The weekly messenger | Edition 42.18
This newsletter is a weekly compilation of accounting, auditing and related regulatory news from different accounting and regulatory bodies in India and overseas.
Accounting News
IASB amends definition of business in IFRS Standard on Business Combinations – 22 October 2018
The International Accounting Standards Board (IASB) has issued narrow-scope amendments to International Financial Reporting Standard (IFRS) 3 ‘Business Combinations’ in order to improve the definition of a business. The purpose of issuing this amendment is to resolve the difficulties that arise when an entity determines whether it has acquired a business or group of assets.
Companies are required to apply the amended definition of a business to acquisitions that occur on or after 1 January 2020.
For more information, click here.
Regulatory News
Basel III Framework on Liquidity Standards - Liquidity Coverage Ratio (LCR), FALLCR against credit disbursed to NBFCs and HFCs - 19 October 2018
The Reserve Bank of India has decided to allow the banks to reckon the government securities held by them, up to an amount equal to their incremental outstanding credit to Non-Banking Financial Companies (NBFCs) and Housing Finance Companies (HFCs), over and above the amount of credit to NBFCs and HFCs outstanding on their books as on 19 October 2018, as Level 1 High-Quality Liquid Assets (HQLA) under Facility to Avail Liquidity for Liquidity Coverage Ration (FALLCR) within the mandatory SLR requirement with immediate effect. This will be in addition to the existing FALLCR of 13 per cent of Net Demand and Time Liability (NDTL), and limited to 0.5 per cent of the bank’s NDTL. This additional FALLCR will be available up to 31 December 2018.
For more information, click here.
The Central Board of Indirect Taxes and Customs has issued certain updates w.r.t. Goods and Services Tax (GST) whose links are as follows:
- For more information w.r.t the clarification on the manner of filling quarterly return by composition dealers in FORM GSTR- 4, click here; and
For more information w.r.t the extension of due date for furnishing return in the form GSTR – 3B for the month of September 2018 to 25 October 2018, click here