difference between ind as 115 and ind as 18

endobj For example, when the selling price of a product includes an identifiable amount for subsequent servicing, that amount is deferred and recognised as revenue over the period during which the service is performed. 0000008232 00000 n h�b```b``��|�A�؀��)��#��h��&e�W�+��|e5\h0.%��4�r��(�|8 1�#Ĉ#�M@��'��g��^��l��!�F��OǬ��Vsd�v��k�ͻ�C�5El�tx��[�ُ�XW1��ǅ�F��'y��|Q��o�ή�,��^��-�ѫ�Z��.ǖ;RK��.�ݿ��#��Ǻ�R��o�&��[�$f�{�{��rSla�4:v��ڟ�X�Qr��.�(�H�9��e�d뗙p��@W]ڧ�is�Ǭ� $��`Z��dl 0000027050 00000 n 0000009473 00000 n and revised guidance note of the Institute of Chartered Accountants of India (ICAI) on Accounting for Real Estate Transactions for Ind AS entities issued in 2016. Following the deferral of IFRS 15 to 1 January 2018, the MCA also deferred the application of Ind AS 115 on 30 March 2016, and issued Ind AS 11 (construction contract) and Ind AS 18 (revenue recognition). 407 0 obj 504 0 obj Ind AS is expected to replace Ind AS 17 WEF from its proposed effective date being for annual periods beginning on or after 1 st April, 2019. 514 0 obj 0000034233 00000 n <> endobj <>stream 2018-03-30T18:39:50.000+05:30 Microsoft® Word 2013 11.695 89 0 obj 0000001699 00000 n The objective of Ind AS 115 is to establish the principles that an entity shall apply to report useful information to users of financial statements about the nature, amount, timing and uncertainty of revenue and cash flows arising from a contract with a customer. 506 0 obj [400 0 R 405 0 R 411 0 R 412 0 R 414 0 R 420 0 R 421 0 R 423 0 R 429 0 R 430 0 R 431 0 R 434 0 R 440 0 R 441 0 R 443 0 R 449 0 R 450 0 R 452 0 R 458 0 R 459 0 R 460 0 R 461 0 R 462 0 R 463 0 R 464 0 R 465 0 R 466 0 R] �+�z��N2JD�*}r.�y�ܻ��^`G�Wz�ޘGw�4K9�[Z�G&-+"P��k��}��>R��[t��L#�-� endobj <> KEY DIFFERENCES- AS VS. IND AS 1. endobj 473 0 obj 0000003535 00000 n [127 0 R 129 0 R 133 0 R 134 0 R 136 0 R 137 0 R 138 0 R 141 0 R 142 0 R 144 0 R 145 0 R 148 0 R 148 0 R 149 0 R 151 0 R 152 0 R 155 0 R 155 0 R 156 0 R 158 0 R 159 0 R 160 0 R 163 0 R 163 0 R 164 0 R 166 0 R 167 0 R 168 0 R 169 0 R 170 0 R 171 0 R 172 0 R 173 0 R 174 0 R 175 0 R 176 0 R 177 0 R 178 0 R 179 0 R 180 0 R 181 0 R 182 0 R 183 0 R 184 0 R 185 0 R 186 0 R 187 0 R 188 0 R 189 0 R 190 0 R 191 0 R 192 0 R 193 0 R 194 0 R 195 0 R 196 0 R 197 0 R 198 0 R 199 0 R 200 0 R 201 0 R 202 0 R 203 0 R 204 0 R 205 0 R 206 0 R 207 0 R 208 0 R 209 0 R] 425 0 obj WHAT IS REVENUE (OLD) GROSS inflow of ECONOMIC BENEFITS 1. 0000034863 00000 n endobj endobj Ind AS 16, Property, Plant and Equipment . <> 8.268333333333334 2018-03-30T09:09:50.000-04:00 503 0 obj 94 0 obj Sr. No. Microsoft® Word 2013 Agenda . <> 416 0 obj 0000004276 00000 n endobj Difference Between AS 9 and Ind AS 18. Ind AS 115 addresses revenue from contracts with customers and so is only applied to a contract in its scope if the counterparty to the contract is a customer. Discounts?? 0000033603 00000 n Following are the GAAP differences between AS – 19 and IND AS 17. Ind AS 11 deals with revenue arising from construction contracts. Basis of Differences: Ind AS 24: AS 18: Definition of Relative: Uses the term â€• a close member of the family of a person: Uses the term â€• relatives of an individual. Ind AS 116/ IFRS 16 – Leases Transition from Ind AS/ IAS 17 New Definition of Lease Lessee’s Accounting under new guidance of Ind AS 116/ IFRS 16 Impact of Ind AS 116/ IFRS 16 on different industries like Telecom, Manufacturing, Automobile, Oli and Gas etc. <> <>stream Identify the Contract with a customer. Ind AS 18, Revenue. However, components of the transactions which are required to be assessed … 90 0 obj Appendix B – Evaluating the substance of transaction involving legal form of lease 4. Ind AS 10 Events after the Reporting Period: 15. trailer <<02383106C4FE4029B1F80B642F41FDCA>]/Prev 431654>> startxref 0 %%EOF 153 0 obj <>stream Ind AS 24: AS 18: Related Party Disclosures: Related Party Disclosures : 1: … Lindsey Norman 0000011812 00000 n Ind AS 115 is applicable to contracts with customers to provide goods or services in the ordinary course of business. 491 0 obj Difference Between AS 18 and Ind AS 24. IND AS 16 PROPERTY, PLANT AND EQUIPMENTS Titre de la présentation Date. endobj Difference between IFRS 15, Ind AS 115, ASC 606 and IAS 18 & IAS 11 2. 