Section 133 of Companies Act, 2013 – Central

Government to Prescribe Accounting Standards

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SECTION 133. CENTRAL GOVERNMENT TO PRESCRIBE ACCOUNTING

STANDARDS

[Effective from 12th September, 2013]

The Central Government may prescribe the standards of accounting or any addendum
thereto, as recommended by the Institute of Chartered Accountants of India, constituted
under section 3 of the Chartered Accountants Act, 1949 (38 of 1949), in consultation with
and after examination of the recommendations made by the National Financial Reporting
Authority.

[1][Provided that until the National Financial Reporting Authority is constituted under
section 132 of the Companies Act, 2013 (18 of 2013), the Central Government may
prescribe the standards of accounting or any addendum thereto, as recommended by the
Institute of Chartered Accountants of India, constituted under section 3 of the Chartered
Accountants Act, 1949 (38 of 1949), in consultation with and after examination of the
recommendations made by National Advisory Committee on Accounting Standards
constituted under section 210 A of the Companies Act, 1956]

Applicable Rules

Companies (Accounts) Rules, 2014

[Effective from 1st April, 2014]

Rule 7. Transitional provisions with respect to Accounting Standards.—(1) The

standards of accounting as specified under the Companies Act, 1956 (1 of 1956) shall be
deemed to be the accounting standards until accounting standards are specified by the

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Central Government under section 133.

(2) Till the National Financial Reporting Authority is constituted under section 132 of the
Act, the Central Government may prescribe the standards of accounting or any
addendum thereto, as recommended by the Institute of Chartered Accountants of India in
consultation with and after examination of the recommendations made by the National
Advisory Committee on Accounting Standards constituted under section 210A of the
Companies Act, 1956 (1 of 1956).

[2]Companies (Indian Accounting Standards) Rules, 2015]

[Effective from 1st April, 2015]

G.S.R(E).- In exercise of the powers conferred by section 133 read with section 469 of
the Companies Act, 2013 (18 of 2013) and sub-section (1) of section 210A of the
Companies Act, 1956 (1 of 1956), the Central Government, in consultation with the
National Advisory Committee on Accounting Standards, hereby makes the following
rules, namely:—

Rule 1. Short title and commencement.- (1) These rules may be called the Companies
(Indian Accounting Standards) Rules, 2015.

(2) They shall come into force on the 1st day of April, 2015

Rule 2. Definitions.—(1) In these rules, unless the context otherwise requires,—

a) “Accounting Standards” means the standards of accounting, or any addendum thereto

for companies or class of companies as specified in rule 3;

b) “Act” means the Companies Act, 2013 (18 of 2013);

c) “Annexure” in relation to these rules means the Annexure containing the Indian
Accounting Standards (Ind AS) appended to these rules;

d) “entity” means a company as defined in clause (20) of section 2 of the Act;

[(da) “Indian Accounting Standards” means the Indian Accounting Standards referred to
in rule 3 and Annexure to the Companies (Indian Accounting Standards) Rules, 2015;][3]

e) “financial statements” means financial statements as defined in clause (40) of section 2

of the Act;

f) “net worth” shall have the meaning assigned to it in clause (57) of section 2 of the Act.

[(g) “Non-Banking Financial Company” means a Non-Banking Financial Company as

defined in clause (f) of section 45-I of the Reserve Bank of India Act, 1934 and includes
Housing Finance Companies, Merchant Banking companies, Micro Finance Companies,
Mutual Benefit Companies, Venture Capital Fund Companies, Stock Broker or Sub-

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Broker Companies, Nidhi Companies, Chit Companies, Securitisation and Reconstruction
Companies, Mortgage Guarantee Companies, Pension Fund Companies, Asset
Management Companies and Core Investment Companies][4]

(2) Words and expressions used herein and not defined in these rules but defined in the
Act shall have the same meaning respectively assigned to them in the Act.

Rule 3. Applicability of Accounting Standards.—(1) The accounting standards as

specified in the Annexure to these rules to be called the Indian Accounting Standards (Ind
AS) shall be the accounting standards applicable to classes of companies specified in
rule 4.

(2) The Accounting standards as specified in Annexure to the Companies (Accounting

Standards) Rules, 2006 shall be the Accounting Standards applicable to the companies
other than the classes of companies specified in rule 4.

