CA NeWs Beta*: CLARIFICATION ON PARA 46A OF NOTIFICATION NUMBER G.S.R. 914(E) DATED 29-12-2011 ON ACCOUNTING STANDARD 11 RELATING TO "THE EFFECTS OF CHANGES IN FOREIGN EXCHANGE RATES"

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Saturday, August 18, 2012

CLARIFICATION ON PARA 46A OF NOTIFICATION NUMBER G.S.R. 914(E) DATED 29-12-2011 ON ACCOUNTING STANDARD 11 RELATING TO "THE EFFECTS OF CHANGES IN FOREIGN EXCHANGE RATES"

CLARIFICATION ON PARA 46A OF NOTIFICATION NUMBER G.S.R. 914(E) DATED 29-12-2011 ON ACCOUNTING STANDARD 11 RELATING TO "THE EFFECTS OF CHANGES IN FOREIGN EXCHANGE RATES"
CIRCULAR NO. 25/2012, DATED 9-8-2012

The Ministry has received several representations from industry associations that para 6 of Accounting Standard-11 and para 4(e) of AS-16 are posing problems in proper implementation of para 46A of notification 914(E) dated 29-12-2011. In order to resolve the problems faced by industry, it is hereby clarified that para 6 of Accounting Standard-11 and para 4(e) of the Accounting Standard-16 shall not apply to a company which is applying clause 46A of Accounting Standard-11.

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