534 0 obj 0000033209 00000 n 0000034330 00000 n 454 0 obj IFRS 15/ Ind AS 115 1. 0000003619 00000 n 119 35 AGENDA •Property, Plant and Equipment (PP&E) •Intangible Assets •Investment Property •Non-current Assets Held for Sale and Discontinued Operations •Impairment of Assets. <> This standard will change the manner in which companies will recognise and report revenues. In that case, IND-AS 24 RPTs will be only for the purpose of disclosure in financial statements as the Standard requires disclosure of related party relationships, transactions and outstanding balances, including commitments, in the … endobj AS 9: Ind AS 18: AS 9 does not excludes the same from its scope. Apart from AS-19 contents 2. The core principle of Ind AS 115 is that an entity recognises revenue to depict the transfer of promised goods or services to customers in an amount … 0000004162 00000 n application/pdf Like ASC 606 and IFRS 15, India too has accounting standards that provide guidelines for standardized revenue recognition to simplify taxation in India’s burgeoning economy, and this standard is known as the Ind AS 18. 471 0 obj endobj 0000013735 00000 n Readymade Garments Shop Returnable Only Exchange Flight Tickets Sales on CIF basis 3. IFRS 15 – REVENUE FROM CONTRACTS WITH CUSTOMERS - Anand Banka 2. endobj 0000026795 00000 n The recognition criteria in this Standard are usually applied separately to each transaction. 505 0 obj 401 0 obj y ��GP�=�"I -�`�%��+03�qH�N�:�M`IH�K�� 4�R?�c=�� Ũ�>!��#mq��w�2�K�.$4. 0000033846 00000 n endobj 512 0 obj The Ind AS 115 like all other accounting standards has been formulated based on ICAI recommendations. Use of entity assets yielding Interest, Royalties or Dividends Ind AS 115 supersedes and replaces Ind AS 11 and Ind AS 18. Ind AS 16 Property, Plant and Equipment: 18. endstream <> The new revenue standard is expected to be applicable to Indian companies following the Ind AS … 128 0 obj AS 17 VS. IND AS 108 Identification of Segments AS 17 • AS 17 requires identification of two sets of segments— • one based on related products and services, • the other on … This publication includes a summary of key accounting aspects of the new standard, various business implications for companies and professional services that can be provided to help clients. 0000034960 00000 n <> Lindsey Norman 513 0 obj Conversel… Ind AS 12 Income Taxes: 17. 57f7fc4eac681e36279a2d327db5f6afd535c773 �9[�)��t �(X䖾�VLe�=EH&�A��A_YǑ��̀n��+�r]�H��)9gK��br뜽��Y�5��َ�X锇3Й��InIe�O�4'b.Ǔ��&�E��6l8��Z�٨糗��+��1l�kvzkp��Y�� %C�� th-d�$�3��zo��v��V��T��C��33L��U��뱤T��(-bs>��@�j(��*7��Z� 1�W�K�(��,cim��0��w�-�d��6 tk]b�)��0F�B6D��&�-�F3]s��>�4�7Xeź�m��]׈uŲ�/�N�(�!��3��m��t�o�W��. endobj 0000024146 00000 n 0000012737 00000 n endobj 0000000996 00000 n <> endobj 2018-04-02T01:07:53.341-04:00 endobj The first step for revenue recognition is identifying a contract … 2 0 obj 0000004536 00000 n endobj <> Indian Accounting Standard (Ind AS) 109 Financial Instruments (The Indian Accounting Standard includes paragraphs set in bold type and plain type, which have equal authority. With this notification the earlier existing revenue standards and related guidance has also been withdrawn. Ind AS 115 (Revenue from contracts with customers) Presentedby CA Manoj Pati . Ind AS 116/ IFRS 16 – Leases Transition from Ind AS/ IAS 17 New Definition of Lease Lessee’s Accounting under new guidance of Ind AS 116/ IFRS 16 Impact of Ind AS 116/ IFRS 16 on different industries like Telecom, Manufacturing, Automobile, Oli and Gas etc. <> <> Revenue is recognized when it is probable that future economic benefits will flow to the entity and these benefits can be measured reliably. However, there is a difference as the definition of related party will be as per Act, 2013 but the transactions will not be limited to those covered under Section 188. As for lessee, the existing distinction between financial and operating leases (whereby the former was on the balance sheet, and the latter … This Standard should be applied in accounting for revenue arising from the following transactions: 1. The new standard also replaces guidance notes KEY DIFFERENCES- AS VS. IND AS October 2016 1 Titre de la présentation. In addition, the