(3) A company which follows the Indian Accounting Standards (Ind AS) specified in
Annexure to these rules in accordance with the provisions of rule 4 shall follow such
standards only.

(4) A company which follows the accounting standards specified in Annexure to the
Companies (Accounting Standards) Rules, 2006 shall comply with such standards only
and not the Standards specified in Annexure to these rules.

Rule 4. Obligation to comply with Indian Accounting Standards (Ind AS).—

(1) The Companies and their auditors shall comply with the Indian Accounting Standards
(Ind AS) specified in Annexure to these rules in preparation of their financial statements
and audit respectively, in the following manner, namely:-

(i) [any company and its holding, subsidiary, joint venture or associate company][5] may
comply with the Indian Accounting Standards (Ind AS) for financial statements for
accounting periods beginning on or after 1st April, 2015, with the comparatives for the
periods ending on 31st March, 2015, or thereafter;

(ii) the following companies shall comply with the Indian Accounting Standards (Ind AS)
for the accounting periods beginning on or after 1st April, 2016, with the comparatives for
the periods ending on 31st March, 2016, or thereafter, namely:—

a) companies whose equity or debt securities are listed or are in the process of being
listed on any stock exchange in India or outside India and having net worth of rupees five
hundred crore or more;

b) companies other than those covered by sub-clause (a) of clause (ii) of sub-rule (1) and
having net worth of rupees five hundred crore or more;

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c) holding, subsidiary, joint venture or associate companies of companies covered by sub-
clause (a) of clause (ii) of sub- rule (1) and sub-clause (b) of clause (ii) of sub- rule (1) as
the case may be; and

(iii) the following companies shall comply with the Indian Accounting Standards (Ind AS)
for the accounting periods beginning on or after 1st April, 2017, with the comparatives for
the periods ending on 31st March, 2017, or thereafter, namely:—

a) companies whose equity or debt securities are listed or are in the process of being
listed on any stock exchange in India or outside India and having net worth of less than
rupees five hundred crore;

b) companies other than those covered in clause (ii) of sub- rule (1) and sub-clause (a) of
clause (iii) of sub-rule (1), that is, unlisted companies having net worth of rupees two
hundred and fifty crore or more but less than rupees five hundred crore.

c) holding, subsidiary, joint venture or associate companies of companies covered under

sub-clause (a) of clause (iii) of sub- rule (1) and sub-clause (b) of clause (iii) of sub- rule
(1), as the case may be:

Provided that nothing in this sub-rule, except clause (i), shall apply to companies whose
securities are listed or are in the process of being listed on SME exchange as referred to
in the Institutional Trading Platform without initial public offering in accordance with the
provisions of the Securities and Exchange Board of India (Issue of Capital and Disclosure
Requirements) Regulations, 2009.

Explanation 1. – SME Exchange shall have the same meaning as assigned to it in the
Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements)
Regulations, 2009. Explanation 2. – “Comparatives” shall mean comparative figures for
the preceding accounting period.

[6][(iv) Notwithstanding the requirement of clauses (i) to (iii), Non-Banking Financial

Companies (NBFCs) shall comply with the Indian Accounting Standards (Ind ASs) in
preparation of their financial statements and audit respectively, in the following manner,
namely:-

(a) The following NBFCs shall comply with the Indian Accounting Standards (Ind AS) for
accounting periods beginning on or after the 1st April, 2018, with comparatives for the
periods ending on 31st March, 2018, or thereafter—

(A) NBFCs having net worth of rupees five hundred crore or more;

(B) holding, subsidiary, joint venture or associate companies of companies covered under
item (A), other than those already covered under clauses (i), (ii) and (iii) of sub-rule (1) of
rule 4.

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(b) The following NBFCs shall comply with the Indian Accounting Standards (Ind AS) for
accounting periods beginning on or after the 1st April, 2019, with comparatives for the
periods ending on 31st March, 2019, or thereafter—

(A) NBFCs whose equity or debt securities are listed or in the process of listing on any
stock exchange in India or outside India and having net worth less than rupees five
hundred crore;

(B) NBFCs, that are unlisted companies, having net worth of rupees two-hundred and fifty
crore or more but less than rupees five hundred crore; and

(C) holding, subsidiary, joint venture or associate companies of companies covered under
item (A) or item (B) of sub-clause (b), other than those already covered in clauses (i), (ii)
and (iii) of sub-rule (1) or item (B) of sub-clause (a) of clause (iv).

