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 VAT and GST in India :: VAT Audit :: ACCOUNTING STANDARDS :: VAT RATES :: TAX RATES - GOODS TAXABLE @ 4% :: ARTICLES ON INPUT TAX CREDIT IN VAT :: empanelment :: due date for vat payment :: form 3cd :: Central Excise rule to resale the machines to a new company :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: list of goods taxed at 4% :: ACCOUNTING STANDARD :: TDS :: cpt
« ICAI »
 Regarding Empanelment of professionals for at least fifteen years of continuous practice as a Chartered Accountant with MCA as Mediator or Conciliator.
 CPE Events 24 October - 29 October 2016
 Public Notice in the matter of wrong marketing of ICAI course by private colleges/educational institutes.
 Guidance Note on Audit of Consolidated Financial Statements (Revised 2016) issued by the Auditing and Assurance Standards Board
 Clarifications regarding exemptions in a paper(s) in CA Examinations
 Request to give suggestions on the Draft Rules and Regulations to the Insolvency and Bankruptcy Code, 2016 as issued by the Ministry of Corporate Affairs.
 Hosting of exemption(s) in a paper granted in Intermediate and Final examinations, valid for November 2016
 The Chartered Accountants’ Students Benevolent Fund (CASBF)
 Details of Roll Nos. and Exam Centres of PQC Exams-Nov. 2016
 Group to review and realign the provisions of Chartered Accountants Act, 1949 and the Chartered Accountants Regulations, 1988
 Request for improving of annual filing compliance by pursuing companies so as to help the Ministry of Corporate Affairs in achieving the targeted compliance.

India Inc not ready for global accounting
June, 20th 2008

Corporate India is not fully prepared to handle the new accounting regime that comes in force from April 2011 with the adoption of International Financial Reporting Standards (IFRS), an accounting process recognized by over 100 countries that would replace the Indian GAAP (Generally Accepted Accounting Standards), global consultancy major KPMG said.

Richard Rekhy, COO for KPMG in India, told TOI that Indian accounting professionals are yet to be exposed to the intricacies and methods that would come along with new standards, which recognize fair value accounting against the existing historic accounting model.

"It is an alarming situation that we still do not have enough trained people on IFRS. And with no previous experience with new standards, most of the current lot of accounting professionals will be redundant with important changes in IFRS," Rekhy said.

While corporate India currently follows the standards proposed by the Institute of Chartered Accountants of India (ICAI) and enforced by National Advisory Committee on Accounting Standards (NACAS), from April 2011 they need to switch over to IFRS, issued by the International Accounting Standard Board, a London-based independent body. Firms like KPMG and Ernst & Young have pitched for advisory and consultancy services as the transition means big business opportunity for them.

Following common accounting principles in convergence with IFRS will facilitate better comparability of performance with other businesses and also make financial reporting more transparent to investors, customers and business partners. This becomes crucial at a time when Indian businesses are going global.

However, Rekhy said the transition process is more complex than it appears and it requires changes not only in the accounting procedures but also in IT systems. He added that despite efforts by ICAI to gradually harmonize the existing standards with IFRS, a lot needs to be done and differences exist in many areas. "For example, on the legal and regulatory front, while IFRS require depreciation of all assets over their estimated useful life, Indian GAAP mandates that the depreciation rates cannot be lower than the rates prescribed under the law," he said.

Also, while IFRS uses the fair value concept while dealing with business combinations and financial instruments like investments, derivatives and others, the Indian accounting method is mostly based on the cost/carrying value approach. Changes would need to be made over treatment of employee benefits and share-based payments as well as related party disclosures and revenue recognition.

A senior official with ICAI, however, said steps are being taken to prepare the domestic accounting people for IFRS. "It is true that training of the accounting professionals is required on IFRS. But we are conducting various programmes on IFRS and are also planning a certification course on the various issues related to them," the official said, adding that ICAI is also planning to upgrade the CA curriculum to include changes that would come with the adoption of IFRS.

Home | About Us | Terms and Conditions | Contact Us
Copyright 2016 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Binarysoft Technologies - Our Portfolio

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