The Roadmap for implementation of Indian Accounting Standards (Ind AS) for commercial Banks (Banks), Insurance Companies (Insurers), Non-Banking Financial Companies (NBFCs) and Other Corporates/Companies with implementation schedule is as follows:
Scheduled Commercial Banks (excluding Regional Rural Banks)
Scheduled Commercial Banks (excluding Regional Rural Banks) were to adopt the IND ASs for accounting periods beginning from 01/04/2018 and onwards for preparation of financial statements.
In April 2018, the RBI deferred the implementation of Ind AS for these banks for one year. Later, in March 2019, the RBI issued another notification to further postpone the implementation of Ind AS, until further notice.
Insurance companies
Insurers and Insurance Companies were to adopt IND ASs for the accounting periods beginning from 01/04/2018 and onwards for preparation of financial statements.
In June 2017, the Insurance Regulatory and Development Authority of India (IRDAI) deferred the implementation of IND ASs for the Insurance Sector in India for two years. Again in January 2020, the IRDAI announced to further postpone the implementation, until further notice.
Non-banking Finance Companies (NBFCs)
Phase-wise schedule of adoption of IND ASs by NBFCs for preparation of financial statements (both Consolidated and individual):
Phase 1
i) NBFCs (listed or unlisted) with networth of Rs 500 crore and more: Accounting periods beginning from 01/04/2018 and onwards
ii) Holding, Subsidiary, JV and Associate companies of these NBFCs (excluding those which are covered under Corporate Roadmap for Other Companies): Accounting periods beginning from 01/04/2018 and onwards
Phase II
i) NBFCs that are listed or in the process of being listed and having networth of less than Rs 500 crores: Accounting periods beginning from 01/04/2019 and onwards
ii) Unlisted NBFCs having networth between Rs 250 crores and Rs 500 crores: Accounting periods beginning from 01/04/2019 and onwards
(iii) Holding, subsidiary, joint venture or associate companies of (i) and (ii) above (excluding those which are covered under Corporate Roadmap for Other Companies): Accounting periods beginning from 01/04/2019 and onwards
Corporate Roadmap (for Companies other than Banks, NBFCs and Insurance Companies)
Phase I (Voluntary)
Any company and its holding, subsidiary, joint venture or associate company: Accounting periods beginning from 01/04/2015 and onwards
Phase I (Mandatory)
i) Companies listed or in the process of listing on Stock Exchanges in India or outside with a net worth of Rs 500 crore or more: Accounting periods beginning from 01/04/2016 and onwards
ii) Unlisted Companies with a net worth of Rs 500 crore or more: Accounting periods beginning from 01/04/2016 and onwards
iii) Parent, Subsidiary, Associate and Joint Venture companies of the above: Accounting periods beginning from 01/04/2016 and onwards
Phase II
i) All companies listed or in the process of listing on Stock Exchanges (other than SME Exchanges) not covered in Phase I: Accounting periods beginning from 01/04/2017 and onwards
ii) Unlisted companies with a net worth between Rs 250 crore and 500 crore: Accounting periods beginning from 01/04/2017 and onwards
iii) Parent, Subsidiary, Associate and Joint Venture companies of the above: Accounting periods beginning from 01/04/2017 and onwards
Note: 1. Companies listed on SME exchanges are exempt from applying Ind AS.
2. Once Ind AS is applicable, the entity must follow Ind AS for all subsequent financial statements.
3. Companies not covered in the roadmap will continue to apply the Accounting Standards notified in Companies (Accounting Standards) Rules, 2006 (now superseded by Companies (Accounting Standards) Rules, 2021).