IMPORTANT ASPECTS
Some of the significant aspects of the revised Schedule VI include :
- Applicable to all : The revised Schedule to apply to all companies following Indian GAAP–until such companies are required to follow International Financial Reporting Standards (IFRS) converged Indian accounting standards (Ind AS).
- Accounting Standards Override : Accounting standards and requirements of the Act to override the requirements of the revised Schedule, wherever the two are inconsistent.
- Broad Items : Information to be mandatorily presented on the face of financial statements limited to only broad and significant items – details by way of notes.
- Part IV Dispensed with : Part IV of the existing Schedule (giving balance sheet abstract and general business profile) dispensed with.
- No Change in Cash Flow : Format of cash flow statement not prescribed – hence companies which are required to present this statement (i.e. other than small and medium sized companies) to continue to prepare it as per AS 3, Cash Flow Statement.
- Compliance with Accounting Standards : Disclosure requirements of various accounting standards also need to be complied with.
