The weekly messenger | Edition 26.20

Accounting News

Educational Material on Ind AS 38 – 14 July 2020

The ICAI has issued the Educational Material on Ind AS 38 ‘Intangible Assets’, which provides guidance on various aspects of Ind AS 38 in the form of Frequently Asked Questions (FAQs). The Educational Material inter-alia includes:

• Brief Summary about Ind AS 38;
• FAQs;
• Major Differences between Ind AS 38 and AS 26;
• Major Differences between Ind AS 38 and IAS 38;

For more information, click here.

IASB defers the effective date of amendments to IAS 1 – 15 July 2020

In January 2020, the International Accounting Standards Board (IASB) had issued certain amendments to IAS 1 ‘Presentation of Financial Statements’, thereby providing clarification on classification of debt and other liabilities as current or non-current. These amendments were originally effective for annual reporting periods beginning on or after 1 January 2022. However, due to COVID-19 pandemic, the IASB has deferred the effective date by one year, in order to provide the companies with more time to implement any classification changes resulting from the said amendments.
 
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Auditing News

MCQs on GN on the CARO 2020 – 13 July 2020

The Auditing and Assurance Standards Board of the ICAI has issued a publication namely ‘Multiple Choice Questions (MCQs) on Guidance Note on the Companies (Auditor’s Report) Order, 2020’, which provides detailed guidance to the members on various aspects and provisions of CARO 2020. The objective of this publication is to provide a supplementary resource to the members on the Guidance Note (GN) on the CARO 2020.
 
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Regulatory News

Technical Guide on Easy Incorporation of Companies through SPICE Plus – 19 July 2020

The ICAI has also issued the ‘Technical Guide on Easy Incorporation of Companies through SPICE+’, which provides detailed guidance on the procedural aspects of the integrated form SPICE+ and also elaborates detailed process to incorporate a company.
 
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Relaxation from compliance with provisions of the ILDS Regulation, NCRPS Regulations and SEBI Circulars relating to Listing of Commercial Papers – 15 July 2020

The SEBI (Issue and listing of Debt Securities) Regulations, 2008 (ILDS Regulations), SEBI (Non-Convertible Redeemable Preference Shares) Regulations, 2013 (NCRPS Regulations) and SEBI Circulars relating to Listing of Commercial Papers (CPs) require an Issuer to submit its latest audited financials which should not be older than six months.
 
Since, the SEBI vide its Circular dated 24 June 2020, had extended the timelines for submission of financial results for the quarter/half year/annual financial year ending on 31 March 2020 till 31 July 2020. Therefore, the listed entities are seeking extension of time for listing of their Non-Convertible Debentures (NCDs)/ NCRPS/ CPs, as their accounts are yet to be finalised.
 
Accordingly, the SEBI has permitted the listed issuers who have issued aforesaid securities, on or after 1 July 2020 and intend/propose to list such securities, on or before 31 July 2020, to use available financials as on 31 December 2019.
 
For more information, click here.