Exposure Draft of Ind AS 119, Subsidiaries without Public Accountability: Disclosures

Exposure Draft Indian Accounting Standard (Ind AS) 119

Subsidiaries without Public Accountability: Disclosures (Last Date for comments: March 5, 2026) Issued by Accounting Standards Board The Institute of Chartered Accountants of IndiaIntroduction Following is the Exposure Draft of the proposed new standard Ind AS 119, Subsidiaries without Public

Accountability: Disclosures, issued by the Accounting Standards Board (ASB) of the Institute of Chartered Accountants of India, for comments. The proposed Ind AS 119 is a voluntary standard for eligible subsidiaries and aims to simplify the preparation of such subsidiaries’ financial statements by prescribing reduced disclosure requirements for them.

Globally, IFRS 19 is effective from the accounting periods beginning on or after January 1, 2027. In India, the proposed effective date of Ind AS 119 is for annual reporting periods beginning on or after April 1, 2027.

Key Features [The purpose of this summary is to provide an overview of the principal requirements of proposed Ind AS 119 (or ‘the Standard’). Reference should be made to the complete text of the Exposure Draft for complete understanding of the requirements of the Standard.] Following is the summary of key requirements proposed in Ind AS 119:

Objective Ind AS 119 specifies reduced disclosure requirements that an eligible subsidiary is permitted to apply instead of the disclosure requirements in other Indian Accounting Standards. The objective of the Standard is to alleviate the reporting burden for eligible subsidiaries without public accountability thereby making the preparation of financial statements simpler and less costly for eligible subsidiaries while maintaining the usefulness of those financial statements for their users.

If an entity applying this Standard applies Ind AS 108, Operating Segments, Ind AS 117, Insurance Contracts or Ind AS 33, Earnings per Share, it shall apply all the disclosure requirements in those Standards.

Scope A subsidiary would be eligible if, at the end of its reporting period, it: • does not have public accountability; and • has an ultimate or intermediate parent that produces consolidated financial statements available for public use that comply with Ind ASs.

An eligible subsidiary can apply Ind AS 119 in its consolidated, separate or individual financial statements.

An entity has public accountability if: • its debt or equity instruments are traded in a public market or it is in the process of issuing such instruments for trading in a public market (a domestic or foreign stock exchange or an over-the- counter market, including local and regional markets); or • it holds assets in a fiduciary capacity for a broad group of outsiders as one of its primary businesses (for example, banks, credit unions, insurance companies, securities brokers/dealers, mutual funds and investment banks often meet this criterion) Structure of the Standard Eligible subsidiaries are required to apply the recognition, measurement and presentation requirements in other relevant Indian Accounting Standards. However, for the disclosure requirements, the eligible subsidiaries may apply the disclosure requirements given in Ind AS 119.The disclosure requirements in Ind AS 119 are a reduced version of those set out in other Ind ASs.

Disclosure requirements in other Ind ASs that would remain applicable when applying Ind AS 119 are specified under the relevant Ind AS subheading in Ind AS 119.

There are also consequential amendments to some other Ind ASs.

The ASB invites comments on any aspect of this Exposure Draft.

Comments are most helpful if they contain a clear rationale and, where applicable, provide suggestions for alternative wording.

Comments can be submitted using one of the following methods. The last date of comments is March 5, 2026.

1. Electronically: Click on http://www.icai.org/comments/asb/ to submit comments online. (Preferred method)

2. Email: Comments can be sent to commentsasb@icai.in

3. Postal: Secretary, Accounting Standards Board, The Institute of Chartered Accountants of India, ICAI Bhawan, Post Box No. 7100, Indraprastha Marg, New Delhi – 110002.

Further clarifications on any aspect of this Exposure Draft may be sought by e-mail to asb@icai.inExposure Draft Indian Accounting Standard (Ind AS) 119,

Subsidiaries without Public Accountability: Disclosures Objective 1 Ind AS 119, Subsidiaries without Public Accountability: Disclosures, specifies the disclosure requirements an entity is permitted to apply instead of the disclosure requirements in other Ind AS.

Meeting the objective 2 An entity electing to apply this Standard applies the requirements in other Indian Accounting Standards (Ind ASs), except for the disclosure requirements. Instead, the entity applies the requirements in this Standard.

3 Therefore, unless specified otherwise (see paragraph 4), an entity applying this Standard need not apply the disclosure requirements in other Ind ASs nor apply any statements about, or references to, those disclosure requirements. For example, paragraph 35 of Ind AS 12, Income Taxes, contains requirements about the criteria for recognising a deferred tax asset arising from the carryforward of unused tax losses and tax credits. The paragraph ends with ‘in such circumstances, paragraph 82 requires disclosure of the amount of the deferred tax asset and the nature of the evidence supporting its recognition’. An entity that applies this Standard would not apply paragraph 82 of Ind AS 12. Such an entity need not apply the statement at the end of paragraph 35 of Ind AS 12 about paragraph 82.

4 Notwithstanding paragraphs 2–3:

(a) disclosure requirements in other Ind ASs that remain applicable to an entity applying this Standard are specified in this Standard.

(b) if an entity applying this Standard applies Ind AS 108, Operating Segments, Ind AS 117, Insurance Contracts or Ind AS 33, Earnings per Share, it shall apply all the disclosure requirements in those Standards.

(c) a new or amended Ind AS may include disclosure requirements about an entity’s transition to that Standard. Any relief available to an entity applying this Standard from disclosure requirements about the entity’s transition to that new or amended Standard will be set out in the new or amended Ind AS.

5 In accordance with paragraph 19 of Ind AS 118, Presentation and Disclosure in Financial Statements1, an entity applying this Standard need not provide a specific disclosure required by this Standard if the information resulting from that disclosure would not be material.

6 An entity shall consider whether to provide additional disclosures when compliance with the specific requirements in this Standard is insufficient to enable users of financial statements to understand the effect of transactions and other events and conditions on the entity’s financial position and financial performance.

Scope 7 An entity may elect to apply this Standard in its consolidated, separate or individual financial statements if, and only if, at the end of the reporting period:

(a) it is a subsidiary;

1 Ind AS 118 is yet to be notified.

1(b) it does not have public accountability (see paragraphs 11–12); and

(c) it has an ultimate or intermediate parent that produces consolidated financial statements available for public use that comply with Ind ASs.

8 A ‘subsidiary’ and a ‘group’ are defined in Appendix A of Ind AS 110, Consolidated Financial Statements.

9 An intermediate parent assesses its eligibility to apply this Standard in its separate financial statements, regardless of whether other group entities, or the group as a whole, have public accountability.

10 An intermediate parent that does not have public accountability and meets the other eligibility conditions in paragraph 7 may apply this Standard in its separate financial statements even if it does not apply this Standard in its consolidated financial statements.

11 An entity has public accountability if:

(a) its debt or equity instruments are traded in a public market or it is in the process of issuing such instruments for trading in a public market (a domestic or foreign stock exchange or an over-the-counter market, including local and regional markets); or

(b) it holds assets in a fiduciary capacity for a broad group of outsiders as one of its primary businesses (for example, banks, credit unions, insurance companies, securities brokers/dealers, mutual funds and investment banks often meet this second criterion) 12 Some entities may hold assets in a fiduciary capacity for a broad group of outsiders because they hold and manage financial resources entrusted to them by clients, customers or members not involved in the management of the entity. However, if they do so for reasons incidental to a primary business (as, for example, may be the case for travel or real estate agents, schools, charitable organisations, co- operative enterprises requiring a nominal membership deposit, and sellers that receive payment in advance of delivery of goods or services such as utility companies), that does not make them publicly accountable.

Electing or revoking an election to apply this Standard 13 An entity that elects to apply this Standard in one reporting period may later revoke that election. An entity may elect to apply this Standard more than once— for example, an entity that applied this Standard in a prior period but not in the immediately preceding period may elect to apply this Standard in the current period.

14 An entity that applies this Standard in the current reporting period but not in the immediately preceding period shall provide comparative information (that is, information for the preceding period) for all amounts reported in the current period’s financial statements, unless this Standard or another Ind AS permits or requires otherwise. The entity shall include comparative information for narrative and descriptive information if it is necessary for an understanding of the current period’s financial statements.

15 An entity that applied this Standard in the preceding reporting period—but elects not to (or is no longer eligible to) apply it in the current period and continues applying Ind ASs—shall provide comparative information with respect to the preceding period for all amounts reported in the current period’s financial statements, unless another Ind AS permits or requires otherwise. The entity shall include comparative information for narrative and descriptive information if it is necessary for an understanding of the current period’s financial statements. The fact that this Standard did not require the disclosure of amounts in the preceding period for some items that are disclosed in the current period is not a reason to omit comparative information for these items.

216 The requirements for changes in accounting policies in Ind AS 8, Basis of Preparation of Financial Statements2, do not apply to electing or revoking an election to apply this Standard.

Interaction with Ind AS 101, First-time Adoption of Indian Accounting Standards 17 An entity applies Ind AS 101, First-time Adoption of Indian Accounting Standards, when it prepares its first Ind AS financial statements. An entity that applies this Standard when it prepares its first Ind AS financial statements shall apply the disclosure requirements in paragraphs 21–30 of this Standard instead of the disclosure requirements in paragraphs 23–33 of Ind AS 101.

18 Electing or revoking an election to apply this Standard does not, on its own, result in an entity meeting the definition of a first-time adopter of Ind ASs in Ind AS 101 . For example, an entity that applied Ind ASs, but not this Standard, in the immediately preceding reporting period and that applies this Standard in the current period is not a first-time adopter of Ind ASs and shall not apply Ind AS 101 in the current period.

19 Similarly, an entity revoking the election to apply this Standard in the current reporting period does not apply Ind AS 101 in the current period if, in the immediately preceding period, it provided an explicit and unreserved statement of compliance with Ind ASs as required by paragraph 20.

Disclosure requirements Compliance with Ind ASs 20 An entity whose financial statements comply with Ind ASs and the requirements in this Standard shall make an explicit and unreserved statement of such compliance in the notes. An entity that applies this Standard shall, as part of that unreserved statement, state that it has applied this Standard. An entity applying this Standard shall not describe financial statements as complying with Ind ASs unless the entity complies with the requirements in this Standard and all applicable requirements in other Ind ASs.

Ind AS 101, First-time Adoption of Indian Accounting Standards

Explanation of transition to Ind ASs 21 An entity shall explain how the transition from previous GAAP to Ind ASs affected its reported financial position, financial performance and cash flows.

22 [Refer Appendix 1] 23 [Refer Appendix 1] Reconciliations 24 To comply with paragraph 21, an entity’s first Ind AS financial statements shall include:

(a) reconciliations of its equity reported in accordance with previous GAAP to its equity in

accordance with Ind ASs for both:

(i) the date of transition to Ind ASs; and

(ii) the end of the latest period presented in the entity’s most recent annual financial statements in accordance with previous GAAP.

(b) a reconciliation to its total comprehensive income in accordance with Ind ASs for the latest period in the entity’s most recent annual financial statements. The starting point for that 2 Revised Ind AS 8 as part of consequential changes due to formulation of Ind AS 118 is yet to be notified.

3reconciliation shall be total comprehensive income in accordance with previous GAAP for the same period or, if an entity did not report such a total, profit or loss under previous GAAP.

25 If an entity becomes aware of errors made under previous GAAP in the reconciliations required by paragraph 24, it shall distinguish the correction of those errors from changes in accounting policies.

26 If, during the period covered by its first Ind AS financial statements, an entity changes its accounting policies or its use of the exemptions contained in Ind AS 101, it shall explain the changes between its first Ind AS interim financial report and its first Ind AS financial statements in accordance with paragraph 21, and it shall update the reconciliations required by paragraph 24.

26AA If an entity adopts the first-time exemption option provided in accordance with paragraph D7AA, the fact and the accounting policy shall be disclosed by the entity until such time that those items of Property, plant and equipment, investment properties or intangible assets, as the case may be, are significantly depreciated, impaired or derecognised from the entity’s Balance Sheet.

27 If an entity did not present financial statements for previous periods, its first Ind AS financial statements shall disclose that fact.

Interim financial reports 28 To comply with paragraph 21, if an entity presents an interim financial report in accordance with Ind AS 34, Interim Financial Reporting for part of the period covered by its first Ind AS financial statements, the entity shall satisfy the requirements of Ind AS 34, unless stated otherwise, as well as these

requirements:

(a) each such interim financial report shall, if the entity presented an interim financial report for the comparable interim period of the immediately preceding financial year, include:

(i) a reconciliation of its equity in accordance with previous GAAP at the end of that comparable interim period to its equity under Ind ASs at that date; and

(ii) a reconciliation to its total comprehensive income in accordance with Ind ASs for that comparable interim period (current and year to date). The starting point for that reconciliation shall be total comprehensive income in accordance with previous GAAP for that period or, if an entity did not report such a total, profit or loss in accordance with previous GAAP.

(b) in addition to the reconciliations required by (a), an entity’s first interim financial report in accordance with Ind AS 34 for part of the period covered by its first Ind AS financial statements shall include the reconciliations described in paragraph 24 (supplemented by the details required by paragraph 25) or a cross-reference to another published document that includes these reconciliations; and

(c) if an entity changes its accounting policies or its use of the exemptions contained in Ind AS 101, it shall explain the changes in each such interim financial report in accordance with paragraph 21 and update the reconciliations required by (a)–(b).

29 If a first-time adopter did not, in its most recent annual financial statements in accordance with previous GAAP, disclose information material to an understanding of the current interim period, its interim financial report shall disclose that information or include a cross-reference to another published document that includes it.

Disclosure requirements in Ind AS 101 that remain applicable 30 If an entity applies paragraph D2 of Ind AS 101, it shall apply the disclosure requirements in that paragraph.

Ind AS, 102 Share-based Payment 31 An entity shall disclose:

4(a) a description of each type of share-based payment arrangement that existed at any time during the reporting period, including the general terms and conditions of each arrangement, such as vesting requirements, the maximum term of options granted and the method of settlement (whether in cash or equity). An entity with substantially similar types of share- based payment arrangements may aggregate this information.

(b) the number and weighted average exercise prices of share options in each of these groups

of options:

(i) outstanding at the beginning of the reporting period;

(ii) granted during the period;

(iii) forfeited during the period;

(iv) exercised during the period;

(v) expired during the period;

(vi) outstanding at the end of the period; and

(vii) exercisable at the end of the period.

32 An entity shall disclose information that enables users of the financial statements to understand how the fair value of the goods or services received, or the fair value of the equity instruments granted, during the reporting period was determined.

33 For share-based payment arrangements that were modified during the reporting period, an entity shall explain those modifications.

34 An entity shall disclose:

(a) the total expense recognised for the reporting period arising from share-based payment transactions in which the goods or services received did not qualify for recognition as assets and were therefore recognised immediately as an expense; and

(b) the total carrying amount at the end of the reporting period for liabilities arising from share- based payment transactions.

Ind AS 103, Business Combinations 35 The acquirer shall disclose, for each business combination that occurs during the reporting period:

(a) the name and description of the acquiree;

(b) the acquisition date;

(c) the percentage of voting equity interests acquired;

(d) a qualitative description of the factors that make up the goodwill recognised, such as expected synergies from combining operations of the acquiree and the acquirer, intangible assets that do not qualify for separate recognition or other factors;

(e) the acquisition-date fair value of the total consideration transferred and description of the components of that consideration, such as:

(i) cash;

(ii) other tangible or intangible assets, including a business or subsidiary of the acquirer;

(iii) liabilities incurred, for example, a liability for contingent consideration; and

(iv) equity interests of the acquirer;

(f) for contingent consideration arrangements and indemnification assets:

(i) the amount recognised as of the acquisition date; and 5(ii) a description of the arrangement and the basis for determining the amount of the payment;

(g) the amounts recognised as of the acquisition date for each class of assets acquired and liabilities assumed;

(h) if a contingent liability is not recognised because its fair value cannot be measured reliably, the information required by paragraph 259;

(i) in a bargain purchase (see paragraphs 34-36A of Ind AS 103):(i) the amount of any gain recognised in other comprehensive income in accordance with paragraph 34 of Ind AS 103;

(ii) the amount of any gain directly recognised in equity in accordance with paragraph 36A of Ind AS 103; and

(iii) a description of the reasons why the transaction resulted in a gain in case of (i) above.

