The Companies (Indian Accounting Standards) Amendment Rules, 2026.
The document, verbatim
6219 GI/2026
(1)
ं. .ए.- 33004/99
REGD. No. D. L.-33004/99
xxxGIDHxxx
xxxGIDExxx
अाा
EXTRAORDINARY
ाII—ण3—उ-ण(i)
PART II—Section 3—Sub-section (i)
ााा
PUBLISHED BY AUTHORITY
ाायंा
अा
ईदल, 12 अ, 2026
ा.ा.. 725(अ).— ा, ंअ, 2013 (2013 ा18) ीाा469 ाठ
ाा133 ाातिाहए, ातठरााय, ं(ा
ाा) , 2015 औंएमा, अाय्: -
1. ंपाऔां. -(1) इांपां(ााा) ं, 2026 ।
(2) ाइाीाृत।
2. ं(ााा) , 2015 , "उां" , ". ााा(इंएए)" य
अ, -
() "ााा(इंएए) 101" ,—
(i) ा39झा, माअं:ादाएं, अाय्: -
"39ञ[ठ1 ]
ं. 661]
ईदल, ुा, अ12, 2026/ा21, 1948
No. 661]
NEW DELHI, WEDNESDAY, AUGUST 12, 2026/SHRAVAN 21, 1948
सी.जी.-डी.एल.-अ.-12082026-275402
CG-DL-E-12082026-275402
2
THE GAZETTE OF INDIA : EXTRAORDINARY
[PART II—SEC. 3(i)]
39
इंएएायुा(2024), ंा5-6।ईइाईउं1 अ2026
ाउाुाायठरअएा।
(ii) ठ, ा5 औा6 ा, मााएं, अाय्: -
" 5. षाअाभाााु-उाांं
भाााा109 अुाा
(उाए, अांं, ाांला
ल, ाााुाीुाए
ाा) (इंएए109 ा6.4.1 () )।ा, दषा
य'एए' अुाादा,
ाााअुाउअंयएा
ाादााा109 अुछ
6.6.1 ईअाओााेऐााााींी
ा।
6
द, इंएएंीा, एइाईएएा
दाा, दइंएए109 ा6.4.1 () - () ांएअयाां
ाा, इाईांंएइंएए109 ा6.5.6 औ
6.5.7 ा।इंएएंीायदएएयवा
ादााएा।”;
(iii) ठ1 , ा14 ा, माााएा, अाय्: -
"14. आईएफआए1 ा34 39, 3939औ39घइंएए101 भदा
ादााांंैऔांयांै।आईएफआए1
ा39एभदाादआईएफआए18 ां
ंं, एंंइंएएादााा।ा, आईएफआए1 ांखा
ांााएए, इांखाओइंएए101 ाएाा।”।
() "ााा(इंएए) 107" ;—
(i) ा5ा, माअं:ादाएं, अाय्: -
"5ा30 ृयएअुंााइंएए109 ा
2.3 अाओाैऔइंएए109 ा2.7-2.8 अुाउाा
ाै।
5ा30 अुंदइंएए109 ा2.3 अाओाएाा
औइंएए109 ा6.10.1 अुाएाजंंंादाा।
5 घा30उअुंााइंएए109 ा2.3अाओाै
औदइाईींंयदाा।इअुंभै:
() इंएए109 ा; ा
[ाII—ण3(ii)]
ााा: अाा
3
() उाा2.4 अुाइंएए109 ाा, उाा
2.7-2.8 अुाअयदा।”।
(ii) ा11;-
() “ा” बा“यएा” बाएं;
() ‘()’ ाउंंामऔांाएं,
अाय्;—
“() ठरअअंउल।”
() ‘(ङ)’ ाउंंामऔांअंःाी
ाएं, अाय्;—
“() अौाअगआुउलााा, ठरअ
ौाअाृंंउलााााठरअअं
ाठंंउलाााृायााएा।”;
(iii) ा11, ‘()’ ाउंंामऔांअंःाी
ाएं, अाय्:— -
"(घ)
ठरअौााभांााााईांउठर
अौांं।”;
(iv) ा20ा, माअं:ादाएं, अाय्: -
" 20, ईंाठााअवाआााउलाईतआ
यऔठााईतायआाअुछ20ााअ
ााा।ंाइााााददादा
ाए, एांाउा, औातउायओ
ीईदााााालांएअठिीआा
।
20
तउायओंाोाझए
एआघाीघा(ा-घा) आांााीा
ठयुाऋऔा(ाला
) ठयंं, एइाईभा:
()
आघाीृाुा;
()
ंाांाठयंंााााउंा
ोठा(उाए, ंाठयीा); ा
()
तआीाऔताीठाउंा
ोअ।
4
THE GAZETTE OF INDIA : EXTRAORDINARY
[PART II—SEC. 3(i)]
20घ
उाए, एइाईठााााताएयए
ा20ााआााााा, ांााठय
ादइाईअायउयाप”;
(v) ा30 ा, मयऔाअं:ादाएं, अाय्: -
"ृयंयाअुं
30दइाईअतएउअुंाााा
5उयांाै।, इाईऐाााउ
तउायओझादइअुंाा, औ
उाीा, औअाऔइतयाा
डा।इउाए, दइाईााभदााएा:
()
ंााओााााभएउाै:
(i)
ीअंयााठया(इंएए109 ा2.3 ); औ
(ii)
दइाईअंाौाएअा
इाईाउा(इंएए109 ा2.7 )।
()
ठरइअुंउनाअठाओा
ाा, भै:
(i)
