IFRS: Govt notifies 35 converged accounting standards

Our Bureau New Delhi | Updated on November 16, 2017

The Centre has taken a big step towards ushering in the international financial reporting standards (IFRS) era in Corporate India.

The Corporate Affairs Ministry on Friday announced that it has notified all the 35 accounting standards converged with IFRS. These converged standards will be called as IND AS.

But the Corporate Affairs Ministry has stumped India Inc and other corporate observers by announcing that the date of implementation of the IND AS will be notified (by the Ministry) at a later date. This has led to doubts that IFRS will not come into force from April 1, as indicated earlier.

The Centre had earlier announced three-phase roadmap beginning April 1. As part of the roadmap, companies part of BSE Sensex and NSE Nifty, those listed on overseas stock exchanges and also those with net worth above Rs 1,000 crore were to move to IFRS with effect from April 1.

Many corporate watchers see the latest Government move as a postponement of IFRS implementation. However, some stakeholders including the accountancy body, ICAI do not see it as a deferment.

?We welcome the Corporate Affairs Ministry's move. By doing this, it has brought some certainty that IFRS will be implemented in India. It is now definitely going to come. The day is not far off although the implementation date is yet to be notified,? Mr G. Ramaswamy, President, ICAI, told Business Line here.

Mr Aseem Chawla, Tax Partner, Amarchand & Mangaldas said that the missing link that still remains is the tax prescription.

?Now all eyes would be on the Budget if any policy announcements are made with regards to tax implications of IFRS regime?.

Published on February 26, 2011

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