(j) for each business combination in which the acquirer holds less than 100 per cent of the

equity interests in the acquiree at the acquisition date:

(i) the amount of non-controlling interest in the acquiree recognised at the acquisition date and the measurement basis for that amount; and

(ii) for each non-controlling interest in an acquiree measured at fair value, the valuation technique(s) and significant inputs used to measure that value.

36 The acquirer shall disclose, for each reporting period after the acquisition date until the entity collects, sells or otherwise loses the right to a contingent consideration asset, or until the entity settles a

contingent consideration liability or the liability is cancelled or expires:

(a) any changes in the recognised amounts, including any differences arising upon settlement; and

(b) the valuation techniques and key model inputs used to measure contingent consideration.

37 The acquirer shall disclose a reconciliation (comparative information is not required) of the carrying

amount of goodwill at the beginning and end of the reporting period showing separately:

(a) additional goodwill recognised during the reporting period, except goodwill included in a disposal group that, on acquisition, meets the criteria to be classified as held for sale in accordance with Ind AS 105, Non-current Assets Held for Sale and Discontinued Operations;

(b) goodwill included in a disposal group classified as held for sale in accordance with Ind AS 105 and goodwill derecognised during the reporting period without having previously been included in a disposal group classified as held for sale;

(c) impairment losses recognised during the reporting period in accordance with Ind AS 36, Impairment of Assets; and

(d) any other changes in the carrying amount during the reporting period.

Ind AS 105, Non-current Assets Held for Sale and Discontinued Operations 38 An entity shall disclose, in the notes in the reporting period in which a non-current asset (or disposal group) has been either classified as held for sale or sold:

(a) a description of the non-current asset (or disposal group);

(b) a description of the facts and circumstances of the sale, or leading to the expected disposal, and the expected manner and timing of that disposal; and

(c) if applicable, the reportable segment in which the non-current asset (or disposal group) is presented in accordance with Ind AS 108.

39 If either paragraph 26 of Ind AS 105 or paragraph 29 of Ind AS 105 applies, an entity shall disclose, in the reporting period of the decision to change the plan to sell the non-current asset (or disposal group), 6a description of the facts and circumstances leading to the decision and the effect of the decision on the results of operations for the period and any prior periods presented.

Disclosure requirements in Ind AS 105 that remain applicable 40 An entity shall apply the disclosure requirements in paragraphs 12, 13, 33(a), 33(c) and 34 of Ind AS

105. The reference to paragraph 33 in paragraph 13 of Ind AS 105 shall be read by the entity as referring to paragraphs 33(a) and 33(c) of Ind AS 105.

Ind AS 106, Exploration for and Evaluation of Mineral Resources 41 An entity shall treat exploration and evaluation assets as a separate class of assets and make the disclosures required by either paragraphs 200–202 (under subheading Ind AS 16, Property, Plant and Equipment) or paragraphs 263–266 (under subheading Ind AS 38, Intangible Assets), consistent with how the assets are classified.

Ind AS 107, Financial Instruments: Disclosures 42 Paragraphs 3–5D of Ind AS 107, Financial Instruments: Disclosures, set out the scope of Ind AS 107, that is, the financial instruments, contracts to buy or sell a non-financial item and rights to which the disclosure requirements in Ind AS 107 apply. An entity applying this Standard shall apply paragraphs 3–5D of Ind AS 107 to determine the scope of the disclosure requirements in paragraphs 43–73. The

references in:

(a) paragraph 3(a) of Ind AS 107 to the disclosure requirements in Ind AS 113, Fair Value Measurement, shall be read by the entity as referring to paragraphs 95–97; and

(b) paragraph 5A of Ind AS 107 to the disclosure requirements in paragraphs 35A–35N of Ind AS 107 shall be read by the entity as referring to paragraphs 65–71.

43 An entity shall disclose information that enables users of its financial statements to evaluate the significance of financial instruments for its financial position and performance.

Categories of financial assets and financial liabilities 44 The carrying amounts of each of the following categories, as specified in Ind AS 109, Financial Instruments, shall either be presented in the balance sheet or disclosed in the notes:

(a) financial assets measured at fair value through profit or loss;

(b) financial liabilities at fair value through profit or loss, showing separately:

(i) those designated as such upon initial recognition in accordance with paragraph 4.2.2 of Ind AS 109 or subsequently in accordance with paragraph 6.7.1 of Ind AS 109; and

(ii) those that meet the definition of held for trading in Ind AS 109;

(c) financial assets measured at amortised cost;

(d) financial liabilities measured at amortised cost; and

(e) financial assets measured at fair value through other comprehensive income, showing

separately:

(i) financial assets that are measured at fair value through other comprehensive income in accordance with paragraph 4.1.2A of Ind AS 109; and

(ii) investments in equity instruments designated as such upon initial recognition in accordance with paragraph 5.7.5 of Ind AS 109 7Financial liabilities at fair value through profit or loss 45 If the entity has designated a financial liability as at fair value through profit or loss in accordance with paragraph 4.2.2 of Ind AS 109 and is required to present the effects of changes in that liability’s credit risk in other comprehensive income (see paragraph 5.7.7 of Ind AS 109, it shall disclose:

(a) the amount of change, cumulatively, in the fair value of the financial liability that is attributable to changes in the credit risk of that liability (see paragraphs B5.7.13–B5.7.20 of Ind AS 109)for guidance on determining the effects of changes in a liability’s credit risk); and

(b) the difference between the financial liability’s carrying amount and the amount the entity would be contractually required to pay at maturity to the holder of the obligation.

46 If an entity has designated a financial liability as at fair value through profit or loss in accordance with paragraph 4.2.2 of Ind AS 109 and is required to present all changes in the fair value of that liability (including the effects of changes in the credit risk of the liability) in profit or loss (see paragraphs 5.7.7 and 5.7.8 of Ind AS 109), it shall disclose:

(a) the amount of change, during the reporting period and cumulatively, in the fair value of the financial liability that is attributable to changes in the credit risk of that liability (see paragraphs B5.7.13–B5.7.20 of Ind AS 109 for guidance on determining the effects of changes in a liability’s credit risk); and

(b) the difference between the financial liability’s carrying amount and the amount the entity would be contractually required to pay at maturity to the holder of the obligation.

Reclassification 47 An entity shall disclose if, in the current or previous reporting periods, it has reclassified any financial assets in accordance with paragraph 4.4.1 of Ind AS 109. For each such event, an entity shall disclose:

(a) the date of reclassification;

(b) a detailed explanation of the change in business model and a qualitative description of its effect on the entity’s financial statements; and

(c) the amount reclassified into and out of each category.

48 For each reporting period following reclassification until derecognition, an entity shall disclose, for assets reclassified out of the fair value through profit or loss category so that they are measured at amortised cost or fair value through other comprehensive income in accordance with paragraph 4.4.1 of Ind AS 109:

(a) the effective interest rate determined on the date of reclassification; and

(b) the interest revenue recognised.

Offsetting financial assets and financial liabilities 49 An entity shall, at the end of the reporting period, disclose separately the gross amounts of those recognised financial assets and recognised financial liabilities that are set off in accordance with paragraph 42 of Ind AS 32, Financial Instruments: Presentation.

50 Financial instruments disclosed in accordance with paragraph 49 may be subject to different measurement requirements (for example, a payable related to a repurchase agreement may be measured at amortised cost, while a derivative will be measured at fair value). An entity shall include financial instruments at their recognised amounts and describe any resulting measurement differences in the related disclosures.

Collateral 51 An entity shall disclose:

8(a) the carrying amount of financial assets it has pledged as collateral for liabilities or contingent liabilities, including amounts that have been reclassified in accordance with paragraph

3.2.23(a) of Ind AS 109 and

(b) the terms and conditions relating to its pledge.

Allowance account for credit losses 52 The carrying amount of financial assets measured at fair value through other comprehensive income in accordance with paragraph 4.1.2A of Ind AS 109 is not reduced by a loss allowance and an entity shall not present the loss allowance separately in the balance sheet as a reduction of the carrying amount of the financial asset. However, an entity shall disclose the loss allowance in the notes.

Compound financial instruments with multiple embedded derivatives 53 If an entity has issued an instrument that contains both a liability and an equity component (see paragraph 28 of Ind AS 32) and the instrument has multiple embedded derivatives whose values are interdependent (such as a callable convertible debt instrument), it shall disclose the existence of those features.

Defaults and breaches 54 For loans payable recognised at the end of the reporting period, an entity shall disclose:

(a) details of any defaults during the period of principal, interest, sinking fund or redemption terms of those loans payable;

(b) the carrying amount of the loans payable in default at the end of the reporting period; and

(c) whether the default was remedied, or the terms of the loans payable were renegotiated, before the financial statements were approved for issue.

55 If, during the period, there were breaches of loan agreement terms other than those described in paragraph 54, an entity shall disclose the same information as required by paragraph 54 if those breaches permitted the lender to demand accelerated repayment (unless the breaches were remedied, or the terms of the loan were renegotiated, on or before the end of the reporting period).

Items of income, expense, gains or losses 56 An entity shall either present, subject to the presentation requirements in Ind AS 118 , these items of income, expense, gains or losses in the statement of profit and loss or disclose them in the notes:

(a) net gains or net losses on:

(i) financial assets or financial liabilities measured at fair value through profit or loss;

(ii) financial liabilities measured at amortised cost;

(iii) financial assets measured at amortised cost;

(iv) investments in equity instruments designated at fair value through other comprehensive income in accordance with paragraph 5.7.5 of Ind AS 109; and

(v) financial assets measured at fair value through other comprehensive income in accordance with paragraph 4.1.2A of Ind AS 109, showing separately the amount of gain or loss recognised in other comprehensive income during the reporting period, and the amount reclassified upon derecognition from accumulated other comprehensive income to profit or loss for the period;

(b) total interest revenue and total interest expense (calculated using the effective interest method) for financial assets that are measured at amortised cost or that are measured at fair value through other comprehensive income in accordance with paragraph 4.1.2A of Ind AS 109, or financial liabilities that are not measured at fair value through profit or loss; and 9(c) fee income and expense (other than amounts included in determining the effective interest rate) arising from:

(i) financial assets and financial liabilities that are not measured at fair value through profit or loss; and

(ii) trust and other fiduciary activities that result in the holding or investing of assets on behalf of individuals, trusts, retirement benefit plans and other institutions.

56A An entity shall disclose the information required by paragraph 56B by class of financial assets measured at amortised cost or fair value through other comprehensive income and by class of financial liabilities measured at amortised cost.

56B To enable users of financial statements to understand the effect of contractual terms that could change the amount of contractual cash flows based on the occurrence (or non-occurrence) of a contingent event that does not relate directly to changes in basic lending risks and costs (such as the time value of money or credit risk), an entity shall disclose:

(a) a qualitative description of the nature of the contingent event;

(b) quantitative information about the possible changes to contractual cash flows that could result from those contractual terms (for example, the range of possible changes); and

(c) the gross carrying amount of financial assets and the amortised cost of financial liabilities subject to those contractual terms.

56C [Deleted] Accounting policies 57 In accordance with paragraph 176, an entity shall disclose material accounting policy information.

Information about the measurement basis (or bases) for financial instruments used in preparing the financial statements is expected to be material accounting policy information.

Hedge accounting 58 An entity shall disclose separately, for each category of risk exposures that it decides to hedge and for which hedge accounting is applied, a description of:

(a) the hedging instruments that are used (and how they are used) to hedge risk exposures; and

(b) how the entity determines the economic relationship between the hedged item and the hedging instrument for the purpose of assessing hedge effectiveness.

59 When an entity designates a specific risk component as a hedged item (see paragraph 6.3.7 of Ind AS

109), it shall provide qualitative or quantitative information about how the entity determined the risk component that is designated as the hedged item (including a description of the nature of the relationship between the risk component and the item as a whole).

60 An entity shall disclose, in a table, these amounts related to items designated as hedging instruments separately by risk category for each type of hedge (fair value hedge, cash flow hedge or hedge of a net investment in a foreign operation):

(a) the carrying amount of the hedging instruments (financial assets separately from financial liabilities);

(b) the line item in the balance sheet that includes the hedging instrument;

(c) the change in fair value of the hedging instrument used as the basis for recognising hedge ineffectiveness for the period; and 10(d) the nominal amounts (including quantities such as tonnes or cubic metres) of the hedging instruments.

61 An entity shall disclose, in a table, these amounts related to hedged items separately by risk category

for the types of hedges as follows:

(a) for fair value hedges:

(i) the carrying amount of the hedged item recognised in the balance sheet (presenting assets separately from liabilities);

(ii) the accumulated amount of fair value hedge adjustments on the hedged item included in the carrying amount of the hedged item recognised in the balance sheet (presenting assets separately from liabilities);

(iii) the line item in the balance sheet that includes the hedged item; and

(iv) the change in value of the hedged item used as the basis for recognising hedge ineffectiveness for the period.

(b) for cash flow hedges and hedges of a net investment in a foreign operation: the change in value of the hedged item used as the basis for recognising hedge ineffectiveness for the period (for cash flow hedges, this is the change in value used to determine the recognised hedge ineffectiveness in accordance with paragraph 6.5.11(c) of Ind AS 109).

62 An entity shall disclose, in a table, these amounts separately by risk category for the types of hedges:

(a) for fair value hedges: hedge ineffectiveness—the difference between the hedging gains or losses of the hedging instrument and the hedged item—recognised in profit or loss (or other comprehensive income for hedges of an equity instrument for which an entity has elected to present changes in fair value in other comprehensive income in accordance with paragraph

5.7.5 of Ind AS 109).

(b) for cash flow hedges and hedges of a net investment in a foreign operation:

(i) hedging gains or losses of the reporting period that were recognised in other comprehensive income;

(ii) hedge ineffectiveness recognised in profit or loss; and

(iii) the amount reclassified from the cash flow hedge reserve or the foreign currency translation reserve into profit or loss as a reclassification adjustment (see Ind AS

118)—differentiating between amounts for which hedge accounting had previously been used, but for which the hedged future cash flows are no longer expected to occur, and amounts that have been transferred because the hedged item has affected profit or loss.

63 For hedging relationships to which an entity applies the exceptions set out in paragraphs 6.8.4–6.8.12 of Ind AS 109, an entity shall disclose:

(a) the significant interest rate benchmarks to which the entity’s hedging relationships are exposed;

(b) the extent of the risk exposure the entity manages that is directly affected by the interest rate benchmark reform;

(c) how the entity is managing the process to transition to alternative benchmark rates;

(d) a description of significant assumptions or judgements the entity made in applying these paragraphs (for example, assumptions or judgements about when the uncertainty arising from interest rate benchmark reform is no longer present with respect to the timing and the amount of the interest rate benchmark-based cash flows); and

(e) the nominal amount of the hedging instruments in those hedging relationships.

11Fair value 64 In some cases, an entity does not recognise a gain or loss on initial recognition of a financial asset or financial liability because the fair value is neither evidenced by a quoted price in an active market for an identical asset or liability (a Level 1 input), nor based on a valuation technique that uses only data from observable markets (see paragraph B5.1.2A of Ind AS 109). In such cases, the entity shall

disclose by class of financial asset or financial liability:

(a) its accounting policy for recognising in profit or loss the difference between the fair value at initial recognition and the transaction price to reflect a change in factors (including time) that market participants would take into account when pricing the asset or liability (see paragraph B5.1.2A(b) of Ind AS 109);

(b) the aggregate difference yet to be recognised in profit or loss at the beginning and end of the reporting period and a reconciliation of changes in the balance of this difference; and

(c) why the entity concluded that the transaction price was not the best evidence of fair value, including a description of the evidence that supports the fair value.

Contracts referencing nature-dependent electricity3 64A An entity shall disclose in a single note in its financial statements information about its contracts referencing nature-dependent electricity that meet the criteria set out in paragraph 5B of Ind AS 107.