इअुंाअुाा।इाई
अुााएउुाायठ
अा।
(ii)
इाुााादइाईायदाईअुंठ
ा(इंएए37, ाा, आाऔआआां),
उााओभााउइाईइाय।
()
ठरअएइाईतयााुाऔाा
ाा।उााआाठठरअएा
औाउइाईायएइादादाा
एुा(इंएए109 ा2.8 )।एइाईठरअए
ााा:
(i)
अुंअीईीउनाा, अ
ादईादााअुिा;
(ii)
अुिीीउनआ; ा
(iii) अुिीीीाईएीईीाा।
[ाII—ण3(ii)]
ााा: अाा
5
30. ईइाईअउअुंए, ा5ायठांाै, ा23
अुाजंंऔोा, अुा, इाईााीई
ााृ।
30दईइाईअतअा5घ(ा30यअुं) य
ृ-यंयाअअुंाााा, इाई
ा30ााआएउॉ-फभ।”;
(vi) ा44ञञा, माअं:ादाएं, अाय्: -
"44[ठ1 ]।
44तऔां, ा20, 20औ20घडााऔा
11औ11ंदा।एइाईइंाइंएए109
ा7.1.12 अुाइंएए109 ंाा।इाईंअां
आीाुदअएंााअा
ीआा।
44ठरअईइाईतऔांाा
, इाईउााीआाअाइंएए8 ा
28 () ााअ।
44इंएएायुा(2024), ंा38 एइाईउं1 अ2026 ा
उाुाायठरअएा।
44
ृ-यंयाअुं, इंएए109 ंभ
।ा5-5घ, 30-30औ44डा।दइाईइंएए109 एं
ााााा।इादईइाईुााादफ
ााउाा7.2.51 अुाइंएए109 ंा
, इाईा30-30ााअएुाााा।
44ठरअईइाईाृ-यांयाअुंए
आ, उइाईाााााीआा
अाइंएए8 अुछ28() ााअ।”;
(vii) ठ, अुछ38 ा, माााएा, अाय्: -
"38
ा42 छ() अुा, दइाईतआंंाााा
ााीअाइाईींाा।इाईाा
दााााााउनहईदााापआघ
उल(अाय्ााापआबाऔइाईाााएााबा) ग
ााापआउलन।उ, इाई
दाउलायअृइुभै, ादइंएए113
ा72-73 य।”;
6
THE GAZETTE OF INDIA : EXTRAORDINARY
[PART II—SEC. 3(i)]
(viii) ठ1 ,
() ा5 ा, माााएा, अाय्: -
“5
आईएफआए7 ा42झ-42इंएए107 भदाादा
आईएफआए9 ांआंंैांयांै।
आईएफआए7 दएएाऔंंंा43-44इंएए
107 भदाादांयां।ा44
आईएफआए18 ंं, तुऔ, एु
इंएए118 ादााा।ा, आईएफआए7 ांखाांा
ाएए, इांखाओइंएए107 ाएाा।
() ा5 ा, माअं:ादाएा, अाय्: -
“6.
ा44औ44आईएफआए19 ंयंदाा, एंं
इंएए119 ादााा।”।
() "ााा(इंएए) 109": —
(i) ा2.1 , () , उ-(ii) ा, मउ-ााएा, अाय्: -
“(ii)
टाााााापटीाइाा3.3.1 औ3.3.3 उलअाा
अाओअै; ा”;
(ii) ा2.3 ा, माअं:ादाएं, अाय्: -
“2.3ा6.10.1-6.10.2 औ2.7-2.8 ृ-यंयाअुं
ाै।ृ-यंयाअुंऐअुंैी
अंयााठयाएएइाईाैदउा
ासअंाृठ(उाए, ौ) या।ृ-
यंंअुंृ-याअुंऔत
भै।
2.3एइाईअअुं, ुओाअुा6.10.1-6.10.2 औ2.7-2.8 ा
।
(iii) अुछ2.3औंंामयअंःादााएा, अाय्:—
“-तअाएंाएं”
(iv) अुछ2.6 , “अुं, ” बांाा“ायअंया।” ब
ापाअुछामअुछााएा, अाय्:—
“अुंउं() अा() ाा, इाईीअ, ीाउअाओ
अुा-तीापअाआयीाऔुा, इा
ायआ।अंाओ[अुछ2.3यंाएंभै]
अुछ2.4 ाा, ाायठएलांदााादाइाईीअ
[ाII—ण3(ii)]
ााा: अाा
7
, ीअाउअाओअुा-तीापअाआयीईै
औाउएाठहईैऔुा, ाइाायआै।”;
(v) ा2.7 ा, माअं:ादाएा, अाय्: -
"2.8 एइाईायएा2.7-2.8 ादाृय
(ादा2.3 य) ंयाअुंयदएएैऔइाईीअ
उअाओअुाीापउदएएैऔाएै।”;
(vi) ा5.1.3 ए, माााएा, अाय्: -
“5.1.3 ा5.1.1 अाओहए, ांाा, एइाईइंएए115 ा
ायठावााापादवााापइंएए115 अुाए
यतघभ(ाइाईइंएए115 ा63 अुा
वााठा)।”;
(vii) ा6.9.13 ा, माअंःादएाएं, अाय्: -
"6.10 ृयंयाअुं
6.10.1 ृ-यंंुछअुंायुाजंजं
ादाा।ा6.3.7 उलअाओअठि, ऐजं
ंंए, एाााएठयाााायुा
ाीअु, जंंयउांंाा
ठीााअठयाृ-यअु।इअधाी
अांअाएंऐजंंंा।
6.10.2 दजंउाृ-यंयाअुं
ाएायुाीघायैा6.10.1 अुादएएआइ
ादाा, इायुाा6.3.3 ााआअ
ंााााा।”;
(viii) ा7.1.10 ा, माअंःादएाएं, अाय्: -
"7.1.11 [ठ1 ]
7.1.12 ताऔां, इंएए109 औइंएए107
ंदा, ा7.2.47-7.2.49, 3.1.2, 3.3.8-3.3.10, 4.1.8, 4.1.10,
4.1.16औ4.1.20डा।इा4.1.10, 4.1.13, 4.1.14, 4.1.16,
4.1.17, 4.1.20, 4.1.21 औ4.1.23 ंदा।एइाईइं1
अ2026 ाउाुाायठरअएा।
7.1.13 [ठ1 ]
7.1.14 इंएएायुा(2024), ंा2.1 () (ii), ा5.1.3 औठएइाई
उं1 अ2026 ाउाुाायठरअएा
।
8
THE GAZETTE OF INDIA : EXTRAORDINARY
[PART II—SEC. 3(i)]
7.1.15 ृ-यंयाअुं, ा2.3-2.3, 2.8, 6.10.1-6.10.2,
7.2.51-7.2.53, औ2.7-2.8 डााऔा2.6 ंदा।एइाईइं
1 अ2026 ाउाुाायठरअएा।”;
ix ा7.2.46 ा, मयऔाााएं, अाय्: -
"तऔांएं
7.2.47 ईइाई, इंएए8 अुा, 'ताऔा' दएएं
यवाा; ाउा, ाउला7.2.48–7.2.49 दा
ा।इागाफईअाओए, 'ांअुी' उाय
ठरअीुआााए, इाईाइंा।
7.2.48 दंाए, इंादाएछअाााा
।ईंाछअााा, दऐादाा
ा, ऐाा'ाधाा' ं।दईंाछअ
ााा, इंााा, तंत
औताुआएाा; औदईंा
, उााीा, 'ाठअय' (ााभादअउुि
घ) ुआएाा।
7.2.49 इाीाा4.1(तआा) एअुाययं
ांअुीा, एइाईतआयए
ंाठाादा:
()
ाऔंाायठीईा; ा
()
ंााायठाऔा।
इंएएायुाएं(2024)
7.2.50 एइाईा2.1 () (ii) एइंएए(2024) एायुााादएएं
ायठरअाउाापैायठरअीुआ
ापाैइाईउंा।
ृ-यंयाअुंएं
7.2.51 ईंाा2.3–2.3, 2.8 औ2.7–2.8 इंएए8 अुा, ांअु
ीा(ाईंााइंा) थऔ
ठाउहए, यवाा।ांअुीाए
ठरअीुआ, ायठरअअााईअठरअ
।ंाइंअुायएछअुः
ुीआा।ंाछअुःुीअु
, दऐाादृउां।दंाछअ
ुःु, छाऔइंांअुीा
[ाII—ण3(ii)]
ााा: अाा
9
ीादअं, उठरअीुआ, ांाठ
आ(ााभादअघ, ाउ) ाा।
7.2.52 दईअुं, ृ-आाठ(ादा2.3य) ांया, ा
2.7−2.8 ईअाओाठाइंएए109 ाा
ाा, दइाई, ांअुी, इअुंा2.5 अुा
'ााााधउलााााा' अुंअठय
ाीअु।
7.2.53 ईइाईा6.10.1–6.10.2 , ुआअुीााउादएए
एजंंं, ा।ुआअुीा, दइाई
ऐजंंंापीअु, ृ-आाठ(ादा
2.3ााा) ंंदअुंजंदाा, ंु
जंा6.10.1–6.10.2 अुादएजंंंदाा।”;
(x)
ठ, ‘ा’ ीठााांंा, “म” बां
ाा“ी।” बापाअंअुछामअुछ
ादााएा, अाय्:—
“मबइंएए32 ा11, इंएए107 ठाइंएए113 ठ
ठादााऔइाइाउइंएए32, इंएए107 ाइंएए
113 यअोादाा:
() ऋ;
() ाभाइंू;
() उल;
(घ) तआ;
(ङ) त; ा
() ता।”;
(xi) ठ, -
() ा2.6 ा, मयऔाअंःादााएा, अाय्: -
“ृ-आाठअुं
2.7 ुछअुंृ-आाठ(ादा2.3ााा) ांयै,
एइाईाधैदउन, उऔउी
।इअुंंंाओाइाईइााााडाद
उीउअौाादााा, उा
उ।इाईाअुिीईवााठ
ा, दााअुंअा-
10
THE GAZETTE OF INDIA : EXTRAORDINARY
[PART II—SEC. 3(i)]
ा, उीाऔंाीयदअुिीदाा
एायठादााएा।ईइाईा2.4 ई
ोा, ऐीदइादअुंइाई
ीअउअाओअुाा।ईइाईऐअुं
औउअअउअाओअुाए,
दअुंीअौाी'ुा' औआीउभ
।ईइाईी'ुा' ाा, इायपाा
दउााईदअुिीीीाई
।
2.8 अाठदईंाी'ुा' ा, ंाअछ,
ाऔा-ा(ादाााा
उब) उऔंााादााएा।ंा'उ
-ा' ााय, ाृठौााा
ीाााउा-ढाऔंांााीां
ाउा-ढाधाहए।दंा'ुा'
ा, 'उ-ा' 12 ााा।”;
()
ा3.1.2 ा, मयऔाडााएा, अाय्: —
“ांाााापी
3.1.2ा3.1.2 ाा, ईइाईदतआाताउ
ाइाईउंाउंीा
(ा3.1.1)।दतआीाउापीा
ांाअाापाैाआांांठ
ा(ा3.2.3)।ईइाईा3.3.8 ााल
ु, दताीााापीा;
ाापाादअुंयााय,
ाउीापा(ा3.3.1) ााअाााप
एााा(ा3.3.2)।”;
() ा3.3.7 ा, ाडाएं, अाय्: —
“3.3.8 ा3.1.2ीाताीााी
ा, इॉाइाता(ाताा
ा) , एइाईता(ाउा) ीा
ुिाााा, अ, औयअ, इाईऐाुाेुदा
ठा:
()
ंााुाेा, ाीईवााठ
ा;
[ाII—ण3(ii)]
ााा: अाा
11
()
