Latest Expert Exchange Queries
sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Service Tax | Sales Tax | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Indirect Tax | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing
Popular Search: ARTICLES ON INPUT TAX CREDIT IN VAT :: empanelment :: cpt :: list of goods taxed at 4% :: VAT Audit :: TDS :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: TAX RATES - GOODS TAXABLE @ 4% :: Central Excise rule to resale the machines to a new company :: articles on VAT and GST in India :: VAT RATES :: due date for vat payment :: ACCOUNTING STANDARDS :: ACCOUNTING STANDARD :: form 3cd
« General »
 Banks warn share tax hike threatens Paris' post-Brexit appeal
 PMC may decide on property tax rebate for IT firms this week
 I-T Dept is giving out certificates of appreciation. Have you received yours?
 Government works on ironing out benefits refund mechanism for exportersa
  Tax officials are using an IDS provision to question transactions beyond six-year-limit
 Tax-free bonds rally like midcap funds
 Senior citizens do not have to pay advance tax on salary and interest income
 GST: Audit commissioners to get adjudication powers
 Interest on NRE rupee account can be exempt from tax under FEMA
 Impact of GST on Real Estate Sector
 GST regime: Tax payers allowed to take option of third-party interfaces

Government deferred IFRS implementation
March, 03rd 2011

The government has deferred the implementation of international financial reporting standards , acknowledging industry demand to extend the April 1 deadline to remove ambiguities on taxation issues. The decision has come as a relief for over 300 large companies, which were to submit their financials as per the global accounting standards, commonly called IFRS.

The ministry of corporate affairs on Friday said it remained committed to the transition as it notified 35 accounting standards that are in line with IFRS. After detailed consultations, it was felt necessary that industry should be given some more time to prepare themselves to converge their accounts, said a corporate affairs ministry official. A ministry release said the convergence will happen in a phased manner after various tax-related issues are resolved.

Finance Minister Pranab Mukherjee is likely to provide clarity on the taxation aspect in his budget speech. The date of implementation of converged Indian accounting standards will be notified at a later date, said the release. Sections of the industry had criticised the April 1 dateline for reasons including a lack of preparedness and confusion over taxation matters. Industrys concerns were discussed in detail recently when corporate affairs minister Murli Deora met representatives of business chambers to understand their concerns.

Accounting experts welcomed the move. The fact that the standards are being notified is a step in the right direction. It gives certainty to the convergence and shows our commitment on the same, said Jamil Khatri, partner at consulting firm KPMG.

Prime minister Manmohan Singh had made a commitment towards the alignment of Indian accounting standards with IFRS at the G20 summit in 2009. Thereafter, the ministry of corporate affairs came up with a road map for the convergence, wherein companies part of BSE Sensex and NSE Nifty, those listed on overseas stock exchanges, apart from companies with a networth of above Rs 1,000 crore were to converge with IFRS from April 1, 2011. Since November last year, there has been a demands from the industry and certain regulators that India should not rush into the convergence .

Chairman of the public accounts committee of Parliament Murli Manohar Joshi in November 2010 urged the prime minister to delay the rollout by at least two years, saying the country needs to enter into a dialogue with other countries to modify the proposed norms to suit local practices. Thereafter, the PM had advised the corporate affairs ministry to hold a fresh round of discussions with companies that were to follow the IFRS standards from April. Concerns got even larger when industry body FICCI asked the ministry to defer the April 1 deadline, citing lack of clarity on tax issues.

Although the government has deferred the rollout date, it will go ahead with the notification of the new set of accounting standards. While remaining committed to the IFRS convergence scheme, we want to make sure that approach is kept sound and full proof, said another government official, requesting anonymity. Corporate affairs ministry is set to introduce the new Companies Bill the current Parliament session, the passage of which is critical to the smooth convergence with IFRS.

Home | About Us | Terms and Conditions | Contact Us
Copyright 2016 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Integrated Software Solutions Integrated Software Development Integrated Software Services Integrated Software Solutions India Integrated Softw

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions