Glossary · Accounting & Audit
Ind AS
Indian Accounting Standards — the accounting standards converged with IFRS and notified by the Ministry of Corporate Affairs for preparation of financial statements.
Ind AS applies to companies listed on stock exchanges, large unlisted companies (net worth above ₹250 crore), and other prescribed classes. Currently, 40+ Ind AS cover areas from financial statement presentation (Ind AS 1) to revenue recognition (Ind AS 115) and leases (Ind AS 116). Standards like Ind AS 115 (revenue from contracts with customers) and Ind AS 116 (leases) significantly changed recognition and measurement principles. Non-Ind AS companies continue to follow Accounting Standards issued by ICAI.
Examples
A listed company recognising revenue from a 3-year service contract must apply Ind AS 115 to identify performance obligations and allocate the transaction price.