ंााुाेठााएउीाा
हीईवााठा; औ
()
इॉुााुडााणा।
3.3.9 ा3.3.8() ाए, इॉुााुडा
ा, उीाएंऐदुाेाएएा
ादााादाााऔा3.3.8() औ() दएएां
ाऔा।ा,
ा, ुाेााइाईी
ाीाय।
3.3.10 ईइाईइॉुाााइादता(ात
ा) एा3.3.8 ााुा, उउ
इॉुााठएदएएाााा।”;
(घ) ा4.1.8 ा, माअंःादााएा, अाय्:-
“4.1.8
ायदादतआांााएुा
उावाअु, दंाबानअ-अाा
डा।बााायइादाददंाद
एदााा, दइादंादाुआाा।दफ
, ंााुआीांदंाुाउा
औाअाादअएदााा।ंा
ाएुाउावाअुै, ददऐुड
ुाउााा(उाए, ाभााला
दुाल), ादाााााा
—ऐंाउााआंाा।”;
(ङ)
ा4.1.10 ा, माााएा, अाय्: —
“4.1.10
ददतआईंायंााा
ा(उाए, दआाुाठादाा
ााउीअढाईा), ंाायठाादा
उंायााउनाांाा,
औाााबााुा।ाय
एंांााठयींााीादएा,
ंााठयऔाउनांा
ाालांाा।ंादआघा(अाय्ठ) ीृ
ालांीआांाााा
।आघाीृअआलांाय
ादांााऔबााुा,
एंा।उाए, एऐतीुाी
बाढााएंखाुााा, औ
एऐतीबाढाईयाभाां
12
THE GAZETTE OF INDIA : EXTRAORDINARY
[PART II—SEC. 3(i)]
एहाा।ा, इाीअंााद
ांााऔाााबा
ाुाा, दछहएुाऔऋृएंंा।
ा, आघाीृौुाउाऔा
ाठयंं, औंााउठयी
दाा।(ा4.1.18 ।)
“4.1.10
ुछा, एआाऐंाा
ंाााऔाए
ुाउावाअुै, कंुंआघाीृाुा
उाऔााांंा।उाए, द
ऋबाएायठाादााा, दााय
उयंाायठाा।ऐा, ा4.1.10
ा, तआऐंााै
औाााबाुाै—द, औ,
ंांठृ, ंाा, ांाो
ा(ंुऐआाा) दतंाा
ाफीअ।ुछठ, ंाएुालांाय
; ंु, अठ, एाालांाआ
ा।द—हाादश—दंा
ााफीअै, ंाृलांीआा।”;
() ाा4.1.13 , '‘ङ’ ’ औउंं'श' ा, म''
औउांं'श' अंःादााएा, अाय्: —
“ङ
ईए, बााएऋ
ठरअएंखाआाजंुओ
ााादााादाय
ठरअौाायउयंा
यापा।
अंंाऋबा
याा।
श
ंााााा
एंबाुाै।
इाईादंाा
ठययााउना
ंाााएंबा
ुाै(ा4.1.10 )।
दायउयापीआघा
घठ, बाआाअंींखा
ाीा,
ठा
ंााएउावा
अुाै।इादआघा
ीृंउाएंा
ठयंं, इाईआ
लांायाद
[ाII—ण3(ii)]
ााा: अाा
13
तआाएंबा
ुाैा।
अःइाईलांदंा
ंाठ, ंाा
ऐत
ंाा
यन, ंां
ा, कंुायउयंं
आाभ(ा4.1.10
)।
दीअौाईाऐ
ंााउनाय
न, अःइाईयाद
उिऋंााााा
एंबाुाै।”।
(छ) ा4.1.14 , ा, ‘‘’’ औउंं‘श’ ा‘’ औउा
ंं‘श’ अंःादााएा, अाय्:—
“झ
झएबााएऋछ
ठरअौााा-ायठायल
ांआंएठर
अादााा।
श
ंााााा
औबााुा।
ंााए(ायल
ां) अुदााा, एुा
ऋाा।इएंा
ाएुाऋवााअंै(ा
4.1.8 )।”
() ा4.1.16 ा, माााएा, अाय्: -
“4.1.16 ऐाउातआआअााा
औठांााााा
एंबाुा।उााय, दंांउं
ैददायाअंखााााउदएा
तआाृ, ऐंााउा
वाअु।ठा, ऐाा4.1.2() ा4.1.2()
योाा।
14
THE GAZETTE OF INDIA : EXTRAORDINARY
[PART II—SEC. 3(i)]
“4.1.16ा4.1.15 यउाउन, दतआ
‘-आ’ ाएं।दतआ-आाएंउ
ााएं, दइाईााापाअंअांा
यआााउना।अब, इाईुखः
ाऋायआाअवि
।उााय, दाााापाअंअांा
दंइाईीयआााउना
।”
(झ)ा4.1.17 ा, माााएा, अाय्:-
“4.1.17 ा, थददतआ-आाएंै, अआ
आउतआा4.1.2() ा4.1.2() यो
ाअया।ऐ, ाएलांा
अा(‘अंया’) दृीातआ
ंाााअंयआअााधा
ंं, ादायठदाादंााााा
एंबाुाैा।इाईादंंअ
ंावाओ, दााााअऋअाा,
दााा।दतआंदअाा
उनैअााइाैएंबाा
ाुाअु, ऐतआा4.1.2() औ
ा4.1.2() योा।थदअंयआांत
आांैअा-तआां, अआइलांाा
।”।
(ञ) ा4.1.20 ा, माााएा, अाय्: -
“4.1.20 -आाओाुछा-, ईयायहंा
ं(ां) ाउहएतआादएाा
ुााााा।ांीएअा,
यदतअंययायााउनद
ााआंदंंांदााएा।इांा
ुाीााए‘ॉफॉुांा’ ाधाीा,
ऋंउनाअंयाी
ाांधअाुाआं।ऐ, दांा
ाााएंबाुााअाा
यायउचाांीयुायपाउन।इा-
