Indian Accounting Standards

Indian Accounting Standards

Indian Accounting Standards (abbreviated as India AS) are a set of accounting standards notified by the Ministry of Corporate Affairs which are converged with International Financial Reporting Standards (IFRS). These accounting standards are formulated by Accounting Standards Board of Institute of Chartered Accountants of India. Now India will have two sets of accounting standards viz. existing accounting standards under Companies (Accounting Standard) Rules, 2006 and IFRS converged Indian Accounting Standards(Ind AS). The Ind AS are named and numbered in the same way as the corresponding IFRS. NACAS recommend these standards to the Ministry of Corporate Affairs. The Ministry of Corporate Affairs has to spell out the accounting standards applicable for companies in India. As on date the Ministry of Corporate Affairs notified 35 Indian Accounting Standards(Ind AS). But it has not notified the date of implementation of the same.[1]

OBJECTIVE The basic objective of Accounting Standards is to remove variations in the treatment of several accounting aspects and to bring about standardization in presentation. They intent to harmonize the diverse accounting policies followed in the preparation and presentation of financial statements by different reporting enterprises so as to facilitate intra-firm and inter-firm comparison.

List of Indian Accounting Standards(Currently Applicable)

The following are the mandatory Accounting Standards (AS) as on July 1, 2012 as listed on the site of The Institute of Chartered Accountants of India (ICAI)

AS 1 Disclosure of Accounting Policies

All significant accounting policies adopted in the preparation and presentation of financial statements should be disclosed.

AS 2 Valuation of Inventories

It is to formulate the method of computation of valuation of stock, determining the closing stock is to be shown in balance sheet till it is not sold and recognized as revenue.

AS 3 Cash Flow Statement

It is an additional information statement exhibits the flow of incoming and outgoing cash.It assess the ability of the enterprise to generate cash and utilize.One of the tools for assessing the liquidity or solvency of the enterprise..

AS 4 Contingencies and Events Occurring after the Balance Sheet Date

This concept is for preparing financial statements accounting is done by the following accrual basis of finding profit or loss account(p\l) for the year and recognise assets and liabilities in balance sheet ( B/s).

Liabilites and Assest.

AS 5 Net Profit or Loss for the period,Prior Period Items and Changes in Accounting Policies

profit or loss account is a period statement covers the items of income and expenditure of particular period and also deals with change in accounting policy

  • AS 6 Depreciation Accounting
  • AS 7 Construction Contracts (revised 2002)'''(not applicable)

  • AS 8 Accounting for Research and Development (AS-8 is no longer in force since it was merged with AS-26)
  • AS 9 Revenue Recognition
  • AS 10 Accounting for Fixed Assets
  • AS 11 The Effects of Changes in Foreign Exchange Rates (revised 2003),
  • AS 12 Accounting for Government Grants
  • AS 13 Accounting for Investments
  • AS 14 Accounting for Amalgamations
  • AS 15 Employee Benefits (revised 2005)
  • AS 16 Borrowing Costs
  • AS 17 Segment Reporting
  • AS 18 Related Party Disclosures
  • AS 19 Leases
  • AS 20 Earnings Per Share
  • AS 21 Consolidated Financial Statements
  • AS 22 Accounting for Taxes on Income.
  • AS 23 Accounting for Investments in Associates in Consolidated Financial Statements
  • AS 24 Discontinuing Operations
  • AS 25 Interim Financial Reporting
  • AS 26 Intangible Assets
  • AS 27 Financial Reporting of Interests in Joint Ventures
  • AS 28 Impairment of Assets
  • AS 29 Provisions,Contingent Liabilities and Contingent Assets
  • 'AS 30 Financial Instruments: Recognition and Measurement and Limited

Revisions to AS 2, AS 11 revised 2003, AS 21, AS 23, AS 26, AS 27, AS 28 and AS 29

  • AS 31 Financial Instruments: Presentation
  • AS 32 Financial Instruments: Disclosures, and limited revision to Accounting Standard

List of Indian Accounting Standards(IND ASs)

IND ASs are converged with International Financial Reporting Standrands. Following is the list of IND ASs hosted on MCA's website. The date on which these come into force is yet to be notified.

  • Ind AS 101 First-time Adoption of Indian Accounting Standards *
  • Ind AS 102 Share based Payment *
  • Ind AS 103 Business Combinations *

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  • Ind AS 104 Insurance Contracts *
  • Ind AS 105 Non current Assets Held for Sale and Discontinued Operations *
  • Ind AS 106 Exploration for and Evaluation of Mineral Resources *
  • Ind AS 107 Financial Instruments: Disclosures *
  • Ind AS 108 Operating Segments *
  • Ind AS 1 Presentation of Financial Statements *
  • Ind AS 2 Inventories *
  • Ind AS 7 Statement of Cash Flows *
  • Ind AS 8 Accounting Policies, Changes in Accounting Estimates and Errors *
  • Ind AS 10 Events after the Reporting Period *
  • Ind AS 11 Construction Contracts *
  • Ind AS 12 Income Taxes *
  • Ind AS 16 Property, Plant and Equipment *
  • Ind AS 17 Leases *
  • Ind AS 18 Revenue *
  • Ind AS 19 Employee Benefits *
  • Ind AS 20 Accounting for Government Grants and Disclosure of Government Assistance *
  • Ind AS 21 The Effects of Changes in Foreign Exchange Rates *
  • Ind AS 23 Borrowing Costs *
  • Ind AS 24 Related Party Disclosures *
  • Ind AS 27 Consolidated and Separate Financial Statements *
  • Ind AS 28 Investments in Associates *
  • Ind AS 29 Financial Reporting in Hyper inflationary Economies *
  • Ind AS 31 Interests in Joint Ventures *
  • Ind AS 32 Financial Instruments: Presentation *
  • Ind AS 33 Earnings per Share *
  • Ind AS 34 Interim Financial Reporting *
  • Ind AS 36 Impairment of Assets *
  • Ind AS 37 Provisions, Contingent Liabilities and Contingent Assets *
  • Ind AS 38 Intangible Assets *
  • Ind AS 39 Financial Instruments: Recognition and Measurement *
  • Ind AS 40 Investment Property *
  • ind as 41 Golden role of accounting

See also


  1. ^ "Indian Accounting Standards Converged with IFRS Notified". Press Information Bureau. Retrieved 25 February 2011. 

Additional sources

  • India Inc has its way, IFRS put off - Indian Express
  • Jamil Khatri's IFRS Diary: Part 10 – from
  • Difference in IND AS and Existing AS – from
  • Differences between IFRS AND Ind AS – from

External links

  • Welcome to the E Learning Portal on IFRS
  • MCA notifies accounting norms similar to IFRS - Economy and Politics -
  • Press Information Bureau English Releases
  • IFRS In India – The Journey so far | Rhapsody Services - IFRS and XBRL in India Blog
  • Notes on AS 29 - Provisions, Contingent Liabilities and Contingent Assets