IND-AS

Everything You Need to Know About Ind-AS Compliance with Calzone

What is Ind-AS?

Indian Accounting Standards (Ind-AS) are the Indian adaptation of International Financial Reporting Standards (IFRS), designed to align India's financial reporting framework with global standards.

  • Enhances transparency and comparability of financial statements.
  • Mandatory for listed companies and large corporations to ensure international compliance.
  • Implemented in phases to accommodate various industries and company sizes.

Calzone offers expert Ind-AS compliance services to help businesses transition smoothly and stay compliant.

Phased Implementation of Ind-AS in India

  1. Ind-AS for Companies
    Phase I (From April 1, 2016)
    • Mandatory for:
      • Companies (listed/unlisted) with net worth = 500 Crores.
      • Holding, subsidiary, joint ventures, and associates of these companies.
    Phase II (From April 1, 2017)
    • Mandatory for:
      • All listed companies not covered in Phase I.
      • Unlisted companies with net worth between 250 - 500 Crores.
      • Holding, subsidiary, joint ventures, and associates of these companies.
    Note:
    Companies meeting the net worth threshold in any accounting year must comply from the immediate next financial year.
    SME-listed companies are not required to follow Ind-AS.
    Once a company adopts Ind-AS, it must follow it in all subsequent years, even if it no longer meets the criteria.
  2. Ind-AS for NBFCs, Banks, and Insurance Companies
    Non-Banking Financial Companies (NBFCs)
    Phase I (From April 1, 2018)
    • Mandatory for:
      • NBFCs (listed/unlisted) with net worth = 500 Crores.
      • Holding, subsidiary, joint ventures, and associates (not already covered under corporate roadmap).
    Phase II (From April 1, 2019)
    • Mandatory for:
      • Listed NBFCs or those in the process of listing with net worth <>500 Crores.
      • Unlisted NBFCs with net worth 250 - 500 Crores.
      • Holding, subsidiary, joint ventures, and associates (not already covered under corporate roadmap).
    • Key Considerations for NBFCs:
      • NBFCs with net worth <>250 Crores are NOT required to apply Ind-AS (even voluntarily).
      • Ind-AS must be applied to both standalone and consolidated financial statements.
    • Ind-AS for Banks & Insurance Companies
      • Scheduled Commercial Banks (Excluding RRBs):
        • Initially planned for April 1, 2018, then deferred to April 1, 2019.
        • Further deferred until further notice by the RBI.
      • Insurers and Insurance Companies:
        • Ind-AS implementation postponed indefinitely by IRDAI.

Applicable Financial Statement Formats Under Ind-AS

The Ministry of Corporate Affairs (MCA) introduced divisions under Schedule III of the Companies Act, 2013:

Division I :

  • Applicable to companies following traditional Accounting Standards.

Division II :

  • Applicable to companies following Ind-AS.

Division III :

  • Applicable to NBFCs following Ind-AS.

Calzone ensures compliance with the latest MCA amendments, helping businesses adapt seamlessly.

Key Considerations for Ind-AS Compliance

  • Companies governed by other acts (e.g., Electricity Companies, Insurance Companies) are exempt from Schedule III unless no specific format exists.
  • Entities following Ind-AS must adhere to Schedule III (Division II or III) and MCA guidelines.
  • Financial statements must follow standardized Ind-AS formats to ensure consistency.

Need Ind-AS compliance assistance? Contact Calzone today for expert guidance!

How Calzone Helps Businesses with Ind-AS Compliance

  • Ind-AS Transition & Implementation
    • We assess your business structure to determine Ind-AS applicability.
    • Smooth transition process from existing Accounting Standards to Ind-AS.
  • Ind-AS Financial Statement Preparation
    • Preparation of Ind-AS compliant balance sheets, profit & loss statements, and cash flow statements.
    • Ensuring compliance with Schedule III and relevant industry-specific requirements.
  • Ind-AS Training & Advisory
    • Conducting training sessions for finance teams to understand Ind-AS implications.
    • Ongoing advisory support for new Ind-AS amendments and updates.
  • Ind-AS Audit & Review Assistance
    • Prepares businesses for external audits by ensuring accurate Ind-AS financial reporting.
    • Bridges the gap between accounting teams and auditors to streamline the audit process.

Looking for Ind-AS compliance support? Contact Calzone today and get expert assistance!

Why Choose Calzone for Ind-AS Compliance?

  • Expert Guidance - Our team of Ind-AS professionals ensures seamless compliance and reporting.
  • Customized Solutions - We offer tailored Ind-AS implementation strategies for your business.
  • End-to-End Support - From initial assessment to final reporting, we handle everything.
  • MCA & RBI Compliance - Stay updated with regulatory changes and avoid penalties.
  • Cost-Effective Services - High-quality compliance solutions at affordable pricing.

Stay Ind-AS compliant with Calzone - Your trusted accounting partner!

Frequently Asked Questions (FAQs)

Ind-AS is mandatory for listed companies, large unlisted companies, NBFCs, and holding/subsidiary entities exceeding specified net worth thresholds.

Yes, but once adopted, it must be followed for all subsequent financial years.

Ind-AS aligns with IFRS, ensuring global comparability, transparency, and better financial decision-making.

Non-compliance may result in regulatory fines, rejection of financial statements, and legal consequences.

Calzone provides end-to-end Ind-AS services, including implementation, training, financial statement preparation, and compliance audits.
 
     
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