Explanation.- For the purposes of clause (iv), if in a group of Companies, some entities
apply Accounting Standards specified in the Annexure to the Companies (Accounting
Standards) Rules, 2006 and others apply accounting standards as specified in the
Annexure to these rules, in such cases, for the purpose of individual financial statements,
the entities should apply respective standards applicable to them. For preparation of
consolidated financial statements, the following conditions are to be followed, namely:-

(i) where an NBFC is a parent (at ultimate level or at intermediate level), and prepares
consolidated financial statements as per Accounting Standards specified in the Annexure
to the Companies (Accounting Standards) Rules, 2006, and its subsidiaries, associates
and joint ventures, if covered by clause (i), (ii) and (iii) of sub-rule (1) has to provide the
relevant financial statement data in accordance with the accounting policies followed by
the parent company for consolidation purposes (until the NBFC is covered under clause
(iv) of sub-rule (1);

(ii) where a parent is a company covered under clause (i), (ii) and (iii) of sub-rule (1) and
has an NBFC subsidiary, associate or a joint venture, the parent has to prepare Ind AS-
compliant consolidated financial statements and the NBFC subsidiary, associate and a
joint venture has to provide the relevant financial statement data in accordance with the
accounting policies followed by the parent company for consolidation purposes (until the
NBFC is covered under clause (iv) of sub-rule (1).

(v) Notwithstanding clauses (i) to (iv), the holding, subsidiary, joint venture or associate
companies of Scheduled commercial banks (excluding RRBs) would be required to
prepare Ind AS based financial statements for accounting periods beginning from 1st
 April, 2018 onwards, with comparatives for the periods ending 31st March, 2018 or
thereafter:”;]

(2) For the purposes of calculation of net worth of companies under [7][clause (i), (ii) and
(iii) of sub-rule (1)], the following principles shall apply, namely:-

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the net worth shall be calculated in accordance with the stand-alone financial statements
of the company as on 31st March, 2014 or the first audited financial statements for
accounting period which ends after that date;

for companies which are not in existence on 31st March, 2014 or an existing company
falling under any of thresholds specified in [7][clause (i), (ii) and (iii) of sub-rule (1)] for the
first time after 31st March, 2014, the net worth shall be calculated on the basis of the first
audited financial statements ending after that date in respect of which it meets the
thresholds specified in [7][clause (i), (ii) and (iii) of sub-rule (1)].

Explanation.- For the purposes of sub-clause (b), the companies meeting the specified
thresholds given in[7][clause (i), (ii) and (iii) of sub-rule (1)] for the first time at the end of
an accounting year shall apply Indian Accounting Standards (Ind AS) from the immediate
next accounting year in the manner specified in [7][clause (i), (ii) and (iii) of sub-rule (1)].
Illustration.- (i) The companies meeting threshold for the first time as on 31st March, 2017
shall apply Ind AS for the financial year 2017-18 onwards. (ii) The companies meeting
threshold for the first time as on 31st March, 2018 shall apply Ind AS for the financial year
2018-19 onwards and so on.

[8][(2A) For the purposes of calculation of net worth of Non-Banking Financial Companies
covered under clause (iv) of sub-rule (1), the following principles shall apply, namely:-

(a) the net worth shall be calculated in accordance with the stand-alone financial
statements of the NBFCs as on 31st March, 2016 or the first audited financial statements
for accounting period which ends after that date;

(b) for NBFCs which are not in existence on 31st March, 2016 or an existing NBFC falling
first time, after 31st  March, 2016, the net worth shall be calculated on the basis of the first
audited stand-alone financial statements ending after that date, in respect of which it
meets the thresholds.

Explanation.- For the purposes of sub-clause (b), the NBFCs meeting the specified
thresholds given in sub-clause (b) of clause (iv) of sub-rule (1) for the first time at the end
of an accounting year shall apply Indian Accounting Standards (Ind ASs) from the
immediate next accounting year in the manner specified in subclause (b) of clause (iv) of
sub-rule (1).

