Please enable JavaScript.
Coggle requires JavaScript to display documents.
Ind-AS 101: First Time Adoption of Ind AS (Optional Exceptions Choose…
Ind-AS 101: First Time Adoption of Ind AS
Basics
First time preparation of FS as per Ind-AS
with explicit & unreserved statement about adoption of all Ind-AS
First Ind-AS statements should be
presented with full comparative statement
Opening B/s at transition date as per Ind-AS
shall also be prepared
Transition date means beginning of comparative period
Transition Rules
Changes in assets & liabilities during
transitional phase should not be considered as change in policy
Recognition of A/L
De-recognition of A/L
Re-classification of headings
Measurement of A/L
Mandatory Exceptions
Retrospective adj not allowed
Negative NCI
NCI cannot be shown as -ve
Minority int under AS 21 will be shown
as it is in B/s as per Ind-AS 110 at transition date
-ve NCI can be shown only for future losses on prospective basis
Estimates
We can continue with estimates made earlier
unless there are errors (thenn they should be restated)
Derivatives
All derivatives to be disclosed in
new B/s at fair value
Govt Loan at Concessional Rates
FV of loan - Fin Liability - Ind-AS 109
Bal - Govt grant due to concession in int rate - Ind-AS 20
Optional Exceptions
Choose either prospective or retrospective change
Share Based Payment Reserve
Vested options
Continue with same balance or
Consider its fair value
Unvested Options
Consider FV at transition date
PPE & IA
Consider at FV or deemed cost(carrying amt) on transition date
Investment in Subsidiaries, JV, Associates
Transition can be made at FV or carrying amt
Foreign Operations
FC Translation Reserve can be carried at carrying amt
or
Transfer FCTR to retained earnings. Now future differences
shall be accumulated as per Ind-AS
Long Term FC loans
Continue with existing policy under Para 46/46A or
Discontinue this policy and start applying Ind-AS
Business Combinations
No remeasurement required and use
carrying amt as per AS or
If remeasurement is made for past business combinations
then all subsequent business combinations shall also be remeasured