An entity shall disclose:

(a) information about contractual features that expose the entity to:

(i) variability in the underlying amount of electricity (see paragraph 2.3A of Ind AS 109); and

(ii) risk that the entity would be required to buy electricity during a delivery interval in which the entity cannot use the electricity (see paragraph B2.7 of Ind AS 109).

(b) information about unrecognised commitments arising from the contracts, as at the reporting date,

including:

(i) the estimated future cash flows from buying electricity under these contracts. The entity shall apply its judgement when identifying the appropriate time bands within which to disclose the estimated future cash flows.

(ii) qualitative information about how the entity assesses whether a contract might become onerous (see Ind AS 37, Provisions, Contingent Liabilities and Contingent Assets), including the assumptions the entity uses in making this assessment.

(c) qualitative and quantitative information about effects on the entity’s financial performance for the reporting period. The disclosure is based on the information that is applicable to the reporting period the entity used to assess whether it has been a net purchaser of electricity (see paragraph B2.8 of Ind AS 109). An entity shall disclose information for the reporting period about:

(i) the costs arising from purchases of electricity made under the contracts, disclosing separately how much of the purchased electricity was unused at the time of delivery;

(ii) the proceeds arising from sales of unused electricity; and

(iii) the costs arising from purchases of electricity made to offset sales of unused electricity.

3 Amendments in Ind AS 107 are yet to be notified.

1264B An entity shall disaggregate, for its contracts that meet the criteria set out in paragraph 5C of Ind AS 107, the amounts the entity discloses, by risk category, related to items designated as hedging instruments in accordance with paragraph 60.

64C If an entity discloses information about other contracts referencing nature-dependent electricity as described in paragraph 5D of Ind AS 107 (including those contracts described in paragraph 64B of this Standard) in other notes in its financial statements, the entity shall include cross-references to those notes in the single note required by paragraph 64A.

Nature and extent of risks arising from financial instruments

Credit risk: all entities 65 An entity shall explain the inputs, assumptions and estimation techniques used to apply the requirements in Section 5.5 of Ind AS 109. For this purpose an entity shall disclose:

(a) the basis of inputs and assumptions and the estimation techniques used to:

(i) measure the 12-month and lifetime expected credit losses;

(ii) determine whether the credit risk of financial instruments has increased significantly since initial recognition; and

(iii) determine whether a financial asset is a credit-impaired financial asset;

(b) how forward-looking information has been incorporated into the determination of expected credit losses, including the use of macroeconomic information; and

(c) changes in the estimation techniques or significant assumptions made during the reporting period and the reasons for those changes.

66 To explain the changes in the loss allowance and the reasons for those changes, an entity shall provide, in a table, by class of financial instrument, a reconciliation from the opening balance to the closing balance of the loss allowance, showing separately the changes during the reporting period for:

(a) the loss allowance measured at an amount equal to 12-month expected credit losses.

(b) the loss allowance measured at an amount equal to lifetime expected credit losses for:

(i) financial instruments for which credit risk has increased significantly since initial recognition but that are not credit-impaired financial assets;

(ii) financial assets that are credit-impaired at the reporting date (but that are not purchased or originated credit-impaired); and

(iii) trade receivables, contract assets or lease receivables for which the loss allowances are measured in accordance with paragraph 5.5.15 of Ind AS 109.

(c) financial assets that are purchased or originated credit-impaired. In addition to the reconciliation, an entity shall disclose the total amount of undiscounted expected credit losses at initial recognition on financial assets initially recognised during the reporting period.

67 For loan commitments and financial guarantee contracts, the loss allowance is recognised as a provision. An entity should disclose information about the changes in the loss allowance for financial assets separately from those for loan commitments and financial guarantee contracts. However, if a financial instrument includes both a loan (financial asset) and an undrawn commitment (loan commitment) component and the entity cannot separately identify the expected credit losses on the loan commitment component from those on the financial asset component, the expected credit losses on the loan commitment should be recognised together with the loss allowance for the financial asset.

To the extent that the combined expected credit losses exceed the gross carrying amount of the financial asset, the expected credit losses should be recognised as a provision.

13Credit risk: entities that provide financing to customers as a main business activity 68 The disclosure requirements in paragraphs 69–71 are applicable only to an entity that provides financing to customers as a main business activity, as described in Ind AS 118.

69 An entity shall disclose information that enables users of financial statements to understand and

evaluate:

(a) how the entity determined whether the credit risk of financial instruments has increased significantly since initial recognition, including if and how:

(i) financial instruments are considered to have low credit risk in accordance with paragraph 5.5.10 of Ind AS 109, including the classes of financial instruments to which it applies; and

(ii) the presumption in paragraph 5.5.11 of Ind AS 109, that there have been significant increases in credit risk since initial recognition when financial assets are more than 30 days past due, has been rebutted; and

(b) an entity’s definitions of default, including the reasons for selecting those definitions.

70 An entity shall provide an explanation of how significant changes in the gross carrying amount of financial instruments during the period contributed to changes in the loss allowance. The information shall be provided separately for financial instruments that represent the loss allowance as listed in paragraph 66(a)–(c) and shall include relevant qualitative and quantitative information. Examples of changes in the gross carrying amount of financial instruments that contributed to the changes in the

loss allowance may include:

(a) changes because of financial instruments originated or acquired during the reporting period;

(b) the modification of contractual cash flows on financial assets that do not result in a derecognition of those financial assets in accordance with Ind AS 109;

(c) changes because of financial instruments that were derecognised (including those that were written off) during the reporting period; and

(d) changes arising from whether the loss allowance is measured at an amount equal to 12- month or lifetime expected credit losses.

71 An entity shall disclose, by credit risk rating grades, the gross carrying amount of financial assets and the exposure to credit risk on loan commitments and financial guarantee contracts. An entity shall

provide this information separately for financial instruments:

(a) for which the loss allowance is measured at an amount equal to 12-month expected credit losses;

(b) for which the loss allowance is measured at an amount equal to lifetime expected credit

losses and that are:

(i) financial instruments for which credit risk has increased significantly since initial recognition, but that are not credit-impaired financial assets;

(ii) financial assets that are credit-impaired at the reporting date (but that are not purchased or originated credit-impaired); and

(iii) trade receivables, contract assets or lease receivables for which the loss allowances are measured in accordance with paragraph 5.5.15 of Ind AS 109.

(c) that are purchased or originated credit-impaired financial assets.

Liquidity risk 72 An entity shall disclose:

(a) a maturity analysis for non-derivative financial liabilities (including issued financial guarantee contracts) that shows the remaining contractual maturities.

14(b) a maturity analysis for derivative financial liabilities. The maturity analysis shall include the remaining contractual maturities for those derivative financial liabilities for which contractual maturities are essential for an understanding of the timing of the cash flows (see paragraph B11B of Ind AS 107).

(c) a description of how it manages the liquidity risk inherent in (a) and (b).

Transfers of financial assets 73 An entity may have transferred financial assets in such a way that part or all of the transferred financial assets do not qualify for derecognition. The entity shall disclose, at each reporting date, for each class

of transferred financial assets that are not derecognised in their entirety:

(a) the nature of the transferred assets;

(b) the nature of the risks and rewards of ownership to which the entity is exposed; and

(c) when the entity continues to recognise all of the transferred assets, the carrying amounts of the transferred assets and the associated liabilities.

Ind AS 112, Disclosure of Interests in Other Entities 74 Paragraphs 5–6 of Ind AS 112, Disclosure of Interests in Other Entities, set out the scope of Ind AS 112, that is, the interests in other entities to which the disclosure requirements in Ind AS 112 apply. An entity applying this Standard shall apply paragraphs 5–6 of Ind AS 112 to determine the scope of the disclosure requirements in paragraphs 75–94 of this Standard. However:

(a) the reference in paragraph 5(b) of Ind AS 112 to joint arrangements (that is, joint operations or joint ventures) shall be read by the entity as referring only to joint ventures;

(b) the phrase ‘except as described in paragraph B17’ in paragraph 5A of Ind AS 112 shall be read as ‘except for the disclosures required by paragraph 89 of this Standard’;

(c) the reference in paragraph 6(b)(i) of Ind AS 112 to the disclosure requirements in paragraphs 24–31 of Ind AS 112 shall be read as referring to paragraphs 92–94 of this Standard; and

(d) the reference in paragraph 6(b)(ii) of Ind AS 112 to ‘this Ind AS ’ shall be read as referring to paragraphs 82–94 of this Standard.

75 An entity shall disclose information separately for interests in:

(a) subsidiaries;

(b) joint ventures;

(c) associates; and

(d) unconsolidated structured entities.

Interests in subsidiaries 76 When the financial statements of a subsidiary used in the preparation of consolidated financial statements are as of a date or for a period that is different from that of the consolidated financial statements (see paragraphs B92–B93 of Ind AS 110), an entity shall disclose the date of the end of the reporting period of the financial statements of that subsidiary.

77 An entity shall disclose significant restrictions (for example, statutory, contractual and regulatory restrictions) on its ability to access or use the assets and settle the liabilities of the group, such as:

(a) those that restrict the ability of a parent or its subsidiaries to transfer cash or other assets to (or from) other entities within the group; and

(b) guarantees or other requirements that may restrict dividends and other capital distributions being paid, or loans and advances being made or repaid, to (or from) other entities within the group.

1578 An entity shall disclose the terms of any contractual arrangements that could require the parent or its subsidiaries to provide financial support to a consolidated structured entity, including events or circumstances that could expose the reporting entity to a loss (for example, liquidity arrangements or credit rating triggers associated with obligations to purchase assets of the structured entity or provide financial support).

79 If during the reporting period a parent or any of its subsidiaries has, without having a contractual obligation to do so, provided financial or other support to a consolidated structured entity (for example, purchasing assets of or instruments issued by the structured entity), the entity shall disclose:

(a) the type and amount of support provided, including situations in which the parent or its subsidiaries assisted the structured entity in obtaining financial support; and

(b) the reasons for providing the support.

80 An entity shall disclose any current intentions to provide financial or other support to a consolidated structured entity, including intentions to assist the structured entity in obtaining financial support.

81 An entity shall disclose the gain or loss, if any, calculated in accordance with paragraph 25 of Ind AS 110, and:

(a) the portion of that gain or loss attributable to measuring any investment retained in the former subsidiary at its fair value at the date when control is lost; and

(b) the line item(s) in profit or loss in which the gain or loss is recognised (if not presented separately).

Investment entity status 82 When a parent determines that it is an investment entity in accordance with paragraph 27 of Ind AS 110 and it does not have one or more of the typical characteristics of an investment entity (see paragraph 28 of Ind AS 110), it shall disclose its reasons for concluding that it is nevertheless an investment entity.

83 When an entity becomes, or ceases to be, an investment entity, it shall disclose the change of investment entity status and the reasons for the change. In addition, an entity that becomes an investment entity shall disclose the effect of the change of status on the financial statements for the period presented, including:

(a) the total fair value, as of the date of change of status, of the subsidiaries that cease to be consolidated;

(b) the total gain or loss, if any, calculated in accordance with paragraph B101 of Ind AS 110; and

(c) the line item(s) in profit or loss in which the gain or loss is recognised (if not presented separately).

Interests in unconsolidated subsidiaries (investment entities) 84 An investment entity that, in accordance with Ind AS 110, is required to apply the exception to consolidation and instead account for its investment in a subsidiary at fair value through profit or loss shall disclose that fact.

85 An investment entity shall disclose:

(a) the nature and extent of any significant restrictions (for example, resulting from borrowing arrangements, regulatory requirements or contractual arrangements) on the ability of an unconsolidated subsidiary to transfer funds to the investment entity in the form of cash dividends or to repay loans or advances made to the unconsolidated subsidiary by the investment entity; and 16(b) any current commitments or intentions to provide financial or other support to an unconsolidated subsidiary, including commitments or intentions to assist the subsidiary in obtaining financial support.

86 If, during the reporting period, an investment entity or any of its subsidiaries has, without having a contractual obligation to do so, provided financial or other support to an unconsolidated subsidiary (for example, purchasing assets of, or instruments issued by, the subsidiary or assisting the subsidiary in obtaining financial support), the entity shall disclose:

(a) the type and amount of support provided to each unconsolidated subsidiary; and

(b) the reasons for providing the support.

87 An investment entity shall disclose the terms of any contractual arrangements that could require the entity or its unconsolidated subsidiaries to provide financial support to an unconsolidated, controlled, structured entity, including events or circumstances that could expose the reporting entity to a loss (for example, liquidity arrangements or credit rating triggers associated with obligations to purchase assets of the structured entity or to provide financial support).

Interests in joint ventures and associates 88 An entity shall disclose, for each joint venture and associate that is material to the reporting entity:

(a) whether the investment in the joint venture or associate is measured using the equity method or at fair value; and

(b) if the joint venture or associate is accounted for using the equity method, the fair value of its investment in the joint venture or associate, if there is a quoted market price for the investment.

89 An entity shall disclose, in aggregate, the carrying amount of its interests in joint ventures or associates accounted for using the equity method. An entity shall also disclose separately the aggregate amount of its share of those joint ventures’ or associates’:

(a) profit or loss from continuing operations; and

(b) post-tax profit or loss from discontinued operations.

90 An investment entity need not provide the disclosures required by paragraphs 88–89.

91 An entity shall disclose the total commitments it has made but not recognised at the reporting date (including its share of commitments made jointly with other investors with joint control of a joint venture) relating to its interests in joint ventures. Commitments may give rise to a future outflow of cash or other resources.

Interests in unconsolidated structured entities 92 If during the reporting period an entity has, without having a contractual obligation to do so, provided financial or other support to an unconsolidated structured entity in which it previously had or currently has an interest (for example, purchasing assets of, or instruments issued by, the structured entity), the

entity shall disclose:

(a) the type and amount of support provided, including situations in which the entity assisted the structured entity in obtaining financial support; and

(b) the reasons for providing the support.

93 An entity shall disclose any current intentions to provide financial or other support to an unconsolidated structured entity, including intentions to assist the structured entity in obtaining financial support.

94 An investment entity need not provide the disclosures required by paragraphs 92–93 for an unconsolidated structured entity that it controls and for which it presents the disclosures required by paragraphs 84–87.

17Ind AS 113, Fair Value Measurement 95 An entity shall disclose, for each class of assets and liabilities (see paragraph 94 of Ind AS 113 for information on determining appropriate classes of assets and liabilities) measured at fair value (including measurements based on fair value within the scope of Ind AS 113) in the balance sheet after

initial recognition:

(a) for recurring and non-recurring fair value measurements, the fair value measurement at the end of the reporting period;

(b) for recurring and non-recurring fair value measurements, the level of the fair value hierarchy within which the fair value measurements are categorised in their entirety (Level 1, 2 or 3);

(c) for recurring and non-recurring fair value measurements categorised within Level 2 and Level 3 of the fair value hierarchy, a description of the valuation technique(s) and of the inputs used in the fair value measurement; and

(d) for recurring fair value measurements categorised within Level 3 of the fair value hierarchy:

(i) total gains or losses for the period recognised in profit or loss, and the line item(s) in profit or loss in which those gains or losses are recognised; and

(ii) total gains or losses for the period recognised in other comprehensive income, and the line item(s) in other comprehensive income in which those gains or losses are recognised.

96 If an entity makes an accounting policy decision to use the exception in paragraph 48 of Ind AS 113, it shall disclose that fact.

97 An entity shall present the quantitative disclosures required by paragraph 95 in a table unless another format is more appropriate.

Ind AS 114, Regulatory Deferral Accounts

Explanation of activities subject to rate regulation 98 An entity shall disclose, for each type of rate-regulated activity:

(a) a brief description of the nature and extent of the rate-regulated activity and the nature of the regulatory rate-setting process; and

(b) the identity of the rate regulator(s). If the rate regulator is a related party (as defined in Ind AS 24, Related Party Disclosures), the entity shall disclose that fact, together with an explanation of how it is related.