Illustration – (i) The NBFCs meeting threshold for the first time as on 31st March,  2019
shall apply Ind AS for the financial year 2019-20 onwards.

(ii) The NBFCs meeting threshold for the first time as on 31st March, 2020 shall apply Ind
AS for the financial year 2020-21 onwards and so on.’’]

(3) Standards in Annexure to these rules once required to be complied with in accordance
with these rules, shall apply to both stand-alone financial statements and consolidated
financial statements.

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(4) Companies to which Indian Accounting Standards (Ind AS) are applicable as specified
in these rules shall prepare their first set of financial statements in accordance with the
Indian Accounting Standards (Ind AS) effective at the end of its first Indian Accounting
Standards (Ind AS) reporting period.

Explanation.- For the removal of doubts, it is hereby clarified that the companies
preparing financial statements applying the Indian Accounting Standards (Ind AS) for the
accounting period beginning on 1st April, 2016 [9][or 1st April, 2018, as the case may
be] shall apply the Indian Accounting Standards (Ind AS) effective for the financial year
ending on 31st March, 2017 [10][or 31st March, 2019, as the case may be].

(5) Overseas subsidiary, associate, joint venture and other similar entities of an Indian
company may prepare its standalone financial statements in accordance with the
requirements of the specific jurisdiction:

Provided that such Indian company shall prepare its consolidated financial statements in
accordance with the Indian Accounting Standards (Ind AS) [11][***] if it meets the criteria
as specified in sub-rule (1).

(6) Indian company which is a subsidiary, associate, joint venture and other similar
entities of a foreign company shall prepare its financial statements in accordance with the
Indian Accounting Standards (Ind AS) [11][***] if it meets the criteria as specified in sub-
rule (1).

(7) Any company opting to apply the Indian Accounting Standards (Ind AS) voluntarily as
specified in sub-rule (1) for its financial statements shall prepare its financial statements
as per the Indian Accounting Standards (Ind AS) consistently.

(8) Once the Indian Accounting Standards (Ind AS) are applied voluntarily, it shall be
irrevocable and such companies shall not be required to prepare another set of financial
statements in accordance with Accounting Standards specified in Annexure to
Companies (Accounting Standards) Rules, 2006.

(9) Once a company starts following the Indian Accounting Standards (Ind AS) [11][***] on
the basis of criteria specified in sub-rule (1), it shall be required to follow the Indian
Accounting Standards (Ind AS) for all the subsequent financial statements even if any of
the criteria specified in this rule does not subsequently apply to it.

[4A. Forms and items contained in financial statements.- The Act and comply with
Accounting Standards or Indian Accounting Standards as applicable:

Provided that the items contained in the financial statements shall be prepared in
accordance with the definitions and other requirements specified in the Accounting
Standards or the Indian Accounting Standards, as the case may be.]10

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[12][(5) The Banking Companies and Insurance Companies shall apply the Ind ASs as
notified by the Reserve Bank of India (RBI) and Insurance Regulatory Development
Authority (IRDA) respectively. An insurer or insurance company shall however, provide
Ind AS compliant financial statement data for the purposes of preparation of
consolidated financial statements by its parent or investor or venturer, as required by the
parent or investor or venturer to comply with the requirements of these rules.]

Annexure

[See rule 3]

A. General Instruction. –

(1) Indian Accounting Standards, which are specified, are intended to be in conformity
with the provisions of applicable laws. However, if due to subsequent amendments in the
law, a particular Indian Accounting Standard is found to be not in conformity with such
law, the provisions of the said law shall prevail and the financial statements shall be
prepared in conformity with such law.

(2) Indian Accounting Standards are intended to apply only to items which are material.

(3) The Indian Accounting Standards include paragraphs set in bold italic type and plain
type, which have equal authority. Paragraphs in bold italic type indicate the main
principles. An individual Indian Accounting Standard shall be read in the context of the
objective, if stated, in that Indian Accounting Standard and in accordance with these
General Instructions.

