Illustrated Guide to Indian Accounting Standards (Ind AS)

This book provides a comprehensive commentary on the Indian Accounting Standards (Ind ASs) & detailed analysis of amended Schedule III of the Companies Act 2013. It addresses the implementation and adaptation of Ind AS in India, reflecting their convergence with International Financial Reporting Standards (IFRS).

This book is an exhaustive commentary on Indian Accounting Standards, making it an essential resource for accounting professionals, students, and anyone seeking to understand and implement Ind AS in financial reporting.

The Present Publication is the 9th Edition, and the law stated in the book is amended up to 15th May 2024. It incorporates the Companies (Indian Accounting Standards) (Amendment) Rules, 2023. This book is authored by B.D. Chatterjee & Jinender Jain, with the following noteworthy features:

[Simplified Process Flow Diagrams] The book includes numerous diagrams to help readers understand and comprehend the nuances of each Ind AS in a simplified and lucid language
[Extensive Visual Aids] Over 200 process flow diagrams, charts, illustrations, and case studies are provided to analyse the Ind AS and its convergence with IAS/IFRS. These are updated with the latest notified amendments based on practical issues and questions
[Definitions and Application Guidance] Critical chapters incorporate essential definitions and application guidance for better clarity
[Detailed Comparative Analysis] The book offers a comprehensive comparison of Ind AS with amended Accounting Standards (AS).
[Case Studies] Practical case studies on the disclosure of accounting policies are included to provide real-world examples
[Global Perspective] Each chapter highlights the convergence of Ind AS with IFRS, providing a global context
[References] The book references notified texts on Ind AS and AS published by the Ministry of Corporate Affairs, ICAI publications, and adaptations from ACCA UK
[Additional Content] The 9th Edition also includes short questions and answers, over 150 multiple-choice questions on Ind AS, and additional illustrations based on practical issues and questions
The detailed contents of this book are as follows:

