The document discusses the history and adoption of International Financial Reporting Standards (IFRS) globally and in India. Some key points include: IFRS were established in 1997 with the goal of uniform global accounting standards; over 110 countries including India have adopted IFRS; India's adoption of IFRS will improve financial statement comparability, transparency and credibility. The document also provides some comparisons between specific IFRS and Indian accounting standards.

2. • The NYSE and AICPA jointly published – First
Accounting Standard of the World in 1934.
• During 1960 to 2008 Financial accounting and
reporting "principles, standards, and practices.“
emerged as International Accounting Standards
• New series of guidelines called International
Financial Reporting Standards (IFRS) from 1997
 ICAI constituted the Accounting Standards Board
(ASB) on 21st April, 1977, with a view to
harmonize the diverse accounting policies and
practices in use in India.(32 standards)

3.  29 International Accounting Standard (IAS), 8
International Financial Reporting Standards (IFRS),11
Standing Interpretations Committee (SIC) and 17
International Financial Reporting Interpretations
(IFRIC)
 Adoption by over 110 countries, Acceptance by
Stock Markets Globally.
 Full adoption of IFRS from accounting period
commencing on or after 1 April 2011, Applicable to
listed entities and public interest entities such as
banks, insurance companies and large sized entities
(turnover 100 crores, public deposit 25 crores last
year)

4. "Adoption of IFRS, the new global reporting
standards, would improve
 Comparability (Benchmarking with global
peers)
 transparency (Base is known to the investor)
 and credibility of financial statements and in
a globalized world,
 would lead to greater economic
efficiencies, (Avoids multiple reporting)
CII said in a release.

5.  India needs 500 Billion dollars of investment
in infrastructure sector alone by 2012.
 As per Bloomberg, Indian companies raised
Rs12,672 crore (USD 2.64 billion converted at
Rs 48 a dollar) by issuing depository receipts
in the September 2009 quarter itself.

6. IFRS (IAS 1) INDIAN GAAP (AS1)
No specific Format No specific format but guided by
Companies Act and Industry
Guidelines
Two Years ‘ Consolidated Two Years ‘ Consolidated
• Balance Sheet • Balance Sheet
• Income Statement • Income Statement
• Cash Flow Statement • Cash Flow Statement
• Changes in equity
• Accounting Policies and notes • Accounting Policies and notes
• Statement of recognized income
and expenses(SORIE)

7. IFRS (IAS 29) INDIAN GAAP
If cumulative inflation in the
country is approaching or No guidance
exceeding 100% in three years
Entities that have functional
currency of the hyperinflation
economy , restate their financial
statement using a measurement
unit current at the Balance Sheet.

8. IFRS ( IAS 3) Indian GAAP (AS 14)
Consolidation- Purchase Method
All business combinations shall be
accounted as per purchase method Amalgamation- Pooling of Interest
at fair values
Acquisition- Held as a subsidiary
and long term
investment

9. Factors IFRS (IAS 16, 38) INDIAN GAAP (AS 6, 10, 26)
Depreciation Useful Life Higher of useful life or
schedule XIV
Annual Review Useful life, Depreciation Not Required
Method , Residual Value
Major Repair and Capitalized Treated as Expenses
Maintenance
Revaluation Every Year which opts for Not Required
revaluation model
Intangible Assets • May have indefinite life • No indefinite life
• No amortization • Amortized in 10 years
• May be revalued if • No Revaluation
active market exists