B. Indian Accounting Standards (Ind AS)11

Notifications Description

Indian Accounting Standard (Ind AS) First-time Adoption of Indian Accounting

101 Standards

Indian Accounting Standard (Ind AS) Share-based Payment

102

Indian Accounting Standard (Ind AS) Business Combinations

103

Indian Accounting Standard Insurance Contracts

(Ind AS) 104

Indian Accounting Standard Non-current Assets Held for Sale and Discontinued
(Ind AS) 105 Operations

Indian Accounting Standard Exploration for and Evaluation of Mineral Resources

(Ind AS) 106

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Indian Accounting Standard Financial Instruments: Disclosures
(Ind AS) 107

Indian Accounting Standard Operating Segments

(Ind AS) 108

Indian Accounting Standard Financial Instruments

(Ind AS) 109

Indian Accounting Standard Consolidated Financial Statements

(Ind AS) 110

Indian Accounting Standard Joint Arrangements

(Ind AS) 111

Indian Accounting Standard Disclosure of Interests in Other Entities

(Ind AS) 112

Indian Accounting Standard Fair Value Measurement

(Ind AS) 113

Indian Accounting Standard Regulatory Deferral Accounts

(Ind AS) 114

Indian Accounting Standard Revenue from Contracts with Customers

(Ind AS) 115

Indian Accounting Standard Presentation of Financial Statements

(Ind AS) 1

Indian Accounting Standard Inventories

(Ind AS) 2

Indian Accounting Standard Statement of Cash Flows

(Ind AS) 7

Indian Accounting Standard Accounting Policies, Changes in Accounting Estimates

(Ind AS) 8 and Errors

Indian Accounting Standard Events after the Reporting Period

(Ind AS) 10

Indian Accounting Standard Income Taxes

(Ind AS) 12

Indian Accounting Standard Property, Plant and Equipment

(Ind AS) 16

Indian Accounting Standard Leases

(Ind AS) 17

Indian Accounting Standard Employee Benefits

(Ind AS) 19

Indian Accounting Standard Accounting for Government Grants and Disclosure of

(Ind AS) 20 Government Assistance

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 Indian Accounting Standard The Effects of Changes in Foreign Exchange Rates
(Ind AS) 21

Indian Accounting Standard Borrowing Costs

(Ind AS) 23

Indian Accounting Standard Related Party Disclosures

(Ind AS) 24

Indian Accounting Standard Separate Financial Statements

(Ind AS) 27

Indian Accounting Standard Investments in Associates and Joint Ventures

(Ind AS) 28

Indian Accounting Standard Financial Reporting in Hyperinflationary Economies

(Ind AS) 29

Indian Accounting Standard Financial Instruments: Presentation

(Ind AS) 32

Indian Accounting Standard Earnings per Share

(Ind AS) 33

Indian Accounting Standard Interim Financial Reporting

(Ind AS) 34

Indian Accounting Standard Impairment of Assets

(Ind AS) 36

Indian Accounting Standard Provisions, Contingent Liabilities and Contingent Assets

(Ind AS) 37

Indian Accounting Standard Intangible Assets

(Ind AS) 38

Indian Accounting Standard Investment Property

(Ind AS) 40

Indian Accounting Standard Agriculture

(Ind AS) 41

Applicable Circulars

Clarification on the notification dated 12-9-2013 regarding implementation of

provisions of Companies Act, 2013

General Circular No. 15/2013, dated 13-9-2013 [Relevant Extract]

The Companies Act, 2013 received the assent of the President on 29th August, 2013 and
was notified in the Gazette of India on 30th August, 2013. Towards the proper
implementation of the Companies Act, 2013, first tranche of Draft Rules on 16 Chapters
have been placed on the website of the Ministry on 9.9.2013 for inviting comments and

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objections/suggestions from the general public/stakeholders. Of the 16 Chapters, only 13
Chapters require specifying of Forms referred to in those Chapters. The draft Forms shall
be placed on the website shortly.

2. Ministry of Corporate Affairs has also notified 98 sections for implementation of the
provisions of the Companies Act, 2013 (the said Act”) on 12.9.2013. Certain difficulties
have been expressed by the stakeholders in the implementation of following provisions of
the said Act. With a view to facilitate proper administration of the said Act, it is clarified
that—

***

(iii) Section 133: Till the Standards of Accounting or any addendum thereto are
prescribed by Central Government in consultation and recommendation of the
National Financial Reporting Authority, the existing Accounting Standards notified
under the Companies Act, 1956 shall continue to apply.

