Indian Accounting Standard (Ind AS) 36

Impairment of Assets
Contents Paragraphs

Objective 1
Scope 2–5
Definitions 6
Identifying an asset that may be impaired 7–17
Measuring recoverable amount 18–57
Measuring the recoverable amount of an intangible asset
with an indefinite useful life 24
Fair value less costs to sell 25–29
Value in use 30–57
Basis for estimates of future cash flows 33–38
Composition of estimates of future cash flows 39–53
Foreign currency future cash flows 54
Discount rate 55–57
Recognising and measuring an impairment loss 58–64
Cash-generating units and goodwill 65–108
Identifying the cash-generating unit to which an asset belongs 66–73
Recoverable amount and carrying amount of a cash-generating
Unit 74–103
Goodwill 80–99
Allocating goodwill to cash-generating units 80–87
Testing cash-generating units with goodwill for impairment 88–90
Timing of impairment tests 96–99
Corporate assets 100–103
Impairment loss for a cash-generating unit 104–108

1
Reversing an impairment loss 109–125
Reversing an impairment loss for an individual asset 117–121
Reversing an impairment loss for a cash-generating unit 122–123
Reversing an impairment loss for goodwill 124–125
Disclosure 126–137

Estimates used to measure recoverable amounts of

cash-generating units containing goodwill or intangible
assets with indefinite useful lives 134–137

Appendices
A Using present value techniques to measure value in use 

B References to matters contained in other Indian Accounting Standards

 

C Impairment testing cash-generating units with goodwill and non-controlling

interests

D ILLUSTRATIVE EXAMPLES
1 Comparison with IAS 36, Impairment of Assets