ICAI has issued revised/ updated Guidance Notes (2022 Edition) on Ind AS Compliance by ‘Non Ind AS Companies’ (Division I), ‘Ind AS Companies’ (Division II) and ‘NBFCs’ (Division III) for preparation and presentation of Financial Statements in line with the requirements of Schedule III of the Companies Act 2013 as amended by MCA, vide Notification dt. 24/03/2021.
MCA has recently further revised the Divisions I, II and III to Schedule III to the Companies Act, 2013, prescribe several additional requirements, vide Notification dt. 24/03/2021, mainly relating to disclosure of Ageing Schedule of Trade Payables, Trade Receivables, Capital Work in Progress (CWIP), Intangible Assets under development, Promoters’ shareholding pattern/ ratios in subsidiaries, Undisclosed Incomes, Crypto Currency, Wilful Defaulters, CSR, reconciliation of statements filed with banks soliciting working capital, mandatory rounding off, re-classification of certain line items, etc. which are aimed to improve the quality/ reliability of financial statements.
Accordingly, the ICAI has issued the revised/ updated Guidance Notes for providing appropriate guidance to Non-Ind As/ Ind As Companies and NBFCs, so that all additional/ new requirements of Ind AS Compliance under Schedule III can be duly fulfilled by these companies. Detailed notes have also been provided on various items of the Schedule III and issues and intricacies involved therein which will surely help the readers/ stakeholders to understand the above amendments made by MCA in March 2021, in Divisions I, II & III to Schedule III of the Companies Act, 2013:
ICAI Guidance Note on Compliance by Non Ind AS Companies for preparation of Financial Statements under Division I of Schedule III to CA 2013 (January 2022 Edition)
ICAI Guidance Note on Compliance by Ind AS Companies for preparation of Financial Statements under Division II of Schedule III to CA 2013 (January 2022 Edition)
ICAI Guidance Note on Ind AS Compliance by NBFCs for preparation of Financial Statements under Division III of Schedule III to CA 2013 (January 2022 Edition)
MCA Notification dt. 24/03/2021 on Amendments in Schedule III to the Companies Act 2013, applicable w.e.f. 01/04/2021