The recently reconstituted National Advisory Committee on Accounting Standards (NACAS) will hold its first meeting on October 11, its Chairman Amarjit Chopra has said.

This meeting — to be held in the capital — will reiterate Government's commitment made in the Budget as regards adoption of IFRS-converged standards by Indian companies. IFRS stands for International Financial Reporting Standards (IFRS), a set of internationally recognised accounting standards.

Finance Minister Arun Jaitley had, in his maiden Budget, announced that Indian companies would adopt IFRS-converged standards from 2016-17, and voluntarily from 2015-16.

Chopra also said the NACAS meeting will discuss the hurdles foreseen in the implementation of IFRS.

Variations

“There are definition-related issues that need to be addressed. There are differences between the definition specified in the accounting standards and the Companies Act. A case in point being the definition of related party transaction,” Chopra told BusinessLine here.

The Centre had on September 18 constituted the 13-member NACAS, including representatives of chambers of commerce and some regulatory bodies.

Office bearers

The main purpose of setting up NACAS is to advise the Central Government on the formulation and laying down of accounting policies and accounting standards.

While the Confederation of Indian Industry has nominated Rostow Ravanan to NACAS, industry body Assocham has nominated Ashok Haldia (former CA Institute Secretary).

Adesh Gupta is the nominee of Federation of Indian Chambers of Commerce and Industry in NACAS.

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