Most of the Indian corporates are in the process of transitioning to Ind AS, during the financial years ending 31 March 2016-2018 in phase, thus aligning the financial reporting framework in India with the globally followed financial reporting standards making it easier for Indian companies to access global investors and lenders as well as facilitate mergers and acquisitions.

There were two phases of Ind AS transition, with first phase, covering listed and unlisted companies with net worth in excess of Rs.500 crores (phase I) from financial year ended 31 March 2017. As per the estimates, approximately 350 companies/groups are covered in phase I of Ind AS roadmap This has been followed by approximately 10,000 phase II companies (balance listed companies and unlisted companies with net worth in excess of Rs.250 crores), that

have applied or in the process of applying Ind AS from financial year beginning from 1 April 2017.

We take a look at the sector-wise impact of the Ind AS requirements vis-à-vis the previous Indian GAAP accounting considering the key Ind AS impact areas that were reported by way of profit and equity (net worth) reconciliations by these companies. In addition to the impact on the financial results of the  companies, the transition caused significant far-reaching consequential business impact.

In this publication, we endeavor to bring out significant transition, first-time adoption and other related issues that are emerging in practice. In that context, we discuss various accounting options available under Ind AS, both upon transition on first-time adoption as well as those available on an ongoing basis. We discuss the sector-wise Ind AS transition adjustment analysis. This publication would also help companies to benchmark their Ind AS accounting with that of their industry peers as also with other leading companies.

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