***

Clarification Accounting Standards (AS) 10—Capitalization of Cost—regarding

General Circular No. 35/2014, dated 27-8-2014

Government has received a number of representations seeking clarifications on

capitalization of costs in cases of Competitive Bid power projects.

The clarifications sought were with regard to capitalization of borrowing costs incurred
during extended delay in commercial production for reasons beyond the developer’s—
control, and whether capitalization of power plant should be unit-wise or project-wise. The
matter has been examined in consultation with the Accounting Standards Board (ASB)
of the Institute of Chartered Accountants of India (ICAI).

2. Accounting Standards AS-10 and AS-16 prescribe the principles of capitalization of

various costs based on the underlying concept that only such expenditure should be
capitalized as form a part of the cost of fixed assets which increase the worth of the
assets. Cost incurred during the extended delay in commencement of commercial
production after the plant is otherwise ready does not increase the worth of fixed assets.
Such costs cannot, therefore, be capitalized.

3. Accounting Standard AS 16, inter alia provides guidance with regard to part
capitalization where some units of a project are complete. In case one of the units of the
project is ready for commercial production and is capable of being used while
construction continues for the other units, costs should be capitalized in relation to that
part once the part is ready for commercial production.

4. It is further clarified that AS 10 and AS 16 are applicable irrespective of whether the

power projects are ‘Cost Plus projects’ or ‘Competitive Bid projects’.

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Clarification with regard to Companies (Accounting Standards) Amendment Rules
2016

General Circular No. 04/2016, dated 27-04-2016

Stakeholders have sought clarifications with regard to the accounting period for which the
accounts would need to be prepared using the Accounting Standards, as amended
through the Companies (Accounting Standards) Amendment Rules, 2016. The matter has
been examined in the Ministry and it is hereby clarified that the amended Accounting
Standards should be used for preparation of accounts for accounting periods
commencing on or after the date of notification.

Obligation to comply with the Indian Accounting Standards(Ind AS) and Rule 4 of

the Companies (Indian Accounting Standards) Rules, 2015- Payment Banks, Small
Finance Banks which are subsidiaries of Corporates

General Circular No. 10 /2017 dated 13-09-2017

The Ministry vide notification no. GSR 365(E) , dated 30.03.2016 notified Companies
(Indian Accounting Standards) Amendment Rules, 2016  inter-alia amending Companies
(Indian Accounting Standards)  Rules, 2015. Some stakeholders have sought clarification
with regard to implementation of Ind  AS wherein the holding company has Payment
Banks or Small Finance Banks as its subsidiaries.

2. The matter has been examined and it is hereby clarified that the holding company if
it is covered by the corporate sector road-map for implementation of Ind AS, shall
follow the corporate sector road map and if the company has got payment bank or
small finance bank as its subsidiary then subsidiary company shall follow the
banking sector road map prescribed vide RBI circular
DBR.BP.BC.NO.76/21.07.001/2015-16 dated 11th February, 2016 on “Implementation of
Indian Accounting Standards (Ind AS)” read with circular
DBR.NBD.No.25/16.13.218/2016-17 dated 6thOctober, 2016 on “operating Guidelines for
Payment Banks”. However , the Payment Banks or Small Finance Banks shall provide
the Ind AS financial date to its holding company for the purpose of consolidation.

Applicable Notification

Notification for National Advisory Committee on Accounting Standards

Notification No. S.O. 2425 (E). dated 18th September, 2014

S.O.(E).- In exercise of the powers conferred by sub-section (1) of section 210A of the
Companies Act, 1956 (1 of 1956), the Central Government hereby constitutes an
Advisory Committee to be called the National Advisory Committee on Accounting

Standards, consisting of the following persons to advise the Central Government on the
formulation and laying down of accounting policies and accounting standards for adoption
by companies or class of companies under the said Act, namely:—

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Name, Designation and Post Held

1. Shri Amarjit Chopra, Chartered Accountant

Chairperson, [Nominated under clause (a) of sub-section (2) of section 210A]

2. 1213Shri Pramod Kumar Bhattad, President, Nominee of The Institute of Cost and
Works Accountants of India.