, दांाा4.1.17 ाा4.1.21 4.1.26 ा
अु।”।
“4.1.20ुछ-, हऋभाा4.1.20
याओा, ुःऐउावाएंैदा
(ाा) ंयऋंाएंदाा।
उााय, दंइाईीााउअंयआाए
[ाII—ण3(ii)]
ााा: अाा
15
ीा, ाुुयाुाउन।ऐंइाई
ठषाषऋा।ाठषऋााऔ
ंइाईााइाई, षऋा, ा
ठषऋहएाषीईवााठा
।ऐऋाा4.1.21 4.1.26 ाा4.1.7
4.1.19 ाअु।”
() अुछ4.1.21 , “ऐ-” बांाा“बाुाै, द,
:” बापाबामाााएा, अाय्:-
"4.1.21 उ-ंाुडउै, ादा4.1.20 य
, एदााएंैऔबााुा
ााैद: "
()ा4.1.23 ा, माााएा, अाय्: -
“4.1.23 अंयएाअऐअ, ंाा
ाााएंबाुा।इलां
ए, अंयऐतभै, अाओ
ााआै(ाा4.1 ), कंुंाााा
ाएंबाुाुल— उााय, ुछटा
ा।ा, ऐटााअलअ, अाऐठ
टाुाभदऐठाअुउा
अाा(उााय, ाादाा), उंाा
ाााएंबाुाुलााएं।”;
(xii) ठ1 , ा3 ा, माााएा, अाय्:-
“3. आईएफआए9 ांंा7.1.1 7.1.3 इंएए109 भ
दाा, दाांयुंै।ा7.1.11 भदा
ा, दआईएफआए18, ‘तुएं’ य
ादएएंंं, अुााायादा।
ा7.1.13 भदाा, दतएंांं
ंांअुंं, ीाअु।ाआईएफआए
9 ाांाएााएउ, इाांइंएए109
ाएाा।”।
(घ) "ााा(इंएए) 110" : -
(i) ठ, ा74 ा, माााएा, अाय्: -
“74 ऐंंंावाााआ।ईाअायाा
ाएा, ाउीायुेीा
।ईउाअाया, ी
ेाविाउीायुेी
16
THE GAZETTE OF INDIA : EXTRAORDINARY
[PART II—SEC. 3(i)]
ा।गांााय, अाअाय
य-ायअाााअायाधठफअअ
अविअाअा, अंअाऔअविाा
ा।”;
(ii) ठा, मठााएा, अाय्: —
"ठ
ाऔं
ठइंएएाएअनअंऔइइंएएअााअा।
ा
1-1घ[ठ1 ]
1ङइंएएायुा(2024), ंा74।इाईउं1 अ2026 ा
उाुाायठरअएा।”;
ंां
2-9 [ठ1 ]"
(iii) ठ'' औउंंा, मठऔााएं,
ाइा: -
"ठघ
अाााांय
ठइंएएाएअनअं।
1.
इंएए10, “ठरअा्घाएं” अंयठ, “ा-आा
”, इाांयदाा।
2.
इंएए37, “ाा, आाएंआआां” अंयठ, “ं,
ुायएंायुायउनअा”, इाांयदाा
।
(iii) ठ1 अुछ3 , “आईएफआए10 ठ” अ, बऔअंा“आईएफआए
10 ठअुछ1-1घा2-9” अ, बऔअंाएं।
(ङ) "ााा(इंएए) 7" : -
(i) ा37 ा, माााएा, अाय्: -
“37 द, ंुिउाांाआाांदाां
दााा, ाअठरअागा
धााा, उाायाांएंअग।”;
(ii) ा63 ा, माअं:ादााएा, अाय्:-
[ाII—ण3(ii)]
ााा: अाा
17
"64 [ठ1 ]
65
इंएएायुा(2024), ंा37. एइाई1 अ2026 ाउा
ुाायठरअएउंा।”;
(iii) ठ1 , ा6 ा, माअं:ादााएा, अाय्:
“7. आईएए7 ा64 भदाादआईएफआए18 ा
ांंं, तुऔ() दां,
ंंबौाा, एााायदााा।,
आईएए7 ांखााअुााएए, ांखाइंएए7
ाएाा।
8. आईएए7 ा37 द, ंुिउाांांए
ाभांयइंएए7 ादाादइंएए27, अत
अअ-अताभााउाल
।”;
[फा. ं. 01/01/2009-ए-V (ाXIV)]
ाु, ंुि
ठ: ाा, अाा, ा2, ं3, उ-ं(i) ंखांा.ा. . 111 (अ), ा
16 फ, 2015 ााादएएऔअांखांा.ा.. 549 (अ), ा13 अ, 2025
ााअंांदएए।
MINISTRY OF CORPORATE AFFAIRS
NOTIFICATION
New Delhi, the 12th August, 2026
G.S.R. 725(E).— In exercise of the powers conferred by section 133 read with section 469 of the Companies
Act, 2013 (18 of 2013), the Central Government, in consultation with the National Financial Reporting Authority,
hereby makes the following rules further to amend the Companies (Indian Accounting Standards) Rules, 2015,
namely:—
1. Short title and commencement. -(1) These rules may be called the Companies (Indian Accounting Standards)
Amendment Rules, 2026.