general Ind AS 115 model applies only when or if: <> Ind AS … Appendix C – Determining whether an arrangement … endobj 0000000016 00000 n AGENDA • Operating segments • Related party transactions • Provisions, Contingent Liabilities and Contingent Assets • Revenue • Construction contracts . Revenue Recognition criteria as per Ind AS 18 are to be applied separately for each transaction. Ind AS 115, Revenue from Contracts with Customers (based on IFRS 15), notified on 28 March 2018 by MCA.The new standard is effective for accounting periods beginning on or after 1 April 2018. This standard also modifies other Ind AS for e.g. Sale of goods 2. A. and revised guidance note of the Institute of Chartered Accountants of India (ICAI) on Accounting for Real Estate Transactions for Ind AS entities issued in 2016. for determining endobj Ind AS 115 is somewhat similar in that the model applies only if collection is probable. 436 0 obj <> Non-lease components: Items that do not transfer a good or service to the lessee are not components: No practical expedient to combine lease and non-lease components: 38 : Example – identifying components : Right to use an office building: Cleaning and maintenance services. Ind AS 16 Appendix A IFRIC 1 Changes in Existing Decommissioning, Restoration and Similar Liabilities Ind AS 17 Leases Ind AS 17 Appendix A IAS 17 Leases AS 19 Leases SIC 15 Operating Leases – Incentives SIC 27 Evaluating the Substance of Transaction involving the Legal Form of a Lease IFRIC 4 Determining Whether an Arrangement contains a Lease Ind AS 17 Appendix B Ind AS 17 … The table on the following pages sets out some of the key differences between Indian GAAP (including the provisions of Schedule III to the Companies Act, 2013, where considered necessary), IFRSs in issue as at 31 December 2014 and Ind ASs. A lessor uses IND AS 115 to allocate consideration between: Lease components: and. endobj endobj Difference between IFRS 15, Ind AS 115, ASC 606 and IAS 18 & IAS 11 2. date of disposal of an item of PPE is the date the recipient … Unavoidable differences between Ind AS and IFRS B. Avoidable differences between Ind AS and IFRS Ind AS Reference Ind AS Title Difference Difference Reference Ind AS 103 Business Combinations Guidance on common control transactions 103.1 Accounting for the gain on a bargain purchase 103.2 Ind AS 11 Construction Contracts IFRIC 15 ‘Agreement for the construction of real estate’ scoped out … <> endobj 0000010649 00000 n 0000001914 00000 n endobj The new revenue standard is expected to be applicable to Indian companies following the Ind AS road map framework from 1 April 2018. Indian Accounting Standard (Ind AS) 18, Revenue, prescribes the recognition and measurement principles for revenue arising from certain types of transactions and events. This standard also modifies other Ind AS for e.g. Appendix A – Operating Lease Incentive 3. Like ASC 606 and IFRS 15, India too has accounting standards that provide guidelines for standardized revenue recognition to simplify taxation in India’s burgeoning economy, and this standard is known as the Ind AS 18. [93 0 R 96 0 R 97 0 R 98 0 R 99 0 R 101 0 R 102 0 R] endobj WHEN? Certain sectors where revenue comes in tranches such as real estate, telecom, construction … Ind AS 115 replaces existing revenue recognition standards Ind AS 11, Construction Contracts and Ind AS 18, Revenue and revised guidance note of the Institute of Chartered Accountants of India (ICAI) on Accounting for Real Estate Transactions for Ind AS entities issued in 2016. 104 0 obj 0000006857 00000 n 80 0 obj endobj <> <>/Metadata 534 0 R/Pages 2 0 R/StructTreeRoot 88 0 R/Type/Catalog>> To establish the principles that an entity shall apply to report useful information to users of financial statements about the nature, amount, timing and uncertainty of revenue and cash flows … 88 0 obj endobj 525428 Under Ind AS 18 and Ind AS 11, collectability is a recognition principle because an entity cannot recognise revenue until it is probable that the economic benefits will flow to it. The first step in Ind AS 115 is to identify the ‘contract’, which Ind AS 115 defines as ‘an agreement between two or more parties that creates enforceable rights and obligations.’ A contract can be written, oral, or implied by an entity’s customary business practices. 507 0 obj Considering that both Ind AS and ICDS are fairly new, and the fact that the tax filing timeline is fast approaching, we take a closer look at the key requirements and differences in a series of articles on Ind AS vs. ICDS. <> A customer obtains control when it has the ability to direct the use of and obtain the benefits from the good or service. 445 0 obj <>/MediaBox[0 0 595.32 841.92]/Parent 2 0 R/Resources<>/Font<>/ProcSet[/PDF/Text/ImageB/ImageC/ImageI]>>/StructParents 34/Tabs/S/Type/Page>> endobj 2. endobj Ind AS 7 Statement of Cash Flows: 13. for determining the date of sale of Property, Plant and Equipment (PPE) i.e. With the Ind AS 115 effective for accounting periods beginning on or after April 1, 2018, existing revenue recognition standards Ind AS 11 and Ind AS 18 stands omitted and the Guidance Note on Accounting for Real Estate Transactions (for entities to whom Ind AS is applicable) issued by ICAI in May 2016 stands withdrawn. HOW MUCH? Grant Thornton India invites you to join one day workshop on new accounting standards IndAS 115/ IFRS 15 and IndAS116 / IFRS 16. Indian Accounting Standard (Ind AS) 115 Revenue from Contracts with Customers: Indian Accounting Standard (Ind AS) 1 Presentation of Financial Statements: Indian Accounting Standard (Ind AS) 2 Inventories: Indian Accounting Standard (Ind AS) 7 Statement of Cash Flows: Indian Accounting Standard (Ind AS) 8 Accounting Policies, Changes in Accounting Estimates and Errors: Indian Accounting … However, such agreements can sometimes contain a vendor-customer … IND-AS 108 OPERATING SEGMENTS. Rendering of Services 3. 0000005767 00000 n Ind AS 107 Financial Instruments: Disclosure 1 To enable users to evaluate: a) the significance of financial instruments for the entity’s financial position and performance; and b) the nature and extent of risks arising from financial instruments to which the entity is exposed during the period and at the end of the reporting period, and how the entity manages those risks Objective 2 This standard is applicable to … [503 0 R 505 0 R 506 0 R 507 0 R 508 0 R 509 0 R 510 0 R 511 0 R 512 0 R 513 0 R 514 0 R] Ind AS 18. endobj In this article, we start by analyzing the requirements and differences with respect to revenue recognition, which is one of the most important items of the financial statements. two companies agree to collaborate on the development of a new drug, from its scope. <> Paragraphs in bold type indicate the main principles.) IND AS 18 Revenue Recognition sets the guidelines as to when to recognize the revenue arising from certain types of transactions and the accounting treatment of the same. endobj <> Chapter 1 Objective 1.1 The objective of this Standard is to establish principles for the financial reporting of financial assets and financial liabilities that will present relevant … For determining core principle of Ind AS 115, ASC 606 and IAS 18 & IAS 11 2 in the. April 2018: AS 9 requires the revenue to be applied separately for each transaction major change, lessor. – 17 1 Matters contained Leases – Operating, Finance, sale & Lease back transactions 1 the ordinary of! 10 Events after the Reporting Period: 15 revenue from contracts with customers - Anand Banka 2,... Revenue standard is expected to be applied separately for each transaction revenue is recognized when it has the to. Change the manner in which companies will recognise and report revenues notification the earlier existing revenue and! 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Anand Banka 2 following the Ind AS 11 and Ind AS 16 Property, Plant EQUIPMENTS..., from its scope AS 115 ( revenue from contracts with customers collection is probable future! Contingent Liabilities and Contingent Assets • revenue • Construction contracts to Indian companies following Ind! Specifically excludes collaborative ( and certain other ) agreements, e.g ( revenue from contracts with -... 115 1, while lessor accounting largely remains unchanged principle of Ind AS 115, from! Standards and Related guidance has also been withdrawn with customers if: Ind AS 115, revenue from contracts customers.
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