99 The disclosures required by paragraph 98 shall be given in the financial statements either directly in the notes or incorporated by cross-reference from the financial statements to some other statement, such as a management commentary or risk report, that is available to users of the financial statements on the same terms as the financial statements and at the same time. If the information is not included in the financial statements directly or incorporated by cross-reference, the financial statements are incomplete.

Explanation of recognised amounts 100 An entity shall disclose the basis on which regulatory deferral account balances are recognised and derecognised and how they are measured initially and subsequently, including how regulatory deferral account balances are assessed for recoverability and how any impairment loss is allocated.

101 For each type of rate-regulated activity, an entity shall disclose, for each class of regulatory deferral account balance, a reconciliation of the carrying amount at the beginning and the end of the reporting period in a table, unless another format is more appropriate. The entity shall apply judgement in 18deciding the level of detail necessary (see paragraphs 28–29 of Ind AS 114, Regulatory Deferral Accounts), but these components would usually be relevant:

(a) the amounts that have been recognised in the current period in the balance sheet as regulatory deferral account balances;

(b) the amounts that have been recognised in the statement of profit and loss relating to balances that have been recovered (sometimes described as amortised) or reversed in the current period; and

(c) other amounts, separately identified, that affected the regulatory deferral account balances, such as impairments, items acquired or assumed in a business combination, items disposed of, or the effects of changes in foreign exchange rates or discount rates.

102 When an entity concludes that a regulatory deferral account balance is no longer fully recoverable or reversible, it shall disclose that fact, the reason why it is not recoverable or reversible and the amount by which the regulatory deferral account balance has been reduced.

Ind AS 115, Revenue from Contracts with Customers Contracts with customers Disaggregation of revenue 103 An entity shall disaggregate revenue recognised from contracts with customers into categories that depict how the nature, amount, timing and uncertainty of revenue and cash flows are affected by economic factors. Examples of categories that might be appropriate include:

(a) type of good or service (for example, major product lines);

(b) geographical region (for example, country or region);

(c) market or type of customer (for example, government and non-government customers);

(d) type of contract (for example, fixed-price and time-and-materials contracts);

(e) contract duration (for example, short-term and long-term contracts);

(f) timing of transfer of goods or services (for example, revenue from goods or services transferred to customers at a point in time and revenue from goods or services transferred over time); and

(g) sales channels (for example, goods sold directly to consumers and goods sold through intermediaries).

104 In addition, an entity shall disclose sufficient information to enable users of financial statements to understand the relationship between the disclosure of disaggregated revenue (in accordance with paragraph 103) and revenue information that is disclosed for each reportable segment, if the entity applies Ind AS 108.

Contract balances 105 An entity shall disclose:

(a) the opening and closing balances of receivables, contract assets and contract liabilities from contracts with customers, if not otherwise separately presented or disclosed;

(b) revenue recognised in the reporting period that was included in the contract liability balance at the beginning of the period; and

(c) revenue recognised in the reporting period from performance obligations satisfied (or partially satisfied) in previous periods (for example, changes in transaction price).

19Impairment losses 106 Unless presented separately in the statement of profit and loss in accordance with other Ind ASs, an entity shall disclose any impairment losses recognised for the reporting period (in accordance with Ind AS 109) on any receivables or contract assets arising from an entity’s contracts with customers, which the entity shall disclose separately from impairment losses from other contracts.

Performance obligations 107 An entity shall disclose information about its performance obligations in contracts with customers,

including a description of:

(a) when the entity typically satisfies its performance obligations (for example, upon shipment, upon delivery, as services are rendered or upon completion of service), including when performance obligations are satisfied in a bill-and-hold arrangement;

(b) the significant payment terms (for example, when payment is typically due, whether the contract has a significant financing component, whether the consideration amount is variable and whether the estimate of variable consideration is typically constrained in accordance with paragraphs 56–58 of Ind AS 115, Revenue from Contracts with Customers);

(c) obligations for returns, refunds and other similar obligations; and

(d) types of warranties and related obligations.

Transaction price allocated to the remaining performance obligations 108 An entity shall disclose:

(a) the aggregate amount of the transaction price allocated to the performance obligations that are unsatisfied (or partially unsatisfied) as of the end of the reporting period; and

(b) an explanation of when the entity expects to recognise as revenue the amount disclosed in accordance with (a), which the entity shall disclose:

(i) on a quantitative basis using the time bands that would be most appropriate for the duration of the remaining performance obligations; or

(ii) by using qualitative information.

109 As a practical expedient, an entity need not disclose the information in paragraph 108 for a

performance obligation if either of the following conditions is met:

(a) the performance obligation is part of a contract that has an original expected duration of one year or less; or

(b) the entity recognises revenue from the satisfaction of the performance obligation in accordance with paragraph B16 of Ind AS 115.

Significant judgements in the application of Ind AS 115 110 An entity shall disclose the judgements, and changes in the judgements, made in applying Ind AS 115 that significantly affect the determination of the amount and timing of revenue from contracts with customers.

Determining the timing of satisfaction of performance obligations 111 For performance obligations that an entity satisfies over time, an entity shall disclose the methods used to recognise revenue (for example, a description of the output methods or input methods used and how those methods are applied).

20Determining the transaction price and the amounts allocated to performance obligations 112 An entity shall disclose information about the methods, inputs and assumptions used for assessing whether an estimate of variable consideration is constrained.

112AA An entity shall reconcile the amount of revenue recognised in the statement of profit and loss with the contracted price showing separately each of the adjustments made to the contract price, for example, on account of discounts, rebates, refunds, credits, price concessions, incentives, performance bonuses, etc., specifying the nature and amount of each such adjustment separately.

Assets recognised from the costs to obtain or fulfil a contract with a customer 113 An entity shall disclose:

(a) the closing balances of assets recognised from the costs incurred to obtain or fulfil a contract with a customer (in accordance with paragraph 91 or 95 of Ind AS 115), by main category of asset (for example, costs to obtain contracts with customers, pre-contract costs and setup costs); and

(b) the amount of amortisation and any impairment losses recognised in the reporting period.

Practical expedients 114 If an entity elects to use the practical expedient in either paragraph 63 of Ind AS 115 (about the existence of a significant financing component) or paragraph 94 of Ind AS 115 (about the incremental costs of obtaining a contract), the entity shall disclose that fact.

Ind AS 116, Leases Lessees 115 A lessee shall disclose the following amounts for the reporting period:

(a) depreciation charge for right-of-use assets by class of underlying asset.

(b) interest expense on lease liabilities.

(c) the expense relating to short-term leases accounted for applying paragraph 6 of Ind AS 116, Leases. This expense need not include the expense relating to leases with a lease term of one month or less.

(d) the expense relating to leases of low-value assets accounted for applying paragraph 6 of Ind AS 116. This expense shall not include the expense relating to short-term leases of low-value assets included in (c).

(e) the expense relating to variable lease payments not included in the measurement of lease liabilities.

(f) total cash outflow for leases.

(g) additions to right-of-use assets.

(h) gains or losses arising from sale and leaseback transactions.

(i) the carrying amount of right-of-use assets at the end of the reporting period by class of underlying asset.

116 A lessee shall disclose the amount of its lease commitments for short-term leases accounted for applying paragraph 6 of Ind AS 116 if the portfolio of short-term leases to which it is committed at the end of the reporting period is dissimilar to the portfolio of short-term leases to which the short-term lease expense disclosed applying paragraph 115(c) relates.

21117 If right-of-use assets meet the definition of investment property, a lessee shall apply the disclosure requirements in Ind AS 40, Investment Property. In that case, a lessee is not required to provide the disclosures in paragraph 115(a), 115(g) or 115(i) for those right-of-use assets.

118 If a lessee measures right-of-use assets at revalued amounts applying Ind AS 16, the lessee shall disclose the information required by paragraph 202 for those right-of-use assets.

119 A lessee shall disclose a maturity analysis of lease liabilities applying paragraph 72 separately from the maturity analyses of other financial liabilities.

120 A lessee shall disclose qualitative or quantitative information about:

(a) the nature of the lessee’s leasing activities;

(b) future cash outflows to which the lessee is potentially exposed that are not reflected in the measurement of lease liabilities, including exposure arising from:

(i) variable lease payments;

(ii) extension options and termination options;

(iii) residual value guarantees; and

(iv) leases not yet commenced to which the lessee is committed;

(c) restrictions or covenants imposed by leases; and

(d) sale and leaseback transactions.

Lessors 121 A lessor shall disclose qualitative or quantitative information about:

(a) the nature of the lessor’s leasing activities.

(b) how the lessor manages the risk associated with any rights it retains in underlying assets. In particular, a lessor shall disclose its risk management strategy for the rights it retains in underlying assets, including any means by which the lessor reduces that risk. Such means may include, for example, buy-back agreements, residual value guarantees or variable lease payments for use in excess of specified limits.

Finance leases 122 A lessor shall disclose:

(a) a maturity analysis of the lease payments receivable, showing the undiscounted lease

payments to be received:

(i) no later than one year from the reporting date;

(ii) later than one year and up to five years from the reporting date; and

(iii) later than five years from the reporting date; and

(b) a reconciliation between the undiscounted lease payments and the net investment in the lease. The reconciliation shall identify the unearned finance income relating to the lease payments receivable and any discounted unguaranteed residual value.

123 A lessor shall disclose income for the reporting period relating to variable lease payments not included in the measurement of the net investment in the lease.

Operating leases 124 A lessor shall disclose a maturity analysis of lease payments, showing the undiscounted lease

payments to be received:

(a) no later than one year from the reporting date;

22(b) later than one year and up to five years from the reporting date; and

(c) later than five years from the reporting date.

125 A lessor shall disclose income for the reporting period relating to variable lease payments that do not depend on an index or a rate.

126 A lessor shall apply the disclosure requirements in paragraphs 200–202, 250–256 and 263–275 for assets subject to operating leases.

Disclosure requirements in Ind AS 116 that remain applicable 127 A lessee shall apply the disclosure requirements in paragraph 47 of Ind AS 116 Ind AS 118, Presentation and Disclosure in Financial Statements Identification of the financial statements 128 An entity shall clearly identify each primary financial statement and the notes. In addition, an entity shall disclose prominently, and repeat when necessary for the information provided to be

understandable:

(a) the name of the reporting entity or other means of identification, and any change in that information from the end of the preceding reporting period;

(b) whether the financial statements are of an individual entity or a group of entities;

(c) the date of the end of the reporting period or the period covered by the financial statements;

(d) the presentation currency, as defined in Ind AS 21, The Effects of Changes in Foreign Exchange Rates; and

(e) the level of rounding used for the amounts in the financial statements (see paragraph B11 of Ind AS 118).

Change in accounting policy, retrospective restatement or reclassification 129 If an entity changes the presentation, disclosure or classification of items in its financial statements, it shall reclassify comparative amounts unless reclassification is impracticable. When an entity reclassifies comparative amounts, it shall disclose (including as at the beginning of the preceding period):

(a) the nature of the reclassification;

(b) the amount of each item or class of items that is reclassified; and

(c) the reason for the reclassification.

130 When it is impracticable to reclassify comparative amounts, an entity shall disclose:

(a) the reason for not reclassifying the amounts; and

(b) the nature of the adjustments that would have been made if the amounts had been reclassified.

131 When an entity is required to present a third balance sheet applying paragraph 37 of Ind AS 118, it shall disclose the information required by paragraphs 129–130, 178–181 and 186. However, it need not provide the related notes to the balance sheet as at the beginning of the preceding period.

23Statement of profit and loss Entities with specified main business activities 132 If an entity:

(a) invests in assets as a main business activity, it shall disclose that fact.

(b) provides financing to customers as a main business activity, it shall disclose that fact.

(c) identifies a different outcome from its assessment of whether it invests in assets or provides financing to customers as a main business activity (see paragraph B41 of Ind AS 118), it

shall disclose:

(i) the fact that the outcome of the assessment has changed and the date of the change.

(ii) the amount and classification of items of income and expense before and after the date of the change in the outcome of the assessment in the current period and the amount and classification in the prior period for the items for which the classification has changed because of the changed outcome of the assessment, unless it is impracticable to do so. If an entity does not disclose the information because it is impracticable to do so, the entity shall disclose that fact.

Presentation and disclosure of expenses classified in the operating category 133 An entity that presents one or more line items comprising expenses classified by function in the

operating category of the profit or loss shall also disclose in a single note:

(a) the total for each of:

(i) depreciation, comprising the amounts required to be disclosed by paragraphs 115(a), 200(e)(vii) and 271(d)(iv);

(ii) amortisation, comprising the amount required to be disclosed by paragraph 263(e)(vi);

(iii) employee benefits, comprising the amount for employee benefits recognised by an entity applying Ind AS 19, Employee Benefits, and the amount for services received from employees recognised by an entity applying Ind AS 102, Share-based Payment;

(iv) impairment losses and reversals of impairment losses, comprising the amounts required to be disclosed by paragraph 250(a)–(b); and

(v) write-downs and reversals of write-downs of inventories, comprising the amounts required to be disclosed by paragraph 164(d)–(e); and

(b) for each total listed in (a)(i)–(v):

(i) the amount related to each line item in the operating category (see paragraph 136); and

(ii) a list of any line items outside the operating category that also include amounts relating to the total.

134 Paragraph 41 of Ind AS 118 requires an entity to disaggregate items to provide material information.

However, an entity that applies paragraph 133 is exempt from disclosing:

(a) in relation to function line items presented in the operating category of the profit or loss— disaggregated information about the amounts of nature expenses included in each line item, beyond the amounts specified in paragraph 133; and

(b) in relation to nature expenses specifically required by an Ind AS to be disclosed in the notes—disaggregated information about the amounts of the expenses included in each 24function line item presented in the operating category of the profit or loss, beyond the amounts specified in paragraph 133.

135 The exemption in paragraph 134 relates to disaggregation of operating expenses. However, it does not exempt an entity from applying specific disclosure requirements relating to those expenses in this Standard.

Use of characteristics of nature and function 136 An entity will either present expenses by nature, or applying paragraph 133, disclose some expenses by nature. The amounts presented or disclosed need not be the amounts recognised as an expense in the period. They could include amounts that have been recognised as part of the carrying amount of an asset. If an entity:

(a) presents amounts that are not the amounts recognised as an expense in the period, it will also present an additional line item for the change in the carrying amount of the affected assets. For example, applying paragraph 39 of Ind AS 2 Inventories, an entity might present a line item for changes in inventories of finished goods and work in progress.

(b) discloses, applying paragraph 133(b), amounts that are not the amounts recognised as an expense in the period, the entity shall give a qualitative explanation of that fact, identifying the assets involved.

Balance sheet Right to defer settlement for at least 12 months 137 In applying paragraphs 101–102 and B96–B103 of Ind AS 118 an entity might classify liabilities arising from loan arrangements as non-current when the entity’s right to defer settlement of those liabilities is subject to the entity complying with covenants within 12 months after the reporting period (see paragraph B100(b) of Ind AS 118). In such situations, the entity shall disclose:

(a) information about the covenants (including the nature of the covenants and when the entity is required to comply with them) and the carrying amount of related liabilities.

(b) facts and circumstances, if any, that indicate the entity may have difficulty complying with the covenants—for example, the entity having acted during or after the reporting period to avoid or mitigate a potential breach. Such facts and circumstances could also include the fact that the entity would not have complied with the covenants if they were to be assessed for compliance based on the entity’s circumstances at the end of the reporting period.

Statement of changes in equity 138 An entity shall either present in the statement of changes in equity or disclose in the notes the amount of dividends recognised as distributions to owners during the reporting period, and the related amount of dividends per share.

Notes Structure 139 An entity shall disclose in the notes:

(a) information about the basis of preparation of the financial statements (see paragraphs 20 and 173–175) and the specific accounting policies used (see paragraphs 176–177);

(b) information required by this Standard that is not presented in the primary financial statements; and 25(c) other information that is not presented in the primary financial statements, but is necessary for an understanding of any of them (see paragraph 20 of Ind AS 118).