(2) They shall come into force on the date of their publication in the Official Gazette.
2. In the Companies (Indian Accounting Standards) Rules, 2015, in the “Annexure”, under the heading “B. Indian
Accounting Standards (Ind AS)”, —
(A)
in “Indian Accounting Standard (Ind AS) 101”; —
(i)
after paragraph 39AI, the following paragraphs shall be inserted, namely:—
“39AJ
[Refer Appendix 1]
18
THE GAZETTE OF INDIA : EXTRAORDINARY
[PART II—SEC. 3(i)]
39AK
Annual Improvements to Ind AS (2024), amended paragraphs B5–B6. An entity shall apply those
amendments for annual reporting periods beginning on or after 1 April 2026.”
(ii) in Appendix B, for paragraphs B5 and B6, the following paragraphs shall be substituted, namely:—
“B5
An entity shall not reflect in its opening Ind AS Balance Sheet a hedging relationship of a type that
does not qualify for hedge accounting in accordance with Ind AS 109 (for example, many hedging
relationships where the hedging instrument is a stand-alone written option or a net written option;
or where the hedged item is a net position in a cash flow hedge for another risk than foreign currency
risk) [see paragraph 6.4.1(a) of Ind AS 109]. However, if an entity designated a net position as a
hedged item in accordance with previous GAAP, it may designate as a hedged item in accordance
with Ind ASs an individual item within that net position, or a net position if that meets the
requirements in paragraph 6.6.1 of Ind AS 109, provided that it does so no later than the date of
transition to Ind ASs.
B6
If, before the date of transition to Ind ASs, an entity had designated a transaction as a hedge but the
hedge does not meet the qualifying criteria for hedge accounting in paragraph 6.4.1(b)–(c) of Ind
AS 109, the entity shall apply paragraphs 6.5.6 and 6.5.7 of Ind AS 109 to discontinue hedge
accounting. Transactions entered into before the date of transition to Ind ASs shall not be
retrospectively designated as hedges.”;
(iii) in Appendix 1, for paragraph 14, the following paragraph shall be substituted, namely:—
“14. Paragraphs 34 to 39W, 39Y to 39AB and 39AD of IFRS 1 have not been included in Ind AS 101 as these
paragraphs relate to effective date and are not relevant in Indian context. Paragraph 39AJ of IFRS 1 has not
been included since it relates to amendments due to issuance of IFRS 18, Presentation and Disclosure in
Financial Statements, for which corresponding Ind AS is under formulation. However, in order to maintain
consistency with paragraph numbers of IFRS 1, these paragraph numbers have been retained in Ind AS
101.”.
(B)
in “Indian Accounting Standard (Ind AS) 107”; —
(i)
after paragraph 5A, the following paragraphs shall be inserted, namely:—
“5B Paragraph 30A applies only to contracts to buy nature-dependent electricity that satisfy the requirements in
paragraph 2.3A of Ind AS 109 and are outside the scope of that Standard in accordance with paragraphs
B2.7–B2.8 of Ind AS 109.
5C Paragraph 30B applies only to contracts that satisfy the requirements in paragraph 2.3A of Ind AS 109 and
have been designated in a cash flow hedging relationship in accordance with paragraph 6.10.1 of Ind AS
109.
5D Paragraph 30C applies only to contracts that satisfy the requirements in paragraph 2.3A of Ind AS 109 and
have been entered into with regards to an entity’s electricity purchases. These contracts comprise those:
(a)
within the scope of Ind AS 109; and
(b)
outside the scope of Ind AS 109 in accordance with paragraph 2.4 of that Standard, including
those excluded in accordance with paragraphs B2.7–B2.8 of that Standard.”;
(ii) in paragraph 11A ;—
(a) for the words “it shall disclose”, the words “it shall disclose, for each class of investment” shall be
substituted;
(b) for item ‘c’ and entries relating thereto, the following item and entries shall be substituted,
namely ;—
“(c) the fair value at the end of the reporting period.”
(c) after item (e) and entries relating thereto, the following item and entries shall be inserted, namely ;—
“(f) the fair value gain or loss presented in other comprehensive income during the period, showing
separately the fair value gain or loss related to investments derecognised during the reporting
period and the fair value gain or loss related to investments held at the end of the reporting period.”;
(iii) in paragraph 11B, after item (c) and entries relating thereto, the following item and entries shall be inserted,
namely:—
“(d)
any transfers of the cumulative gain or loss within equity during the reporting period related to the
investments derecognised during that reporting period.”;
[ाII—ण3(ii)]
ााा: अाा
19
(iv) after paragraph 20A, the following paragraphs shall be inserted, namely:—
“20B An entity shall disclose the information required by paragraph 20C by class of financial assets measured
at amortised cost or fair value through other comprehensive income and by class of financial liabilities
measured at amortised cost. The entity shall consider how much detail to disclose, the appropriate level
of aggregation or disaggregation, and whether users of financial statements need additional explanations
to evaluate any quantitative information disclosed.
