Compendium is a compilation of the version of Indian Accounting Standards (Ind AS) that are applicable as on date.
IFRS (International financial reporting standards) are the globally accepted financial reporting framework helps to prepare financial statements that are consistent, transparent and comparable across the world.
To aline Accounting standards with globally accepted IFRS, Ind ASs were notified in the year of 2015. Ind As are converged form of IFRS. In other words, Ind As are prepared containing all features of IFRS but according to the Indian economy. Thus we can say that these are modified IFRS.
After its introduction in India, various changes have been notified in Ind As till date. Further on the recommendation of ICAI, on 24 July, 2020 Ministry of Corporate Affairs (MCA) notified Companies (Indian Accounting Standards) Amendment Rules, 2020, it comprises critical amendments to Ind AS.
These amendments are applicable for the accounting year beginning on or after April 01, 2020. These amendments provide clarification relating to the following areas-
- Definition of terms “Material” and “Business” under Ind AS
- Accounting relief (simplification) in Ind AS 116 for lessees (consequent to the Covid19 pandemic)
- Exception in context of specific hedge accounting requirements under Ind AS (due to the uncertainty arising during the period interest rate benchmarks are undergoing reforms.)
Considering these type of changes, ICAI issues every year a compilation of the version of Ind AS that are applicable as on date.
This compendium of Ind As is an initiative by ICAI to facilitate business entities which are preparing their financial statements under Ind As, mandatory or voluntary.
Continuing this chain, on 25th August, 2020, ICAI has issued a notification releasing a new Compendium containing updated Ind Ass applicable for the financial year beginning from 1st April, 2020.
Link to access the Compendium of Ind As is-
To know further you may visit ICAI announcement by following link