IFRS in India - jb nagar cpe study circle of wirc of icai

IFRS in India – Its Status, Overview of Concepts and Impact in IndiaCarve Outs in CIAS from IFRSIFRSED AS 1(R) Presentation of Financials Statements• Required that the components of profit or loss andstatement of other comprehensive income shall bepresented in a two statement.ED AS 3(R) Statement of Cash Flows• Provide an option to other than financial entities toclassify the interest paid and interest and dividendsreceived as an item of operating cash flows also.• Provide an option to classify the dividend paid as anitem of operating cash flows also.ED AS 15(R) Employee Benefits• Permits various options for treatment of actuarial gainsand losses• Does not provide guidance about the interval foractuarial valuation of defined benefit obligation• Rate of government bond can be used as a discountrate only where there is no deep market of high qualitycorporate bonds.Converged Indian Accounting Standard• Required that the components of profit or loss andstatement of other comprehensive income shall bepresented in a single statement of profit or loss.• Have to classify the interest paid and interest anddividends received as an item of financing and investingcash flows activity.• Have to classify the dividend paid as an item offinancing activity.• Requires immediate recognition of actuarial gain andloss in profit or loss• Provide guidance about the actuarial valuation ofdefined benefit obligation may be made at interval notexceeding three years• Rate of government bond shall be used to discount postemployment benefits obligation.Slide 30