140 An entity shall, as far as practicable, present notes in a systematic manner (see paragraph B112 of Ind AS 118). In determining a systematic manner, the entity shall consider the effect on the understandability and comparability of its financial statements. An entity shall cross-reference each item in the primary financial statements to any related information in the notes. If amounts disclosed in the notes are included in one or more line items in the primary financial statements, an entity shall disclose in the note the line item(s) in which the amounts are included.

141 If not disclosed elsewhere in information published with the financial statements, an entity shall

disclose in the notes:

(a) the domicile and legal form of the entity, its country of incorporation and the address of its registered office (or principal place of business, if different from the registered office); and

(b) a description of the nature of the entity’s operations and its principal activities.

142-159 [Deleted] Other disclosures 160 An entity shall either present in the balance sheet or the statement of changes in equity or disclose in

the notes:

(a) for each class of share capital:

(i) the number of shares authorised;

(ii) the number of shares issued and fully paid, and issued but not fully paid;

(iii) par value per share, or a statement that the shares have no par value;

(iv) a reconciliation (comparative information is not required) of the number of shares outstanding at the beginning and at the end of the reporting period;

(v) the rights, preferences and restrictions attaching to that class, including restrictions on the distribution of dividends and the repayment of capital;

(vi) shares in the entity held by the entity or by its subsidiaries or associates; and

(vii) shares reserved for issue under options and contracts for the sale of shares, including terms and amounts; and

(b) a description of the nature and purpose of each reserve within equity.

161 An entity without share capital, such as, trust or whose capital is not limited by shares, e.g. a company limited by guarantee, shall disclose information equivalent to that required by paragraph 160(a), showing changes during the reporting period in each category of equity interest, and the rights, preferences and restrictions attaching to each category of equity interest.

162 An entity shall disclose in the notes:

(a) the amount of dividends proposed or declared before the financial statements were approved for issue but not recognised as a distribution to owners during the reporting period, and the related amount per share; and

(b) the amount of any cumulative preference dividends not recognised.

Disclosure requirements in Ind AS 118 that remain applicable 163 An entity shall apply the disclosure requirements in paragraphs 19, 20, 28, 41, 42, 43, 82, 90, 92, B8, B11, B14, B26(b) and B28 of Ind AS 118. If an entity uses management-defined performance measures as identified in paragraphs 117–120 of Ind AS 118, it shall also provide the disclosures required by paragraphs 121–125, B132 and B134–B142 of Ind AS 118.

26Ind AS 2, Inventories 164 An entity shall disclose:

(a) the accounting policies adopted in measuring inventories, including the cost formula used;

(b) the total carrying amount of inventories and the carrying amount in classifications appropriate to the entity;

(c) the amount of inventories recognised as an expense during the reporting period;

(d) the amount of any write-down of inventories recognised as an expense in the period in accordance with paragraph 34 of Ind AS 2;

(e) the amount of any reversal of any write-down that is recognised as a reduction in the amount of inventories recognised as an expense in the period in accordance with paragraph 34 of Ind AS 2; and

(f) the carrying amount of inventories pledged as security for liabilities.

Ind AS 7, Statement of Cash Flows Non-cash transactions 165 Investing and financing transactions that do not require the use of cash or cash equivalents shall be excluded from a statement of cash flows. An entity shall disclose such transactions elsewhere in the financial statements in a way that provides all the relevant information about these investing and financing activities.

Changes in liabilities arising from financing activities 166 An entity shall disclose a reconciliation between the opening and closing balances in the balance sheet for liabilities arising from financing activities, including:

(a) changes from financing cash flows;

(b) changes arising from obtaining or losing control of subsidiaries or other businesses;

(c) the effect of changes in foreign exchange rates;

(d) changes in fair values; and

(e) other changes.

Supplier finance arrangements 167 [Deleted] 168 An entity shall disclose in aggregate for its supplier finance arrangements:

(a) the terms and conditions of the arrangements (for example, extended payment terms and security or guarantees provided). However, an entity shall disclose separately the terms and conditions of arrangements that have dissimilar terms and conditions.

(b) as at the beginning and end of the reporting period:

(i) the carrying amounts, and associated line items presented in the entity’s balance sheet, of the financial liabilities that are part of a supplier finance arrangement.

27(ii) the carrying amounts, and associated line items, of the financial liabilities disclosed under (i) for which suppliers have already received payment from the finance providers.

(iii) [deleted]

(c) the type and effect of non-cash changes in the carrying amounts of the financial liabilities disclosed under (b)(i). Examples of non-cash changes include the effect of business combinations, exchange differences or other transactions that do not require the use of cash or cash equivalents (see paragraph 165).

Components of cash and cash equivalents 169 An entity shall disclose the components of cash and cash equivalents and shall present a reconciliation of the amounts in its statement of cash flows with the equivalent items reported in the balance sheet.

170 In view of the variety of cash management practices and banking arrangements around the world and in order to comply with Ind AS 8, an entity shall disclose the policy which it adopts in determining the composition of cash and cash equivalents.

Other disclosures 171 An entity shall disclose, together with a commentary by management, the amount of significant cash and cash equivalent balances held by the entity that are not available for use by the group.

Disclosure requirement in Ind AS 7 that remains applicable 172 An entity shall apply the disclosure requirement in paragraph 36 of Ind AS 7.

Ind AS 8, Basis of Preparation of Financial Statements Accounting policies Fair presentation and compliance with Indian Accounting Standards 173 When an entity departs from a requirement of an Indian Accounting Standard in accordance with paragraph 6E of Ind AS 8, it shall disclose:

(a) that management has concluded that the financial statements present fairly the entity’s financial position, financial performance and cash flows;

(b) that it has complied with applicable Indian Accounting Standards, except that it has departed from a particular requirement to achieve a fair presentation;

(c) the title of the Indian Accounting Standard from which the entity has departed, the nature of the departure, including the treatment that the Indian Accounting Standard would require, the reason why that treatment would be so misleading in the circumstances that it would conflict with the objective of financial statements set out in the Conceptual Framework for Financial Reporting under Indian Accounting Standards issued by the Institute of Chartered Accountants of India (Conceptual Framework), and the treatment adopted; and

(d) for each period presented, the financial effect of the departure on each item in the financial statements that would have been reported in complying with the requirement.

174 When an entity has departed from a requirement of an Indian Accounting Standard in a prior reporting period, and that departure affects the amounts recognised in the financial statements for the current period, it shall make the disclosures set out in paragraph 173(c)–173(d).

175 In the extremely rare circumstances in which management concludes that compliance with a requirement in an Indian Accounting Standard would be so misleading that it would conflict with the 28objective of financial statements set out in the Conceptual Framework, but the relevant regulatory framework prohibits departure from the requirement, the entity shall, to the maximum extent possible,

reduce the perceived misleading aspects of compliance by disclosing:

(a) the title of the Indian Accounting Standard in question, the nature of the requirement, and the reason why management has concluded that complying with that requirement is so misleading in the circumstances that it conflicts with the objective of financial statements set out in the Conceptual Framework; and

(b) for each period presented, the adjustments to each item in the financial statements that management has concluded would be necessary to achieve a fair presentation.

Disclosure of selection and application of accounting policies 176 An entity shall disclose material accounting policy information.

177 An entity shall disclose, along with its material accounting policy information or other notes, the judgements, apart from those involving estimations (see paragraph 182), that management has made in the process of applying the entity’s accounting policies and that have the most significant effect on the amounts recognised in the financial statements. Examples of judgements that an entity may be

required to disclose include how management determines:

(a) appropriate classes of assets and liabilities for which disclosures about fair value measurements are provided;

(b) that the entity has control of another entity;

(c) that the entity has joint control of an arrangement or significant influence over another entity;

(d) the type of joint arrangement (that is, a joint operation or joint venture) when the arrangement has been structured through a separate vehicle; and

(e) that the entity is an investment entity.

Disclosure of changes in accounting policies 178 When initial application of an Indian Accounting Standard has an effect on the current period or any prior reporting period, would have such an effect except that it is impracticable to determine the amount of the adjustment, or might have an effect on future periods, an entity shall disclose (financial statements for subsequent periods need not repeat these disclosures):

(a) the title of the Indian Accounting Standard;

(b) when applicable, that the change in accounting policy is made in accordance with its transitional provisions;

(c) the nature of the change in accounting policy;

(d) when applicable, a description of the transitional provisions;

(e) when applicable, the transitional provisions that might have an effect on future periods;

(f) for the current period and each prior period presented, to the extent practicable, the amount

of the adjustment:

(i) for each financial statement line item affected; and

(ii) if Ind AS 33 applies to the entity for basic and diluted earnings per share;

(g) the amount of the adjustment relating to periods before those presented, to the extent practicable; and

(h) if retrospective application required by paragraph 19(a) or 19(b) of Ind AS 8 is impracticable for a particular prior period, or for periods before those presented, the circumstances that led to the existence of that condition and a description of how and from when the change in accounting policy has been applied.

29179 When a voluntary change in accounting policy has an effect on the current reporting period or any prior period, would have an effect on that period except that it is impracticable to determine the amount of the adjustment, or might have an effect on future periods, an entity shall disclose (financial statements for subsequent periods need not repeat these disclosures):

(a) the nature of the change in accounting policy;

(b) the reasons why applying the new accounting policy provides reliable and more relevant information;

(c) for the current period and each prior period presented, to the extent practicable, the amount

of the adjustment:

(i) for each financial statement line item affected; and

(ii) if Ind AS 33 applies to the entity, for basic and diluted earnings per share;

(d) the amount of the adjustment relating to periods before those presented, to the extent practicable; and

(e) if retrospective application is impracticable for a particular prior period, or for periods before those presented, the circumstances that led to the existence of that condition and a description of how and from when the change in accounting policy has been applied.

180 When an entity has not applied a new Indian Accounting Standard that has been issued but is not yet effective, the entity shall disclose:

(a) this fact; and

(b) known or reasonably estimable information relevant to assessing the possible effect that applying the new Indian Accounting Standard will have on the entity’s financial statements in the period of initial application.

181 In complying with paragraph 180, an entity considers disclosing:

(a) the title of the new Indian Accounting Standard;

(b) the nature of the impending change or changes in accounting policy;

(c) the date by which application of the Indian Accounting Standard is required;

(d) the date as at which it plans to apply the Indian Accounting Standard initially; and

(e) either:

(i) a discussion of the impact that initial application of the Indian Accounting Standard is expected to have on the entity’s financial statements; or

(ii) if that impact is not known or reasonably estimable, a statement to that effect.

Disclosure of sources of estimation uncertainty 182 An entity shall disclose information about the assumptions it makes about the future, and other major sources of estimation uncertainty at the end of the reporting period, that have a significant risk of resulting in a material adjustment to the carrying amounts of assets and liabilities within the next financial year. In respect of those assets and liabilities, the notes shall include details of:

(a) their nature; and

(b) their carrying amount as at the end of the reporting period.

183 The disclosures in paragraph 182 are not required for assets and liabilities with a significant risk that their carrying amounts might change materially within the next financial year if, at the end of the reporting period, they are measured at fair value based on a quoted price in an active market for an identical asset or liability. Such fair values might change materially within the next financial year but these changes would not arise from assumptions or other sources of estimation uncertainty at the end of the reporting period.

30Changes in accounting estimates 184 An entity shall disclose the nature and amount of a change in an accounting estimate that has an effect in the current reporting period or is expected to have an effect in future periods, except for the disclosure of the effect on future periods when it is impracticable to estimate that effect.

185 If the amount of the effect in future periods is not disclosed because estimating it is impracticable, an entity shall disclose that fact.

Errors 186 In applying paragraph 42 of Ind AS 8, an entity shall disclose (financial statements for subsequent periods need not repeat these disclosures):

(a) the nature of the prior period error;

(b) for each prior period presented, to the extent practicable, the amount of the correction:

(i) for each financial statement line item affected; and

(ii) if Ind AS 33 applies to the entity, for basic and diluted earnings per share;

(c) the amount of the correction at the beginning of the earliest prior period presented; and

(d) if retrospective restatement is impracticable for a particular prior period, the circumstances that led to the existence of that condition and a description of how and from when the error has been corrected.

Disclosure requirements in Ind AS 8 that remain applicable 187 An entity shall apply the disclosure requirements in paragraphs 6A, 6C(c) and 6K of Ind AS 8.

Ind AS 10, Events after the Reporting Period Date of approval for issue 188 An entity shall disclose the date when the financial statements were approved for issue and who gave that approval. If the entity’s owners or others have the power to amend the financial statements after issue, the entity shall disclose that fact.

Updating disclosure about conditions at the end of the reporting period 189 If an entity receives information after the reporting period about conditions that existed at the end of the reporting period, it shall update disclosures that relate to those conditions, in the light of the new information.

Non-adjusting events after the reporting period 190 An entity shall disclose, for each material category of non-adjusting event after the reporting period:

(a) the nature of the event; and

(b) an estimate of its financial effect, or a statement that such an estimate cannot be made.

191 Examples of non-adjusting events after the reporting period that would generally result in disclosure

include:

(a) a major business combination after the reporting period or disposing of a major subsidiary;

(b) announcing a plan to discontinue an operation;

(c) major purchases of assets, classification of assets as held for sale in accordance with Ind AS 105, other disposals of assets, or expropriation of major assets by government;

31(d) the destruction of a major production plant by a fire after the reporting period;

(e) announcing, or commencing the implementation of, a major restructuring (see Ind AS 37, Provisions, Contingent Liabilities and Contingent Assets);

(f) major ordinary share transactions and potential ordinary share transactions after the reporting period;

(g) abnormally large changes after the reporting period in asset prices or foreign exchange rates;

(h) changes in tax rates or tax laws enacted or announced after the reporting period that have a significant effect on current and deferred tax assets and liabilities (see Ind AS 12;

(i) entering into significant commitments or contingent liabilities, for example, by issuing significant guarantees; and

(j) commencement of major litigation arising solely out of events that occurred after the reporting period.

Ind AS 12, Income Taxes 192 An entity shall disclose separately the major components of tax expense (income).

193 Components of tax expense (income) may include:

(a) current tax expense (income);

(b) any adjustments recognised in the period for current tax of prior periods;

(c) the amount of deferred tax expense (income) relating to the origination and reversal of temporary differences;

(d) the amount of deferred tax expense (income) relating to changes in tax rates or the imposition of new taxes;

(e) the amount of the benefit arising from a previously unrecognised tax loss, tax credit or temporary difference of a prior period that is used to reduce current tax expense;

(f) the amount of the benefit from a previously unrecognised tax loss, tax credit or temporary difference of a prior period that is used to reduce deferred tax expense;

(g) deferred tax expense arising from the write-down, or reversal of a previous write-down, of a deferred tax asset in accordance with paragraph 56 of Ind AS 12; and

(h) the amount of tax expense (income) relating to those changes in accounting policies and errors that are included in profit or loss in accordance with Ind AS 8, because they cannot be accounted for retrospectively.

194 An entity shall also disclose separately:

(a) the aggregate current and deferred tax relating to items that are charged or credited directly to equity (see paragraph 62A of Ind AS 12);

(b) the aggregate amount of income tax relating to components of other comprehensive income (see paragraph 62 of Ind AS 12 and paragraph 93 of Ind AS 118);

(c) an explanation of the relationship between tax expense (income) and accounting profit in

either or both of these forms:

(i) a numerical reconciliation between tax expense (income) and the product of accounting profit multiplied by the applicable tax rate(s), disclosing also the basis on which the applicable tax rate(s) is (are) computed; or

(ii) a numerical reconciliation between the average effective tax rate and the applicable tax rate, disclosing also the basis on which the applicable tax rate is computed;

(d) an explanation of changes in the applicable tax rate(s) compared to the previous reporting period;

32(e) the amount (and expiry date, if any) of deductible temporary differences, unused tax losses and unused tax credits for which no deferred tax asset is recognised in the balance sheet; and

(f) in respect of each type of temporary difference, and in respect of each type of unused tax

losses and unused tax credits:

(i) the amount of the deferred tax assets and liabilities recognised in the balance sheet for each period presented; and

(ii) the amount of the deferred tax income or expense recognised in profit or loss, if this is not apparent from the changes in the amounts recognised in the balance sheet.

