Ind AS Accounting and Disclosure Guide (March 2024)

Our publication ‘Ind AS – Accounting and Disclosure Guide (the guide)’ is an extensive tool designed to assist companies in preparing financial statements in accordance with Indian Accounting Standards (Ind AS) and Division II of Schedule III to the Companies Act, 2013 by identifying the potential accounting considerations and disclosure requirements that are applicable to them. It covers key recognition, measurement and disclosure requirements for each standard along with some additional considerations.

The guide contains 39 checklists based on Ind AS notified and as amended by the Ministry of Corporate Affairs (MCA) upto 29 February 2024. Ind AS amendments applicable from 1 April 2023 have been incorporated in the checklist in the form of questions, they have also been incorporated as footnotes to the relevant questions and as new developments in the executive summary of the relevant Ind AS. The guide covers disclosure requirements prescribed by Division II of Schedule III to the Companies Act, 2013, and relevant clarifications provided by the Ind AS Technical Facilitation Group (ITFG). It also includes the interpretations issued by the Institute of Chartered Accountants in India (ICAI) in the form of Frequently Asked Questions (FAQs). The guide also incorporates references of all questions covered in the Ind AS Disclosures Checklist (Revised) issued by ICAI in November 2022.

The ‘checklist’ will assist companies in determining whether the guidance in each Ind AS applies to them and also evaluate whether they have met the accounting and disclosure requirements. It is designed in a question-based format that will seek a response on whether a preparer has complied with each significant accounting consideration or disclosure requirement in the standard. Typically, a ‘yes’ response will indicate compliance, whereas a ‘no’ response will indicate non-compliance. An ‘NA’ response indicates that the transaction/financial statement item does not apply to the entity. This is intended to act as a comprehensive tool to assist in financial statements preparation under Ind AS and easily identify areas of non-compliance in a structured and comprehensive manner.

This guide has been prepared to assist entities in complying with the significant accounting, reporting and disclosure requirements of Ind AS. However, the preparation of an entity’s financial statements entails the use of judgement in terms of the evaluation and selection of accounting policies and disclosure choices based on the standards, the entity’s specific circumstances and the materiality of disclosures in the context of the organisation.

We hope you find this publication useful and welcome any suggestions or feedback that you may have.

You can also reach us for feedback and questions at: aaupdate@kpmg.com.