Member, [nominated under clause (b) of sub-section (2) of section 210A]

3. Shri R. Sridharan, President, Nominee of The Institute of Company Secretaries of

India.

Member, [nominated under clause (b) of sub-section (2) of section 210A]

4. Shri Manoj Fadnis, President, Nominee of The Institute of Chartered Accountants of

India.

Member, [nominated under clause (b) of sub-section (2) of section 210A]

5. Joint Secretary, Ministry of Corporate Affairs.

Member, [Nominated under clause (c) of sub-section (2) of section 210A]

6. Shri Sudarshan Sen, Chief General Manager-in-Charge,

Nominee of Reserve Bank of India.

Member, [Nominated under clause (d) of sub- section (2) of section 210A]

7. 1Director General (Commercial), Nominee of Comptroller and Auditor General of India

[Nominated under clause (e) of sub- section (2) of section 210A]

8. Prof. IN Pandey,

Ex-faculty, Indian Institute of Management, AhmedabadJoint Secretary, Tax Policy Law-II,

Nominee of Central Board of Direct Taxes.

[Nominated under clause (f) of sub- section (2) of section 210A]

9. Shri Rostow Ravanan,

Member

Nominee of Confederation of Indian Industry

[Nominated under clause (h) of sub-section (2) of section 210A]

10. Shri Adesh Gupta

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Member

Nominee of Federation of Indian Chambers of Commerce and Industry

[Nominated under clause (h) of sub-section (2) of section 210A]

11. Dr. Ashok Haldia

Member

Nominee of Associated Chambers of Commerce and Industry of India

[Nominated under clause (h) of sub-section (2) of section 210A]

12. Shri S. Ravindran

Executive Director

Nominee of Securities and Exchange Board of India

[Nominated under clause (h) of sub-section (2) of section 210A]

2. The Chairperson and members shall hold office for a period of one year from the date
of publication of this notification in the Official Gazette or till the constitution of National
Financial Reporting Authority under section 132 of the Companies Act, 2013, (18 of 2013)
whichever is earlier.

3. This notification shall come into force on 18th September, 2014.

NATIONAL ADVISORY COMMITTEE ON ACCOUNTING STANDARDS

Notification No. S.O.3118(E) dated 03rd October 2016

In exercise of the powers conferred by sub-section (1) of section 210A of the Companies
Act, 1956, (1 of 1956), the Central Government hereby constitutes an Advisory
Committee to be called the National Advisory Committee on Accounting Standards,
consisting of the following persons, to advise the Central Government on the formulation
and laying down of accounting policies and accounting standards for adoption by
companies or class of companies under the said Act or the Companies Act, 2013 (18 of
2013) as the case may be, namely:

1. Shri Amarjit Chopra,                                                                                Chairperson,

Chartered Accountant                                                                        [nominated under

clause (a) of sub-section (2) of                                                                                              
                            section 210A]

[13][2. Shri Sanjay Gupta,  President, the Institute of                           Member,

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Cost Accountants of India                                                                   [nominated under
clause (b) of  sub-section (2) of                                                                                             
                                                                 section 210A of the said Act]]

[15][3. Dr. Shyam Agrawal,                                                                                                   

    Member,

President, Nominee of the Institute of Company                         [nominated under clause

(b) of

Secretaries of India                                                                             sub-section (2) of

section 210A of the said Act]

4. Shri Nilesh S. Vikamsey, President,                                                                      

 Member,

the Institute of Chartered   of Accountants                                      [nominated under

clause (b)                                                         of India                                                         
                           sub-section (2) of section 210A of the said Act]]

5. Joint Secretary,                                                                                                                

Member,

Ministry of Corporate Affairs                                                           [nominated under clause

(c) of sub-section (2) of                                                                                                          
                           section 210A]

6. Shri Sudarshan Sen, Chief                                                                                            

Member,

General Manager-in-Charge,                                                             [nominated under

clause (d) of

Nominee of the Reserve Bank of India                                             sub-section (2) of

section 210A]

7. Director General (Commercial),                                                                                

Member,

Nominee of Comptroller and Auditor-                                            [nominated under clause