195 In the circumstances described in paragraph 52A of Ind AS 12, an entity shall disclose the nature of the potential income tax consequences that would result from the payment of dividends to its shareholders.

International tax reform—Pillar Two model rules 196 An entity shall disclose that it has applied the exception to recognising and disclosing information about deferred tax assets and liabilities related to Pillar Two income taxes (see paragraph 4A of Ind AS 12).

197 An entity shall disclose separately its current tax expense (income) related to Pillar Two income taxes.

198 [Deleted] 199 In periods in which Pillar Two legislation is enacted or substantively enacted but not yet in effect, an entity shall disclose known or reasonably estimable qualitative and quantitative information about its exposure to Pillar Two income taxes at the end of the reporting period. This information does not have to reflect all the specific requirements of the Pillar Two legislation and can be provided in the form of an indicative range. To the extent information is not known or reasonably estimable, an entity shall instead disclose a statement to that effect and disclose information about the entity’s progress in assessing its exposure.

Ind AS 16, Property, Plant and Equipment 200 An entity shall disclose, for each class of property, plant and equipment:

(a) the measurement bases used for determining the gross carrying amount;

(b) the depreciation methods used;

(c) the useful lives or the depreciation rates used;

(d) the gross carrying amount and the accumulated depreciation (aggregated with accumulated impairment losses) at the beginning and end of the reporting period; and

(e) a reconciliation (comparative information is not required) of the carrying amount at the

beginning and end of the period showing:

(i) additions;

(ii) assets classified as held for sale or included in a disposal group classified as held for sale in accordance with Ind AS 105 and other disposals;

(iii) acquisitions through business combinations;

(iv) increases or decreases resulting from revaluations under paragraphs 31, 39 and 40 of Ind AS 16, and from impairment losses recognised or reversed in other comprehensive income in accordance with Ind AS 36;

(v) impairment losses recognised in profit or loss in accordance with Ind AS 36;

(vi) impairment losses reversed in profit or loss in accordance with Ind AS 36;

33(vii) depreciation; and

(viii) other changes.

201 An entity shall also disclose:

(a) the existence and amounts of restrictions on title, and property, plant and equipment pledged as security for liabilities; and

(b) the amount of contractual commitments for the acquisition of property, plant and equipment.

202 If items of property, plant and equipment are stated at revalued amounts, an entity shall disclose, in addition to the disclosures required by paragraphs 95–97:

(a) the effective date of the revaluation;

(b) whether an independent valuer was involved;

(c) for each revalued class of property, plant and equipment, the carrying amount that would have been recognised had the assets been carried under the cost model; and

(d) the revaluation surplus, indicating the change for the period and any restrictions on the distribution of the balance to shareholders.

Ind AS 19, Employee Benefits Post-employment benefits: defined contribution plans 203 An entity shall disclose the amount recognised as an expense for defined contribution plans.

Post-employment benefits: defined benefit plans 204 An entity shall assess whether all or some disclosures required by paragraphs 205–215 should be disaggregated to distinguish plans or groups of plans with materially different risks.

Characteristics of defined benefit plans 205 An entity shall disclose information about the characteristics of its defined benefit plans.

Explanation of amounts in the financial statements 206 An entity shall provide a reconciliation (comparative information is not required) from the opening balance to the closing balance for each of the following, if applicable:

(a) the net defined benefit liability (asset), showing separate reconciliations for:

(i) plan assets; and

(ii) the present value of the defined benefit obligation; and

(b) any reimbursement rights.

207 Each reconciliation listed in paragraph 206 shall show, if applicable:

(a) current service cost;

(b) interest income or expense;

(c) remeasurements of the net defined benefit liability (asset), showing separately the return on plan assets, excluding amounts included in interest in (b);

(d) past service cost;

(e) contributions to the plan; and

(f) payments from the plan.

34208 An entity shall disaggregate the fair value of the plan assets into classes that distinguish the nature and risks of those assets. For example, an entity could distinguish between:

(a) equity instruments;

(b) debt instruments;

(c) real estate; and

(d) other assets.

209 An entity shall disclose the fair value of the entity’s own transferable financial instruments held as plan assets, and the fair value of plan assets that are property occupied by, or other assets used by, the entity.

210 An entity shall disclose the significant actuarial assumptions used to determine the present value of the defined benefit obligation (see paragraph 76 of Ind AS 19).

Amount, timing and uncertainty of future cash flows 211 An entity shall disclose:

(a) a description of any funding arrangements and funding policy that affect future contributions; and

(b) the expected contributions to the plan for the next annual reporting period.

Multi-employer plans 212 If an entity participates in a multi-employer defined benefit plan and accounts for that plan as if it were a defined contribution plan in accordance with paragraph 34 of Ind AS 19, it shall disclose (instead of the information required by paragraphs 205–211):

(a) the fact that the plan is a defined benefit plan;

(b) the reason why sufficient information is not available to enable the entity to account for the plan as a defined benefit plan; and

(c) information about any deficit or surplus in the plan that may affect the amount of future contributions, including the implications, if any, for the entity.

Defined benefit plans that share risks between entities under common control 213 If an entity participates in a defined benefit plan that shares risks between entities under common control, it shall disclose:

(a) the contractual agreement or stated policy for charging the net defined benefit cost or the fact that there is no such policy;

(b) the policy for determining the contribution to be paid by the entity;

(c) if the entity accounts for an allocation of the net defined benefit cost as noted in paragraph 41 of Ind AS 19, all the information about the plan as a whole required by paragraphs 204–211; and

(d) if the entity accounts for the contribution payable for the period as noted in paragraph 41 of Ind AS 19, the information about the plan as a whole required by paragraphs 205 and 208–

211.

214 The information required by paragraph 213(c)–(d) can be disclosed by cross-reference to disclosures in another group entity’s financial statements if:

(a) that group entity’s financial statements separately identify and disclose the information required about the plan; and 35(b) that group entity’s financial statements are available to users of the financial statements on the same terms as the financial statements of the entity and at the same time as, or earlier than, the financial statements of the entity.

Contingent liabilities arising from post-employment benefit obligations 215 Where required by paragraphs 259 and 261–262, an entity shall disclose information about contingent liabilities arising from post-employment benefit obligations.

Ind AS 20, Accounting for Government Grants and Disclosure of Government Assistance 216 An entity shall disclose:

(a) the accounting policy adopted for government grants, including the methods of presentation adopted in the financial statements;

(b) the nature and extent of government grants recognised in the financial statements and an indication of other forms of government assistance from which the entity has directly benefited; and

(c) unfulfilled conditions and other contingencies attaching to government assistance that has been recognised.

Disclosure requirements in Ind AS 20 that remain applicable 217 An entity shall apply the disclosure requirements in paragraphs 21–22, 28 and 31 of 20, Accounting for Government Grants and Disclosure of Government Assistance.

Ind AS 21, The Effects of Changes in Foreign Exchange Rates 218 An entity shall disclose:

(a) the amount of exchange differences recognised in profit or loss except for those arising on financial instruments measured at fair value through profit or loss in accordance with Ind AS 109; and

(b) net exchange differences recognised in other comprehensive income and accumulated in a separate component of equity, and a reconciliation of the amount of such exchange differences at the beginning and end of the reporting period.

219 When the presentation currency is different from the functional currency, an entity shall disclose that fact together with the functional currency and the reason for using a different presentation currency.

220 When there is a change in the functional currency of either the reporting entity or a significant foreign operation, an entity shall disclose that fact and the reason for the change in functional currency and the date of change in the functional currency.

Disclosure when a currency is not exchangeable 221 When an entity estimates a spot exchange rate because a currency is not exchangeable into another currency (see paragraph 19A of Ind AS 21), the entity shall disclose the information required by paragraphs 223–224.

222 [Deleted] 223 An entity shall disclose:

(a) the currency and a description of the restrictions that result in that currency not being exchangeable into the other currency;

36(b) a description of affected transactions;

(c) the carrying amount of affected assets and liabilities;

(d) the spot exchange rates used and whether those rates are:

(i) observable exchange rates without adjustment (see paragraphs A12–A16 of Ind AS

21); or

(ii) spot exchange rates estimated using another estimation technique (see paragraph A17 of Ind AS 21);

(e) a description of any estimation technique the entity has used, and qualitative and quantitative information about the inputs and assumptions used in that estimation technique; and

(f) qualitative information about each type of risk to which the entity is exposed because the currency is not exchangeable into the other currency, and the nature and carrying amount of assets and liabilities exposed to each type of risk.

224 When a foreign operation’s functional currency is not exchangeable into the presentation currency or, if applicable, the presentation currency is not exchangeable into a foreign operation’s functional currency, an entity shall also disclose:

(a) the name of the foreign operation; whether the foreign operation is a subsidiary, joint operation, joint venture, associate or branch; and its principal place of business;

(b) summarised financial information about the foreign operation; and

(c) the nature and terms of any contractual arrangements that could require the entity to provide financial support to the foreign operation, including events or circumstances that could expose the entity to a loss.

Ind AS 23, Borrowing Costs 225 An entity shall disclose:

(a) the amount of borrowing costs capitalised during the reporting period; and

(b) the capitalisation rate used to determine the amount of borrowing costs eligible for capitalisation.

Ind AS 24, Related Party Disclosures 226 Relationships between a parent and its subsidiaries shall be disclosed irrespective of whether there have been transactions between them. An entity shall disclose:

(a) the name of its parent and, if different, the ultimate controlling party; and

(b) the name of the ultimate or intermediate parent that produces consolidated financial statements available for public use that comply with Ind ASs, as required by paragraph 7(c) and which results in the entity being eligible to apply this Standard.

227 An entity shall disclose key management personnel compensation in total.

228 If an entity obtains key management personnel services from another entity (the management entity), the entity is not required to apply the requirements in paragraph 227 to the compensation paid or payable by the management entity to the management entity’s employees or directors.

229 Amounts incurred by the entity for the provision of key management personnel services that are

provided by a separate management entity shall be disclosed.

230 If an entity has had related party transactions during the reporting periods covered by the financial statements, it shall disclose the nature of the related party relationship as well as information about those transactions and outstanding balances, including commitments, necessary for users to understand the potential effect of the relationship on the financial statements. These disclosure requirements are in addition to paragraph 227. At a minimum, disclosures shall include:

37(a) the amount of the transactions;

(b) the amount of outstanding balances, including commitments, and:

(i) their terms and conditions, including whether they are secured and the nature of the consideration to be provided in settlement; and

(ii) details of any guarantees given or received;

(c) provisions for doubtful debts related to the amount of outstanding balances; and

(d) the expense recognised during the period in respect of bad or doubtful debts due from related parties.

231 The disclosures required by paragraph 230 shall be made separately for:

(a) the parent;

(b) entities with joint control of, or significant influence over, the entity;

(c) subsidiaries;

(d) associates;

(e) joint ventures in which the entity is a joint venturer;

(f) key management personnel of the entity or its parent; and

(g) other related parties.

232 A reporting entity is exempt from the disclosure requirements in paragraph 230 in relation to related party transactions and outstanding balances, including commitments, with:

(a) a government that has control or joint control of, or significant influence over, the reporting entity; and

(b) another entity that is a related party because the same government has control or joint control of, or significant influence over, both the reporting entity and the other entity.

233 If an entity applies the exemption in paragraph 232, it shall disclose the following about the transactions and related outstanding balances referred to in paragraph 232:

(a) the name of the government and the nature of its relationship with the reporting entity (control, joint control or significant influence).

(b) the following information in sufficient detail to enable users of the entity’s financial statements

to understand the effect of related party transactions on its financial statements:

(i) the nature and amount of each individually significant transaction.

(ii) for other transactions that are collectively, but not individually, significant, a qualitative or quantitative indication of their extent. Types of transactions include those listed in paragraph 234.

234 Examples of transactions that are disclosed if they are with a related party include:

(a) purchases or sales of goods (finished or unfinished);

(b) purchases or sales of property and other assets;

(c) the rendering or receiving of services;

(d) leases;

(e) transfers of research and development;

(f) transfers under licence agreements;

(g) transfers under finance arrangements (including loans and equity contributions in cash or in kind);

(h) provision of guarantees or collateral; and 38(i) settlement of liabilities on behalf of the entity or by the entity on behalf of that related party.

(j) management contracts including for deputation of employees.

235 Participation by a parent or subsidiary in a defined benefit plan that shares risks between group entities is a transaction between related parties (see paragraph 42 of Ind AS 19, which requires an entity to disclose the information required by paragraph 213).

236 An entity shall disclose that related party transactions were made on terms equivalent to those that prevail in arm’s length transactions only if such terms can be substantiated.

237 Items of a similar nature may be disclosed in aggregate except when separate disclosure is necessary for an understanding of the effects of related party transactions on the financial statements of the entity.

Ind AS 27, Separate Financial Statements 238 When a parent, in accordance with paragraph 4(a) of Ind AS 110, elects not to prepare consolidated financial statements and instead prepares separate financial statements, it shall disclose in those

separate financial statements:

(a) the fact that the financial statements are separate financial statements; that the exemption from consolidation has been used; the name and principal place of business (and country of incorporation, if different) of the entity whose consolidated financial statements that comply with Ind ASs have been produced for public use; and the address where those consolidated financial statements are obtainable; and

(b) a description of the method used to account for its investments in subsidiaries, joint ventures and associates.

239 When an investment entity that is a parent (other than a parent covered by paragraph 238) prepares, in accordance with paragraph 8A of Ind AS 27, Separate Financial Statements, separate financial statements as its only financial statements, it shall disclose that fact. The investment entity shall also present the disclosures relating to investment entities required by paragraphs 82–94.

240 When a parent (other than a parent covered by paragraphs (238–239) or an investor with joint control of, or significant influence over, an investee prepares separate financial statements, the parent or investor shall identify the financial statements prepared in accordance with Ind AS 110, Ind AS 111, Joint Arrangements, or Ind AS 28, Investments in Associates and Joint Ventures, to which they relate.

The parent or investor shall also disclose in its separate financial statements:

(a) the fact that the statements are separate financial statements; and

(b) a description of the method used to account for its investments in subsidiaries, joint ventures and associates.

Ind AS 29, Financial Reporting in Hyperinflationary Economies 241 An entity shall disclose:

(a) the fact that the financial statements and the corresponding figures for previous periods have been restated for the changes in the general purchasing power of the functional currency and, as a result, are stated in terms of the measuring unit current at the end of the reporting period; and

(b) the identity and level of the price index at the end of the reporting period and the movement in the index during the current and the previous reporting period.

(c) the duration of the hyperinflationary situation existing in the economy 39Ind AS 32, Financial Instruments: Presentation Disclosure requirements in Ind AS 32 that remain applicable 242 An entity shall apply the disclosure requirements in paragraphs 34 and 40 of Ind AS 32.

Ind AS 34, Interim Financial Reporting Content of an interim financial report Significant events and transactions 243 An entity shall include in its interim financial report an explanation of events and transactions significant to an understanding of the changes in financial position and performance of the entity since the end of the last annual reporting period. Information disclosed in relation to those events and transactions shall update the relevant information presented in the most recent annual financial report.

244 Events and transactions for which disclosures would be required if they are significant (the list is not exhaustive) include:

(a) the write-down of inventories to net realisable value and the reversal of such a write-down;

(b) recognition of a loss from the impairment of financial assets, property, plant and equipment, intangible assets, assets arising from contracts with customers, or other assets, and the reversal of such an impairment loss;

(c) the reversal of any provisions for the costs of restructuring;

(d) acquisitions and disposals of items of property, plant and equipment;

(e) commitments for the purchase of property, plant and equipment;

(f) litigation settlements;

(g) corrections of prior period errors;

(h) changes in the business or economic circumstances that affect the fair value of the entity’s financial assets and financial liabilities, whether those assets or liabilities are recognised at fair value or amortised cost;

(i) any loan default or breach of a loan agreement that has not been remedied on or before the end of the reporting period;

(j) related party transactions;

(k) changes in the classification of financial assets as a result of a change in the purpose or use of those assets; and

(l) changes in contingent liabilities or contingent assets.

