The Statement of Profit and Loss shall include: (1) Profit or loss for the period; (2) Other Comprehensive Income for the period. The sum of (1) and (2) above is Total Comprehensive Income . 3. Revenue from operations shall disclose separately in the notes (a) sale of products (including Excise Duty); (b) sale of services; (c) other operating revenues; 4. Finance Costs Finance costs shall be classified as: (a) interest; (b) divide .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ents of the defined benefit plans; (iii) Equity Instruments through Other Comprehensive Income; (iv) Fair value changes relating to own credit risk; (v) Share of Other Comprehensive Income in Associates and Joint Ventures, to the extent not to be classified into profit or loss; (vi) Others (specify nature). (B) Items that will be reclassified to profit or loss (i) Exchange differences in translating the financial statements of a foreign operation; (ii) Debt Instruments through Other Comprehensiv .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

bution to provident and other funds, share based payments to employees, (iv) staff welfare expenses]. (b) Depreciation and amortization expense; (c) Any item of income or expenditure which exceeds one per cent of the revenue from operations or ₹ 10,00,000, whichever is higher, in addition to the consideration of materiality as specified in clause 7 of the General Instructions for Preparation of Financial Statements of a Company. (d) Interest Income; (e) Interest Expense; (f) Dividend incom .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ferral Account Balances shall be presented in the Statement of Profit or Loss in accordance with the relevant Indian Accounting Standards. PART III- GENERAL INSTRUCTIONS FOR THE PREPARATION OF CONSOLIDATED FINANCIAL STATEMENTS 1. Where a company is required to prepare Consolidated Financial Statements, i.e., consolidated balance sheet, consolidated statement of changes in equity and consolidated statement of profit and loss, the company shall mutatis mutandis follow the requirements of this Sche .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

 

 

 

 

 



|| Home || Acts and Rules || Notifications || Circulars || Schedules || Tariff || Forms || Case Laws || Manuals ||

|| About us || Contact us || Disclaimer || Terms of Use || Privacy Policy || TMI Database || Members || Site Map ||

© Taxmanagementindia.com [A unit of MS Knowledge Processing Pvt. Ltd.] All rights reserved.

Go to Mobile Version