Financial Reporting in India and Conceptual Framework for Financial Reporting
Provides an overview of financial reporting practices in India
Discusses the conceptual framework that underpins financial reporting
Explains the objectives, qualitative characteristics, and limitations of financial statements
Indian Accounting Standards (Ind AS) Applicability and Summary
Details the applicability of various Ind AS to different types of entities
Summarizes each of the Indian Accounting Standards, offering a snapshot of their key points
Ind AS 1 ? Presentation of Financial Statements and Schedule III
Focuses on the guidelines for presenting financial statements
Explains the requirements of Schedule III of the Companies Act
Emphasizes the structure and content of financial statements, including balance sheets, profit and loss statements, and notes
Ind AS 2 ? Inventories
Provides standards for accounting and reporting inventories
Covers measurement, cost determination, and recognition of inventories
Discusses the impact of inventories on financial statements
Ind AS 7 ? Statement of Cash Flows
Guides the preparation and presentation of cash flow statements
Explains the classification of cash flows into operating, investing, and financing activities
Highlights the importance of cash flow information in financial analysis
Ind AS 8 ? Accounting Policies, Changes in Accounting Estimates, and Errors
Sets out the criteria for selecting and changing accounting policies
Addresses how to account for changes in accounting estimates
Details the correction of errors in financial statements
Ind AS 10 ? Events Occurring After the Reporting Period
Explains the treatment of events that occur after the reporting period but before the financial statements are authorized for issue
Differentiates between adjusting and non-adjusting events
Ind AS 12 ? Income Taxes
Provides guidance on the accounting treatment of income taxes
Discusses current and deferred tax, tax bases, and temporary differences
Explains the recognition of tax assets and liabilities
Ind AS 16 ? Property, Plant, and Equipment
Focuses on the accounting for property, plant, and equipment
Covers recognition, measurement, depreciation, and derecognition of assets
Discusses revaluation models and impairment testing
Ind AS 17 ? Leases
Provides standards for accounting for lease agreements by lessees and lessors
Covers the classification of leases as finance or operating leases
Explains the recognition, measurement, and disclosure requirements
Ind AS 19 ? Employee Benefits
Addresses the accounting for employee benefits, including short-term and long-term benefits
Discusses post-employment benefits, termination benefits, and other long-term benefits
Explains the recognition and measurement of defined benefit and defined contribution plans
Ind AS 20 ? Accounting for Government Grants and Disclosure of Government Assistance
Sets out the principles for recognizing and measuring government grants
Provides guidelines for the disclosure of government assistance
Discusses the impact of grants on financial performance
Ind AS 21 ? The Effects of Changes in Foreign Exchange Rates
Provides standards for accounting for foreign currency transactions
Covers the translation of financial statements and the impact of exchange rate changes
Discusses the recognition of foreign exchange gains and losses
Ind AS 23 ? Borrowing Costs
Sets out the accounting treatment of borrowing costs
Explains when borrowing costs should be capitalized as part of the cost of a qualifying asset
Discusses the calculation and recognition of borrowing costs
Ind AS 24 ? Related Party Disclosures
Requires the disclosure of related party relationships, transactions, and outstanding balances
Aims to provide transparency regarding the influence of related parties on financial statements
Ind AS 27 ? Separate Financial Statements
Provides guidance on the preparation of separate financial statements for entities with subsidiaries, associates, or joint ventures
Explains the accounting policies to be applied in separate financial statements
Ind AS 28 ? Investments in Associates and Joint Ventures
Covers the accounting for investments in associates and joint ventures using the equity method
Discusses the recognition, measurement, and disclosure of such investments
Ind AS 29 ? Financial Reporting in Hyperinflationary Economies
Provides guidelines for entities operating in hyperinflationary economies
Explains the adjustments required to financial statements to reflect the effects of hyperinflation
Ind AS 32 ? Financial Instruments | Presentation
Sets out the principles for the presentation of financial instruments as liabilities or equity
Covers compound financial instruments and the classification of interest, dividends, losses, and gains
Ind AS 33 ? Earnings per Share
Provides guidance on the calculation and presentation of earnings per share (EPS)
Explains the requirements for basic and diluted EPS
Ind AS 34 ? Interim Financial Reporting
Sets out the principles for recognizing and measuring items in interim financial reports
Explains the requirements for the minimum content of an interim financial report
Ind AS 36 ? Impairment of Assets
Provides guidelines for the assessment of asset impairment
Covers the recognition and measurement of impairment losses and reversals
Discusses the cash-generating unit (CGU) concept
Ind AS 37 ? Provisions, Contingent Liabilities, and Contingent Assets
Sets out the accounting treatment for provisions, contingent liabilities, and contingent assets
Explains the criteria for recognizing and measuring provisions
Ind AS 38 ? Intangible Assets
Provides standards for the recognition and measurement of intangible assets
Covers internally generated intangible assets and their amortization
Ind AS 40 ? Investment Property
Provides guidelines for the recognition, measurement, and disclosure of investment property
Explains the use of fair value and cost models
Ind AS 41 ? Agriculture
Sets out the accounting treatment for agricultural activity
Covers the recognition and measurement of biological assets and agricultural produce
Ind AS 101 ? First-time Adoption of Indian Accounting Standards
Provides guidance for entities adopting Ind AS for the first time
Explains the transition requirements and exemptions
Ind AS 102 ? Share-based Payment
Provides standards for the recognition and measurement of share-based payment transactions
Covers both equity-settled and cash-settled share-based payments
Ind AS 103 ? Business Combinations
Sets out the accounting principles for business combinations
Explains the recognition and measurement of acquired assets, liabilities, and goodwill
Ind AS 104 ? Insurance Contracts
Provides guidance on the accounting treatment of insurance contracts
Covers the recognition and measurement of insurance liabilities
Ind AS 105 ? Non-current Assets Held for Sale and Discontinued Operations
Sets out the requirements for the classification, measurement, and presentation of non-current assets held for sale and discontinued operations
Ind AS 106 ? Exploration for and Evaluation of Mineral Resources
Provides standards for the exploration and evaluation of mineral resources
Covers the recognition and measurement of exploration and evaluation expenditures
Ind AS 107 ? Financial Instruments | Disclosures
Requires disclosures about the significance of financial instruments and the nature and extent of risks arising from those instruments
Ind AS 108 ? Operating Segments
Provides guidelines for the disclosure of information about operating segments
Explains the criteria for identifying reportable segments
Ind AS 109 ? Financial Instruments
Sets out the principles for the recognition, measurement, and classification of financial instruments
Covers the impairment of financial assets and hedge accounting
Ind AS 110 ? Consolidated Financial Statements
Provides standards for the preparation and presentation of consolidated financial statements
Explains the principles for identifying control and preparing consolidated financial statements
Ind AS 111 ? Joint Arrangements
Provides guidelines for the accounting of joint arrangements, including joint operations and joint ventures
Ind AS 112 ? Disclosure of Interests in Other Entities
Requires disclosures about an entity’s interests in subsidiaries, joint arrangements, associates, and unconsolidated structured entities
Ind AS 113 ? Fair Value Measurement
Provides a framework for measuring fair value and requires disclosures about fair value measurements
Explains the hierarchy of fair value inputs
Ind AS 114 ? Regulatory Deferral Accounts
Sets out the accounting requirements for regulatory deferral accounts
Applies to entities that are subject to rate regulation
Ind AS 115 ? Revenue from Contracts with Customers
Provides comprehensive guidelines for recognizing revenue from contracts with customers
Explains the five-step model for revenue recognition
Ind AS 116 ? Leases
Provides comprehensive guidance on lease accounting
Covers the recognition, measurement, presentation, and disclosure of leases
Short Questions and Answers on Ind AS
Offers a collection of short questions and answers for quick reference and review
Multiple Choice Questions on Ind AS
Includes multiple-choice questions to test knowledge and understanding of Ind AS