245 When an event or transaction is significant to an understanding of the changes in an entity’s financial position or performance since the last annual reporting period, its interim financial report should provide an explanation of and an update to the relevant information included in the financial statements of the last annual reporting period.

Other disclosures 246 An entity shall disclose the information specified in (a)–(m) of this paragraph either in the interim financial statements or incorporated by cross-reference from the interim financial statements to some other statement (such as management commentary or risk report) that is available to users of the financial statements on the same terms as the interim financial statements and at the same time. If 40users of the financial statements do not have access to the information incorporated by cross- reference on the same terms and at the same time, the interim financial report is incomplete. The further information shall normally be reported on a financial year-to-date basis, and consists of:

(a) a statement that the same accounting policies and methods of computation are followed in the interim financial statements as compared with the most recent annual financial statements or, if those policies or methods have been changed, a description of the nature and effect of the change.

(b) explanatory comments about the seasonality or cyclicality of interim operations.

(c) the nature and amount of items affecting assets, liabilities, equity, net income or cash flows that are unusual because of their nature, size or incidence.

(d) the nature and amount of changes in estimates of amounts reported in prior interim periods of the current financial year or changes in estimates of amounts reported in prior financial years.

(e) issues, repurchases and repayments of debt and equity securities.

(f) dividends paid (aggregate or per share) separately for ordinary shares and other shares.

(g) the basis for preparing and presenting information about segments, if the entity chooses to disclose information about segments. If the entity chooses to disclose information about segments that does not comply with Ind AS 108, it shall not describe the information as segment information.

(h) events after the interim period that have not been reflected in the financial statements for the interim period.

(i) the effect of changes in the composition of the entity during the interim period, including business combinations, obtaining or losing control of subsidiaries and long-term investments, restructurings and discontinued operations. In the case of business combinations, the entity shall disclose the information required by paragraphs 35–37.

(j) for financial instruments, the disclosures about fair value required by paragraphs 64 and 95–

97.

(k) for entities becoming, or ceasing to be, investment entities, as defined in Ind AS 110, the disclosures required by paragraph 83.

(l) the disaggregation of revenue from contracts with customers required by paragraphs 103–

104.

(m) the disclosures about management-defined performance measures required by paragraphs 142–146.

Disclosure of compliance with Ind ASs 247 An entity whose interim financial report complies with IAS 34 and the requirements in paragraphs 1–19 and 243–249 shall make an explicit and unreserved statement of such compliance in the notes. An entity that applies this Standard shall, as part of that unreserved statement, state that it has applied Ind AS 34 and the requirements in paragraphs 1–19 and 243–249. An entity applying this Standard shall not describe an interim financial report as complying with Ind ASs unless the entity complies with the requirements in this Standard and all applicable requirements in other Ind ASs.

Disclosure in annual financial statements 248 If an estimate of an amount reported in an interim period is changed significantly during the final interim period of the financial year but a separate financial report is not published for that final interim period, an entity shall disclose the nature and amount of that change in estimate in a note to the annual financial statements for that financial year.

41Disclosure requirements in Ind AS 34 that remain applicable 249 An entity shall apply the disclosure requirements in paragraph 41 of Ind AS 34.

Ind AS 36, Impairment of Assets 250 An entity shall disclose, for each class of assets:

(a) the amount of impairment losses recognised in profit or loss during the period and the line item(s) of the statement of profit and loss in which those impairment losses are included; and

(b) the amount of reversals of impairment losses recognised in profit or loss during the period and the line item(s) of the statement of profit and loss in which those impairment losses are reversed.

251 A class of assets is a grouping of assets of similar nature and use in an entity’s operations.

252 An entity shall disclose, for a cash-generating unit for which an impairment loss has been recognised

or reversed during the period:

(a) a description of the cash-generating unit (such as whether it is a product line, a plant, a business operation, a geographical area, or a reportable segment as defined in Ind AS 108); and

(b) if the aggregation of assets for identifying the cash-generating unit has changed since the previous estimate of the cash-generating unit’s recoverable amount (if any), a description of the current and former way of aggregating assets and the reasons for changing the way the cash-generating unit is identified.

253 If, in accordance with paragraph 84 of Ind AS 36, any portion of the goodwill acquired in a business combination during the period has not been allocated to a cash-generating unit (group of units) at the end of the reporting period, the amount of the unallocated goodwill shall be disclosed together with the reasons why that amount remains unallocated.

Estimates used to measure recoverable amounts of cash-generating units containing goodwill or intangible assets with indefinite useful lives 254 An entity shall disclose, for each cash-generating unit (group of units) for which the carrying amount of goodwill or intangible assets with indefinite useful lives allocated to that unit (group of units) is significant in comparison with the entity’s total carrying amount of goodwill or intangible assets with

indefinite useful lives:

(a) the carrying amount of goodwill allocated to the unit (group of units).

(b) the carrying amount of intangible assets with indefinite useful lives allocated to the unit (group of units).

(c) the basis on which the unit’s (group of units’) recoverable amount has been determined (that is, value in use or fair value less costs of disposal).

(d) if the unit’s (group of units’) recoverable amount is based on value in use:

(i) each key assumption on which management has based its cash flow projections for the period covered by the most recent budgets or forecasts. Key assumptions are those to which the unit’s (group of units’) recoverable amount is most sensitive.

(ii) the growth rate used to extrapolate cash flow projections beyond the period covered by the most recent budgets or forecasts, and the justification for using any growth rate that exceeds the long-term average growth rate for the products, industries, or country or countries in which the entity operates, or for the market to which the unit (group of units) is dedicated.

(iii) the discount rate(s) applied to the cash flow projections.

42(e) if the unit’s (group of units’) recoverable amount is based on fair value less costs of disposal, the valuation technique(s) used to measure fair value less costs of disposal. An entity is not required to provide the disclosures required by paragraphs 95–97. If fair value less costs of disposal is not measured using a quoted price for an identical unit (group of units), an entity

shall disclose:

(i) each key assumption on which management has based its determination of fair value less costs of disposal. Key assumptions are those to which the unit’s (group of units’) recoverable amount is most sensitive.

(ii) the level of the fair value hierarchy (see Ind AS 113) within which the fair value measurement is categorised in its entirety (without giving regard to the observability of costs of disposal).

(f) if fair value less costs of disposal is measured using discounted cash flow projections:

(i) the growth rate used to extrapolate cash flow projections; and

(ii) the discount rate(s) applied to the cash flow projections.

255 If some or all of the carrying amount of goodwill or intangible assets with indefinite useful lives is allocated to multiple cash-generating units (groups of units), and the amount so allocated to each unit (group of units) is not significant in comparison with the entity’s total carrying amount of goodwill or intangible assets with indefinite useful lives, that fact shall be disclosed, together with the aggregate carrying amount of goodwill or intangible assets with indefinite useful lives allocated to those units (groups of units). In addition, if the recoverable amounts of any of those units (groups of units) are based on the same key assumption(s) and the aggregate carrying amount of goodwill or intangible assets with indefinite useful lives allocated to them is significant in comparison with the entity’s total carrying amount of goodwill or intangible assets with indefinite useful lives, an entity shall disclose that fact, together with:

(a) the aggregate carrying amount of goodwill allocated to those units (groups of units);

(b) the aggregate carrying amount of intangible assets with indefinite useful lives allocated to those units (groups of units); and

(c) a description of the key assumption(s).

256 The most recent detailed calculation made in a preceding period of the recoverable amount of a cash- generating unit (group of units) may, in accordance with paragraph 24 of Ind AS 36 or paragraph 99 of Ind AS 36, be carried forward and used in the impairment test for that unit (group of units) in the current period, provided specified criteria are met. When this is the case, the information for that unit (group of units) that is incorporated into the disclosures required by paragraphs 254–255 relates to the carried forward calculation of recoverable amount.

Ind AS 37, Provisions, Contingent Liabilities and Contingent Assets 257 An entity shall disclose, for each class of provision (comparative information is not required):

(a) the carrying amount at the beginning and end of the reporting period;

(b) additional provisions made in the period, including increases to existing provisions;

(c) amounts used (incurred and charged against the provision) during the period;

(d) unused amounts reversed during the period; and

(e) the increase during the period in the discounted amount arising from the passage of time and the effect of any change in the discount rate.

258 An entity shall also disclose, for each class of provision (comparative information is not required):

(a) a brief description of the nature of the obligation and the expected timing of any resulting outflows of economic benefits.

43(b) an indication of the uncertainties about the amount or timing of those outflows. Where necessary to provide adequate information, an entity shall disclose the major assumptions made concerning future events, as addressed in paragraph 48 of Ind AS 37 and

(c) the amount of any expected reimbursement, stating the amount of any asset that has been recognised for that expected reimbursement.

259 Unless the possibility of any outflow in settlement is remote, an entity shall disclose, for each class of contingent liability at the end of the reporting period, a brief description of the nature of the contingent liability and, where practicable:

(a) an estimate of its financial effect, measured under paragraphs 36–52 of Ind AS 37;

(b) an indication of the uncertainties relating to the amount or timing of any outflow; and

(c) the possibility of any reimbursement.

260 Where an inflow of economic benefits is probable, an entity shall disclose a brief description of the nature of the contingent assets at the end of the reporting period and, where practicable, an estimate of their financial effect, measured using the principles set out for provisions in paragraphs 36–52 of Ind AS 37.

261 Where any of the information required by paragraphs 259–260 is not disclosed because it is not practicable to do so, an entity shall state that fact.

262 In extremely rare cases, disclosure of some or all of the information required by paragraphs 257–260 can be expected to prejudice seriously the position of the entity in a dispute with other parties on the subject matter of the provision, contingent liability or contingent asset. In such cases, an entity need not disclose the information, but shall disclose the general nature of the dispute, together with the fact that, and reason why, the information has not been disclosed.

Ind AS 38, Intangible Assets 263 An entity shall disclose, for each class of intangible assets, distinguishing between internally generated

intangible assets and other intangible assets:

(a) whether the useful lives are indefinite or finite and, if finite, the useful lives or the amortisation rates used;

(b) the amortisation methods used for intangible assets with finite useful lives;

(c) the gross carrying amount and any accumulated amortisation (aggregated with accumulated impairment losses) at the beginning and end of the reporting period;

(d) the line item(s) of the statement of profit and Loss in which any amortisation of intangible assets is included; and

(e) a reconciliation (comparative information is not required) of the carrying amount at the

beginning and end of the period showing:

(i) additions, indicating separately those from internal development, those acquired separately, and those acquired through business combinations;

(ii) assets classified as held for sale or included in a disposal group classified as held for sale in accordance with Ind AS 105 and other disposals;

(iii) increases or decreases during the period resulting from revaluations under paragraphs 75 and 85–86 of Ind AS 38 and from impairment losses recognised or reversed in other comprehensive income in accordance with Ind AS 36 (if any);

(iv) impairment losses recognised in profit or loss during the period in accordance with Ind AS 36 (if any);

(v) impairment losses reversed in profit or loss during the period in accordance with Ind AS 36 (if any);

44(vi) any amortisation recognised during the period; and

(vii) other changes in the carrying amount during the period.

264 An entity shall also disclose:

(a) for an intangible asset assessed as having an indefinite useful life, the carrying amount of that asset and the reasons supporting the assessment of an indefinite useful life. In giving these reasons, the entity shall describe the factor(s) that played a significant role in determining that the asset has an indefinite useful life.

(b) a description, the carrying amount and remaining amortisation period of any individual intangible asset that is material to the entity’s financial statements.

(c) for intangible assets acquired by way of a government grant and initially recognised at fair value (see paragraph 44 of Ind AS 38):

(i) the fair value initially recognised for these assets;

(ii) their carrying amounts; and

(iii) whether they are measured after recognition under the cost model or the revaluation model.

(d) the existence and carrying amounts of intangible assets whose title is restricted and the carrying amounts of intangible assets pledged as security for liabilities.

(e) the amount of contractual commitments for the acquisition of intangible assets.

265 If intangible assets are accounted for at revalued amounts, an entity shall disclose:

(a) by class of intangible assets:

(i) the effective date of the revaluation;

(ii) the carrying amount of revalued intangible assets; and

(iii) the carrying amount that would have been recognised had the revalued class of intangible assets been measured after recognition using the cost model in paragraph 74 of Ind AS 38; and

(b) the amount of the revaluation surplus that relates to intangible assets at the beginning and end of the reporting period, indicating the changes during the period and any restrictions on the distribution of the balance to shareholders.

266 An entity shall disclose the aggregate amount of research and development expenditure recognised as an expense during the reporting period.

Ind AS 40, Investment Property Fair value and cost model 267 The disclosures in paragraphs 268–271 apply in addition to those required for leases in paragraphs 115–127. The owner of an investment property provides lessors’ disclosures about leases into which it has entered. A lessee that holds an investment property as a right-of-use asset provides lessees’ disclosures and lessors’ disclosures for any operating leases into which it has entered.

268 An entity shall disclose:

(a) its accounting policy for measurement of investment property.

(b) the extent to which the fair value of investment property (as measured or disclosed in the financial statements) is based on a valuation by an independent valuer who holds a recognised and relevant professional qualification and has recent experience in the location 45and category of the investment property being valued. If there has been no such valuation, that fact shall be disclosed.

(c) [Refer Appendix 1]

(d) the existence and amounts of restrictions on the realisability of investment property or the remittance of income and proceeds of disposal.

(e) contractual obligations to purchase, construct or develop investment property or for repairs, maintenance or enhancements.

Fair value model 269 [Refer Appendix 1] 270 [Refer Appendix 1] Cost model 271 In addition to the disclosures required by paragraph 268, an entity that applies the cost model in paragraph 56 of Ind AS 40 shall disclose:

(a) the depreciation methods used;

(b) the useful lives or the depreciation rates used;

(c) the gross carrying amount and the accumulated depreciation (aggregated with accumulated impairment losses) at the beginning and end of the reporting period; and

(d) a reconciliation (comparative information is not required) of the carrying amount of investment property at the beginning and end of the period, showing:

(i) additions;

(ii) acquisitions through business combinations;

(iii) assets classified as held for sale or included in a disposal group classified as held for sale in accordance with Ind AS 105 and other disposals;

(iv) depreciation;

(v) the amount of impairment losses recognised, and the amount of impairment losses reversed, during the period in accordance with Ind AS 36;

(vi) transfers to and from inventories and owner-occupied property; and

(vii) other changes.

(e) the fair value of investment property. In the exceptional cases described in paragraph 53 of Ind AS 40, when an entity cannot measure the fair value of the investment property reliably, it

shall disclose:

(i) a description of the investment property;

(ii) an explanation of why fair value cannot be measured reliably; and

(iii) if possible, the range of estimates within which fair value is highly likely to lie.

Ind AS 41, Agriculture General 272 An entity shall provide a description of each group of biological assets.

273 An entity shall disclose a reconciliation (comparative information is not required) of changes in the carrying amount of biological assets between the beginning and the end of the current reporting period.

The reconciliation shall include:

46(a) the gain or loss arising from changes in fair value less costs to sell;

(b) increases due to purchases;

(c) decreases attributable to sales and biological assets classified as held for sale (or included in a disposal group that is classified as held for sale) in accordance with Ind AS 105;

(d) decreases due to harvest;

(e) increases resulting from business combinations;

(f) net exchange differences arising on the translation of financial statements into a different presentation currency, and on the translation of a foreign operation into the presentation currency of the reporting entity; and

(g) other changes.

Additional disclosures for biological assets where fair value cannot be measured reliably 274 If an entity measures biological assets at their cost less any accumulated depreciation and any accumulated impairment losses (see paragraph 30 of Ind AS 41, Agriculture) at the end of the reporting period, the entity shall disclose for such biological assets:

(a) a description of the biological assets;

(b) an explanation of why fair value cannot be measured reliably;

(c) the depreciation method used;

(d) the useful lives or the depreciation rates used; and

(e) the gross carrying amount and the accumulated depreciation (aggregated with accumulated impairment losses) at the beginning and end of the period.

Government grants 275 An entity shall disclose the following related to agricultural activity covered by Ind AS 41:

(a) the nature and extent of government grants recognised in the financial statements; and

(b) unfulfilled conditions and other contingencies attaching to government grants that have not been recognised in profit or loss.