20C
To enable users of financial statements to understand the effect of contractual terms that could change
the amount of contractual cash flows based on the occurrence (or non-occurrence) of a contingent event
that does not relate directly to changes in basic lending risks and costs (such as the time value of money
or credit risk), an entity shall disclose:
(a)
a qualitative description of the nature of the contingent event;
(b)
quantitative information about the possible changes to contractual cash flows that could result
from those contractual terms (for example, the range of possible changes); and
(c)
the gross carrying amount of financial assets and the amortised cost of financial liabilities subject
to those contractual terms.
20D
For example, an entity shall disclose the information required by paragraph 20C for a class of financial
liabilities measured at amortised cost whose contractual cash flows change if the entity achieves a
reduction in its carbon emissions.”;
(v) after paragraph 30, the following heading and paragraphs shall be inserted, namely:—
“Contracts referencing nature-dependent electricity
30A
An entity shall disclose in a single note in its financial statements information about contracts that meet
the criteria set out in paragraph 5B. In particular, the entity shall disclose information that enables users
of its financial statements to understand the effects these contracts have on the amount, timing and
uncertainty of its future cash flows and on its financial performance. To meet these objectives, an entity
shall disclose:
(a)
information about contractual features that expose the entity to:
(i)
variability in the underlying amount of electricity (see paragraph 2.3A of Ind AS 109); and
(ii)
the risk that the entity would be required to buy electricity during a delivery interval in which
the entity cannot use the electricity (see paragraph B2.7 of Ind AS 109).
(b)
information about unrecognised commitments arising from such contracts as at the reporting date,
including:
(i)
the estimated future cash flows from buying electricity under these contracts. The entity shall
apply its judgement when identifying the appropriate time bands within which to disclose the
estimated future cash flows.
(ii)
qualitative information about how the entity assesses whether a contract might become
onerous (see Ind AS 37, Provisions, Contingent Liabilities and Contingent Assets), including
the assumptions the entity uses in making this assessment.
(c)
qualitative and quantitative information about effects on the entity’s financial performance for the
reporting period. The disclosure is based on the information that is applicable to the reporting
period that the entity used to assess whether it has been a net purchaser of electricity (see paragraph
B2.8 of Ind AS 109). An entity shall disclose information for the reporting period about:
(i)
the costs arising from purchases of electricity made under the contracts, disclosing separately
how much of the purchased electricity was unused at the time of delivery;
(ii)
the proceeds arising from sales of unused electricity; and
(iii) the costs arising from purchases of electricity made to offset sales of unused electricity.
30B
An entity shall disaggregate, for its contracts that meet the criteria set out in paragraph 5C, the information
the entity discloses, by risk category, about the terms and conditions of hedging instruments in accordance
with paragraph 23A.
30C
If an entity discloses information about other contracts referencing nature-dependent electricity as
described in paragraph 5D (including those contracts described in paragraph 30B) in other notes in its
20
THE GAZETTE OF INDIA : EXTRAORDINARY
[PART II—SEC. 3(i)]
financial statements, the entity shall include cross-references to those notes in the single note required by
paragraph 30A.”;
(vi) after paragraph 44JJ, the following paragraphs shall be inserted, namely:—
“44KK [Refer Appendix 1].
44LL
Amendments to the Classification and Measurement of Financial Instruments, added paragraphs 20B,
20C and 20D and amended paragraphs 11A and 11B. An entity shall apply these amendments when
it applies the amendments to Ind AS 109 in accordance with paragraph 7.1.12 of Ind AS 109. The
entity need not provide the disclosures required by the amendments for any period presented before
the date of its initial application of the amendments.
44MM
In the reporting period in which an entity first applies Amendments to the Classification and
Measurement of Financial Instruments, the entity is not required to disclose the information that would
otherwise be required by paragraph 28(f) of Ind AS 8.
44NN
Annual Improvements to Ind AS (2024), amended paragraph B38. An entity shall apply those
amendments for annual reporting periods beginning on or after 1 April 2026.
44OO
Contracts Referencing Nature-dependent Electricity, which also amended Ind AS 109, added
paragraphs 5B–5D, 30A–30C and 44PP. An entity shall apply these paragraphs when it applies the
amendments to Ind AS 109. If an entity does not restate comparative information when it first applies
the amendments to Ind AS 109 in accordance with paragraph 7.2.51 of that Standard, the entity shall
not provide comparative information for the disclosures required by paragraphs 30A–30C.
44PP
In the reporting period in which an entity first applies Contracts Referencing Nature-dependent
Electricity, the entity need not disclose the quantitative information that would otherwise be required
by paragraph 28(f) of Ind AS 8.”;
(vii) in Appendix B, for paragraph B38, the following paragraph shall be substituted, namely:—
“B38
Paragraph 42G(a) requires an entity to disclose the gain or loss on derecognition relating to financial
assets in which the entity has continuing involvement. The entity shall disclose if a gain or loss on
derecognition arose because the fair values of the components of the previously recognised asset (ie
the interest in the asset derecognised and the interest retained by the entity) were different from the
fair value of the previously recognised asset as a whole. In that situation, the entity shall also disclose
whether the fair value measurements included significant unobservable inputs, as described in
paragraphs 72–73 of Ind AS 113.”;
(viii)
in Appendix 1, for paragraph 5, the following paragraphs shall be substituted, namely:—
“5
Paragraphs 42I-42S of IFRS 7 have not been included in Ind AS 107 as these paragraphs relate to
initial application of IFRS 9 which are not relevant in Indian context. Paragraphs 43-44BB related
to effective date and transition given in IFRS 7 have not been given in Ind AS 107 since it is not
relevant in Indian context. Paragraph 44KK relates to IFRS 18, Presentation and Disclosure in
Financial Statements, for which corresponding Ind AS 118 is under formulation. However, in order
to maintain consistency with paragraph numbers of IFRS 7, these paragraph numbers are retained in
Ind AS 107.