(e) of

General of India                                                                                          sub-section (2)

of section 210A]

8. Sanjeev Singhal,                                                                                                 Member,

Former Associate Professor,                                                              [nominated under

clause (f) of

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FORE School of Management                                                                 sub-section (2) of
section 210A]

9. Joint Secretary, TPL-II,                                                                                                

Member,

Nominee of the Central Board of                                                    [nominated under

clause (g) of

Direct Taxes                                                                                         sub-section (2) of

section 210A

10. Shri Dipankar Chatterji,                                                                                                
Member,

Nominee of the Confederation of Indian                                       [nominated under clause
(h) of

Industry                                                                                                 sub-section (2) of

section 210A]

11. Shri Sushil Agarwal,                                                                                                
Member,

Nominee of the Federation of Indian Chambers of                     [nominated under clause
(h) of

Commerce and Industry                                                                          sub-section (2) of

section 210A].

12. Ashok Haldia,                                                                                                          

Member,

Nominee of the Associated Chambers of                                       [nominated under

clause (h)

of Commerce and Industry of India                                                sub-section (2) of

section 210A]

13. Executive Director,                                                                                                

 Member,

Nominee of Securities Exchange Board of India                          [nominated under clause

(i) of sub-section (2) of                                                                                                          
                               section 210A]

2. The Chairperson and members shall hold office for a period of [14][“two years”] from
the date of publication of this notification in the Official Gazette or till the constitution of
National Financial Reporting Authority under section 132 of the Companies Act, 2013 (18

16/18
of 2013), whichever is earlier

[1] Inserted by the Companies (Removal of Difficulties) Second Order, 2016 dated 29th
March 2016  vide S.O. 1227(E).

[2] Inserted Companies (Indian Accounting Standards) Rules, 2015 vide Notifcation F No.
01/01/2009/CL-V(Part) dated 16th February, 2015.

[3] Inserted by the Companies (Accounts) Second Amendment Rules, 2015 dated 4th
September, 2015 vide F No. 01/19/2013-CL-V-Part.

[4]  Inserted by the Companies (Indian Accounting Standards) (Amendment) Rules, 2016
dated  30th March 2016 vide G.S.R. 365(E)

[5] Substituted for the words “any company” by The Companies (Indian Accounting
Standards) (Amendment) Rules, 2016 vide G.S.R. 365 (E) dated 30th March , 2016

[6] Inserted by the Companies (Indian Accounting Standards) (Amendment) Rules, 2016
dated  30th March 2016 vide G.S.R. 365(E)

[7] Substituted for the words “sub-rule (1)” by The Companies (Indian Accounting
Standards) (Amendment) Rules, 2016 vide G.S.R. 365 (E) dated 30th March , 2016

[8] Inserted by The Companies (Indian Accounting Standards) (Amendment) Rules, 2016
vide G.S.R. 365 (E) dated 30th March , 2016

[9] Inserted by The Companies (Indian Accounting Standards) (Amendment) Rules, 2016
vide G.S.R. 365 (E) dated 30th March , 2016

[10] Inserted by The Companies (Indian Accounting Standards) (Amendment) Rules,

2016 vide G.S.R. 365 (E) dated 30th March , 2016

[11] Omitted words “either voluntarily or mandatorily” by The Companies (Indian

Accounting Standards) (Amendment) Rules, 2016 vide G.S.R. 365 (E) dated 30th March ,
2016

[12] Substituted by The Companies (Indian Accounting Standards) (Amendment) Rules,

2016 vide G.S.R. 365 (E) dated 30th March , 2016. Prior to substitution read as follows:-

“  Rule 5. Exemptions.- The insurance companies, banking companies and non-banking

finance companies shall not be required to apply Indian Accounting Standards (Ind AS)
for preparation of their financial statements either voluntarily or mandatorily as specified
in sub-rule (1) of rule 4.”

[13] Substituted vide Notification No. S.O. (E) dated 20th September, 2017.

[14] Substituted for the word “one year” vide Notification No. F. No.1/5/2001-CL-V(Part VI)
dated 20th September, 2017.

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[15] Substituted vide Notification No. S.O. (E) dated 23rd March, 2017.

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