Other disclosures 276 An entity applying this Standard is not required to apply Ind AS 108. If an entity applying this Standard chooses to disclose information about segments that does not comply with Ind AS 108, it shall not describe the information as segment information. An entity making such disclosures shall describe the basis for preparing and making those disclosures. An entity choosing to apply Ind AS 108 shall apply all its disclosure requirements and shall state that it has applied Ind AS 108.

47Appendix A—Effective date and transition This Appendix is an integral part of the Standard.

A1 An entity may elect to apply this Standard for reporting periods beginning on or after 1st April 2027. In accordance with paragraph 14, if an entity applies this Standard in the current reporting period but not in the immediately preceding period, it shall provide comparative information (that is, information for the preceding period) for all amounts reported in the current period’s financial statements, unless this Standard or another Indian Accounting Standard permits or requires otherwise.

A2-A6 [Refer Appendix 1] 48Appendix B—Disclosure requirements if an entity applies Ind AS 119 before applying Ind AS 118 B1-B19 [Refer Appendix 1] 49Appendix C—Amendments to other Indian Accounting Standards (Ind AS) This Appendix sets out amendments to other Ind AS. An entity shall apply the amendments when it applies Ind AS 119.

Ind AS 101, First-time Adoption of Indian Accounting Standards Paragraph D2 of Ind AS 101 is amended. New text is underlined.

Appendix D Exemptions from other Ind ASs ...

Share-based payment transactions D2 A first-time adopter is encouraged, but not required, to apply Ind AS 102, Share-based Payment, to equity instruments that vested before date of transition to Ind ASs. However, if a first-time adopter elects to apply Ind AS 102 to such equity instruments, it may do so only if the entity has disclosed publicly the fair value of those equity instruments, determined at the measurement date, as defined in Ind AS 102. For all grants of equity instruments to which Ind AS 102 has not been applied (eg equity instruments vested but not settled before date of transition to Ind ASs), a first-time adopter shall nevertheless disclose the information required by paragraphs 44 and 45 of Ind AS 102. An entity applying Ind AS 119, Subsidiaries without Public Accountability: Disclosures, shall instead disclose the information required by paragraph 31 of Ind AS 119. If a first-time adopter modifies the terms or conditions of a grant of equity instruments to which Ind AS 102 has not been applied, the entity is not required to apply paragraphs 26–29 of Ind AS 102 if the modification occurred before the date of transition to Ind ASs.

Ind AS 105, Non-current Assets Held for Sale and Discontinued Operations Paragraphs 5B, 12, 26A and 38 of Ind AS 105 are amended. New text is underlined and deleted text is struck through.

Scope ...

5B This Ind AS specifies the disclosures required in respect of non-current assets (or disposal groups) classified as held for sale or discontinued operations. Disclosures in other Ind ASs do not apply to such assets (or disposal groups) unless those Ind ASs require:

(a) specific disclosures in respect of non-current assets (or disposal groups) classified as held for sale or discontinued operations; or

(b) disclosures about measurement of assets and liabilities within a disposal group that are not within the scope of the measurement requirement of Ind AS 105 and such disclosures are not already provided in the other notes to the financial statements.

50Additional disclosures about non-current assets (or disposal groups) classified as held for sale or discontinued operations may be necessary to comply with the disclosure requirements of Ind AS 118 and the requirements of Ind AS 8, Basis of Preparation of Financial Statements, in particular paragraphs 6A and 31A of Ind AS 8. An entity applying Ind AS 119, Subsidiaries without Public

Accountability: Disclosures, shall apply paragraph 182 of Ind AS 119 instead of paragraph 31A of Ind AS 8. ...

Classification of non-current assets (or disposal groups) as held for sale or as held for distribution to owners ...

12 If the criteria in paragraphs 7 and 8 are met after the reporting period, an entity shall not classify a non- current asset (or disposal group) as held for sale in those financial statements when issued. However, when those criteria are met after the reporting period but before the approval of the financial statements for issue, the entity shall disclose the information specified in paragraph 41(a), (b) and (d) in the notes. An entity applying Ind AS 119, Subsidiaries without Public Accountability: Disclosures shall instead disclose the information specified in paragraph 38 of Ind AS 119.

...

Measurement of non-current assets (or disposal groups) classified as held for sale ...

Changes to a plan of sale or to a plan of distribution to owners ...

26A If an entity reclassifies an asset (or disposal group) directly from being held for sale to being held for distribution to owners, or directly from being held for distribution to owners to being held for sale, then the change in classification is considered a continuation of the original plan of disposal. The entity:

(a) shall not follow the guidance in paragraphs 27–29 to account for this change. The entity shall apply the classification, presentation, measurement and disclosure requirements in this Ind AS that are applicable to the new method of disposal. An entity applying Ind AS 119

Subsidiaries without Public Accountability: Disclosures, shall apply the disclosure requirements in Ind AS 119 instead of the disclosure requirements in this Ind AS. ...

Presentation and disclosure ...

Non-current asset or disposal group classified as held for sale 38 An entity shall present a non-current asset classified as held for sale and the assets of a disposal group classified as held for sale separately from other assets in the balance sheet. The liabilities of a disposal group classified as held for sale shall be presented separately from other liabilities in the balance sheet. Those assets and liabilities shall not be offset and presented as a single amount.

The major classes of assets and liabilities classified as held for sale shall either be presented separately in the balance sheet or disclosed in the notes, except as permitted by paragraph 39 and 51except when an entity applies Ind AS 119, Subsidiaries without Public Accountability: Disclosures. An entity shall present separately any cumulative income or expense recognised in other comprehensive income relating to a non-current asset (or disposal group) classified as held for sale.

Ind AS 113, Fair Value Measurement Paragraphs 7 and 66 of Ind AS 113 are amended. New text is underlined.

Scope ...

7 The disclosures required by this Ind AS—or, for entities applying Ind AS 119, Subsidiaries without

Public Accountability: Disclosures, by paragraphs 95–97 of Ind AS 119—are not required for the

following: ...

Measurement Valuation techniques ...

66 Revisions resulting from a change in the valuation technique or its application shall be accounted for as a change in accounting estimate in accordance with Ind AS 8. However, the disclosures in Ind AS 8 (or in Ind AS 119, Subsidiaries without Public Accountability: Disclosures, for an entity that applies Ind AS

119) for a change in accounting estimate are not required for revisions resulting from a change in a valuation technique or its application.

Ind AS 117, Insurance Contracts Paragraph C3(a) of Ind AS 117 is amended and a footnote is added. New text is underlined and deleted text is struck through.

Appendix C Effective date and transition ...

Transition C3 Unless it is impracticable to do so, or paragraph C5A applies, an entity shall apply Ind AS 117 retrospectively, except that:

(a) an entity is not required to present the quantitative information required by paragraph 28(f) of Ind AS 8, Basis of Preparation of Financial Statements*, or, for entities applying Ind AS 119,

Subsidiaries without Public Accountability: Disclosures, by paragraph 178(f) of Ind AS 119;

52… * With the issuance of Ind AS 118, Presentation and Disclosure in Financial Statements, the title of Ind AS 8 has been changed to Basis of Preparation of Financial Statements.

Ind AS 118, Presentation and Disclosure in Financial Statements Paragraphs C2 and C5 of Ind AS 118 are amended. New text is underlined.

Appendix C Effective date and transition ...

Transition C2 An entity shall apply this Standard retrospectively applying Ind AS 8. However, an entity is not required to present the quantitative information specified in paragraph 28(f) of Ind AS 8. An entity applying Ind AS 119, Subsidiaries without Public Accountability: Disclosures, is not required to present the quantitative information required by paragraph 178(f) of Ind AS 119.

...

C5 If an entity applies Ind AS 34 in preparing interim financial statements in the first year of applying this Standard, the entity shall, as part of the information required by paragraph 16A(a) of Ind AS 34, disclose reconciliations for each line item presented in the profit or loss for the comparative periods immediately preceding the current and cumulative current periods. The reconciliations are required

between:

(a) the restated amounts presented applying the accounting policies for the comparative period and the cumulative comparative period when the entity applies this Standard; and

(b) the amounts previously presented applying the accounting policies for the comparative period and cumulative comparative period when the entity applied Ind AS 1.

An entity applying Ind AS 119, Subsidiaries without Public Accountability: Disclosures, shall instead disclose such a reconciliation as part of the information required by paragraph 246(a) of Ind AS 119.

Ind AS 32, Financial Instruments: Presentation Paragraphs 34 and 40 of Ind AS 32 are amended. New text is underlined.

Presentation ...

53Treasury shares (see also paragraph AG36) ...

34 The amount of treasury shares held is either presented separately in the balance sheet or the statement of changes in equity or disclosed in the notes, in accordance with Ind AS 118, Presentation and Disclosure in Financial Statements. An entity applying Ind AS 119, Subsidiaries without Public

Accountability: Disclosures, shall instead provide such information in accordance with Ind AS 119. An entity provides disclosure in accordance with Ind AS 24, Related Party Disclosures, if the entity reacquires its own equity instruments from related parties. An entity applying Ind AS 119 shall instead provide such disclosure in accordance with Ind AS 119.

Interest, dividends, losses and gains (see also paragraph AG37) ...

40 Dividends classified as an expense may be presented in the statement of profit and loss or disclosed in the notes either with interest on other liabilities or as a separate item. In addition to the requirements of this Standard, presentation and disclosure of interest and dividends is subject to the requirements of Ind AS 118 and Ind AS 107. An entity applying Ind AS 119 shall instead disclose interest and dividends subject to the requirements of Ind AS 119. In some circumstances, because of the differences between interest and dividends with respect to matters such as tax deductibility, an entity may determine that it will present interest expenses separately from dividend expenses in the statement of profit and loss.

Disclosures of the tax effects are made in accordance with Ind AS 12. An entity applying Ind AS 119 shall instead make such disclosures in accordance with Ind AS 119.

Ind AS 34, Interim Financial Reporting Paragraph 10 of Ind AS 34 is amended. New text is underlined.

Content of an interim financial report ...

Form and content of interim financial statements ...

10 If an entity publishes a set of condensed financial statements in its interim financial report, those condensed statements shall include, at a minimum, each of the headings and subtotals that were included in its most recent annual financial statements and the selected explanatory notes as required by this Standard. In preparing condensed financial statements, an entity shall apply this Standard and also the requirements in paragraphs 41–45 of Ind AS 118 and in paragraphs 6A–6N of Ind AS 8, Basis of Preparation of Financial Statements or, for entities applying Ind AS 119, Subsidiaries without Public

Accountability: Disclosures, the requirements in paragraphs 173–175 of Ind AS 119 instead of the requirements in paragraphs 6F, 6G and 6I of Ind AS 8. Additional line items or notes shall be included if their omission would make the condensed interim financial statements misleading.

54Ind AS 19, Employee Benefits Appendix B The Limit on a Defined Benefit Asset, Minimum Funding Requirements and their Interaction Paragraph 10 of Appendix B is amended. New text is underlined.

Consensus Availability of a refund or reduction in future contributions ...

10 In accordance with Ind AS 8, the entity shall disclose information about the key sources of estimation uncertainty at the end of the reporting period that have a significant risk of causing a material adjustment to the carrying amount of the net asset or liability recognised in the balance sheet. This might include disclosure of any restrictions on the current realisability of the surplus or disclosure of the basis used to determine the amount of the economic benefit available. An entity applying Ind AS 119 shall instead disclose such information in accordance with Ind AS 119.

55Appendix D References to matters contained in other Indian Accounting Standards This Appendix is an integral part of the Ind AS.

This appendix lists the different appendices which are the part of other Indian Accounting Standards and make reference to Ind AS 119.

1. Appendix B, The Limit on a Defined Benefit Asset, Minimum Funding Requirements and their Interaction, contained in Ind AS 19, Employee Benefits.

56Appendix 1

Note: This Appendix is not a part of the Indian Accounting Standard. The purpose of this Appendix is only to bring out the major differences, if any, between Indian Accounting Standard (Ind AS) 119 and the corresponding International Financial Reporting Standard (IFRS) 19, Subsidiaries without Public Accountability: Disclosures, issued by the International Accounting Standards Board.

Comparison with IFRS 19, Subsidiaries without Public Accountability: Disclosures

1. Following additional disclosures are required under respective Ind ASs compared to IAS/IFRS: a) Paragraph D7AA was added in Ind AS 101, First-time Adoption of Indian Accounting Standards; to provide for transitional relief from the retrospective application of Ind AS 16. When an entity avails the first-time exemption under para D7AA, paragraph 27AA of Ind AS 101 requires an entity to disclose the fact and the related accounting policy until the concerned assets are substantially depreciated, impaired, or derecognized.

b) Paragraph 126AA was added in Ind AS 115, Revenue from Contracts with Customers; and requires an entity to reconcile the amount of revenue recognised in the statement of profit and loss with the contracted price showing separately each of the adjustments made to the contract price, for example, on account of discounts, rebates, refunds, credits, price concessions, incentives, performance bonuses, etc., specifying the nature and amount of each such adjustment separately.

c) When there is a change in functional currency of either the reporting entity or a significant foreign operation, Ind AS 21, The Effects of Changes in Foreign Exchange Rates; requires an additional disclosure of the date of change in functional currency.

d) Ind AS 24, Related Party Disclosures; provides ‘Management contracts including for deputation of employees’ as one of the examples of transactions that are disclosed if they are with a related party.

e) Ind AS 29, Financial Reporting in Hyperinflationary Economies; requires an additional disclosure regarding the duration of the hyperinflationary situation existing in the economy as compared to IAS 29.

Such disclosures are not there in corresponding IAS/IFRS. Considering the peculiarity of these additional disclosures in Indian scenario, these disclosures have been added as follows in Ind AS 119:

(i) Disclosure related to Ind AS 101 has been added in paragraph 26AA

(ii) Disclosure related to Ind AS 115 has been added in paragraph 112AA

(iii) Disclosure related to Ind AS 21 has been added in paragraph 220

(iv) Disclosure related to Ind AS 24 has been added in paragraph 234(j)

(v) Disclosure related to Ind AS 29 has been added in paragraph 241(c)

2. Different terminology is used in Ind AS 119 e.g., the term ‘balance sheet’ is used instead of ‘Statement of financial position’, ‘Statement of Profit and Loss’ is used instead of ‘Statement of financial performance’ or ‘Statement of profit or loss and other comprehensive income’.

3. The words ‘approval of the financial statements for issue’ have been used instead of ‘authorisation of the financial statements for issue’ in the context of financial statements considered for the purpose of events after the reporting period.

4. Following paragraphs have been modified/added/deleted suitably in Ind AS 119 in view of different position

in respective Ind ASs:

(i) Paragraph 17

(ii) Paragraph 22

(iii) Paragraph 23

(iv) Paragraph 35(i)

(v) Paragraph 63

(vi) Paragraph 268

(vii) Paragraph 269

(viii) Paragraph 270 57Paragraph numbers have been retained to maintain consistency with paragraph numbers of IFRS 19.

5. Paragraphs A2-A6 of Appendix A, Effective date and transition; deals with application of IFRS 19 before application of IFRS 18 (makes reference to Appendix B) and amendments to IAS 21 (Lack of Exchangeability), IFRS 7 and IFRS 9 (Amendments to the Classification and Measurement of Financial Instruments; and Contracts Referencing Nature Dependent Electricity). Appendix B, Disclosure requirements if an entity applies IFRS 19 before applying IFRS 18; provides the disclosure requirements if an entity applies IFRS 19 before applying IFRS 18.

In India, corresponding amendments to Ind AS 21 have already been notified to be effective w.e.f. 1st April,

2025. Corresponding amendments to Ind AS 107 and Ind AS 109 are proposed to be effective w.e.f. 1st April, 2026. Moreover, earlier application is not permitted in India. Therefore, paragraphs A4-A6 of Appendix A have been deleted. Further, Ind AS 118 is also proposed to be notified with effect from 1st April, 2027.

Therefore, paragraphs A2-A3 of Appendix A and Appendix B have not been included.

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