6.
Paragraphs 44OO and 44PP have been modified in context of IFRS 19 for which corresponding Ind
AS 119 is under formulation.”.
(C)
in “Indian Accounting Standard (Ind AS) 109”: —
(i) in paragraph 2.1, in item (b), for sub-item (ii), the following sub-item shall be substituted, namely:—
“(ii)
lease liabilities recognised by a lessee are subject to the derecognition requirements in
paragraphs 3.3.1 and 3.3.3 of this Standard; and”;
(ii) after paragraph 2.3, the following paragraphs shall be inserted, namely:—
“2.3A
Paragraphs 6.10.1–6.10.2 and B2.7–B2.8 apply only to contracts referencing nature-dependent
electricity. Contracts referencing nature-dependent electricity are contracts that expose an
entity to variability in the underlying amount of electricity because the source of electricity
generation depends on uncontrollable natural conditions (for example, the weather).
Contracts referencing nature-dependent electricity include both contracts to buy or sell
nature-dependent electricity and financial instruments that reference such electricity.
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2.3B
An entity shall not apply paragraphs 6.10.1–6.10.2 and B2.7–B2.8 by analogy to other contracts,
items or transactions.”;
(iii) after paragraph 2.3B and entries relating thereto, the following heading shall be inserted, namely: —
“Contracts to buy or sell non-financial items”;
(iv) in paragraph 2.6, for the paragraph beginning with the words “A contract to which” and ending with words
“scope of this Standard”, the following paragraph shall be substituted, namely:—
“A contract to which (b) or (c) applies is not entered into for the purpose of the receipt or delivery of the non-
financial item in accordance with the entity’s expected purchase, sale or usage requirements and,
accordingly, is within the scope of this Standard. Other contracts (which include contracts as described in
paragraph 2.3A) to which paragraph 2.4 applies are evaluated to determine whether they were entered into
and continue to be held for the purpose of the receipt or delivery of the non-financial item in accordance
with the entity’s expected purchase, sale or usage requirements and, accordingly, whether they are within
the scope of this Standard.”;
(v)
after paragraph 2.7, the following paragraph shall be inserted, namely:—
“2.8 An entity shall also apply paragraphs B2.7–B2.8 to assess whether contracts referencing nature-dependent
electricity (as described in paragraph 2.3A) are entered into and continue to be held for the purpose of the
receipt of electricity in accordance with the entity’s expected usage requirements.”;
(vi) for paragraph 5.1.3, the following paragraph shall be substituted, namely:—
“5.1.3
Despite the requirement in paragraph 5.1.1, at initial recognition, an entity shall measure trade
receivables at the amount determined by applying Ind AS 115 if the trade receivables do not contain
a significant financing component in accordance with Ind AS 115 (or when the entity applies the
practical expedient in accordance with paragraph 63 of Ind AS 115).”;
(vii)
after paragraph 6.9.13, the following paragraphs shall be inserted, namely:—
“6.10 Contracts referencing nature-dependent electricity
6.10.1
Some contracts referencing nature-dependent electricity are designated as hedging instruments in
hedges of forecast electricity transactions. In addition to the requirements in paragraph 6.3.7, for
such a hedging relationship an entity is permitted to designate as the hedged item a variable nominal
amount of forecast electricity transactions that is aligned with the variable amount of nature-
dependent electricity expected to be delivered by the generation facility as referenced in the hedging
instrument. The other hedge accounting requirements of this chapter continue to apply to such a
hedging relationship.
6.10.2
If the cash flows of the contract referencing nature-dependent electricity designated as the hedging
instrument are conditional on the occurrence of a forecast transaction that is designated as the hedged
item in accordance with paragraph 6.10.1, this forecast transaction is presumed to be highly probable
as required by paragraph 6.3.3.”;
(viii)
after paragraph 7.1.10, the following paragraphs shall be inserted, namely:—
“7.1.11 [Refer Appendix 1]
7.1.12
Amendments to the Classification and Measurement of Financial Instruments, which amended Ind
AS 109 and Ind AS 107, added paragraphs 7.2.47–7.2.49, B3.1.2A, B3.3.8–B3.3.10, B4.1.8A,
B4.1.10A, B4.1.16A and B4.1.20A. It also amended paragraphs B4.1.10, B4.1.13, B4.1.14, B4.1.16,
B4.1.17, B4.1.20, B4.1.21 and B4.1.23. An entity shall apply these amendments for annual reporting
periods beginning on or after 1 April 2026.
7.1.13 [Refer Appendix 1]
7.1.14
Annual Improvements to Ind AS (2024), amended paragraph 2.1(b)(ii), paragraph 5.1.3 and
Appendix A. An entity shall apply those amendments for annual reporting periods beginning on or
after 1 April 2026.
7.1.15
Contracts Referencing Nature-dependent Electricity, added paragraphs 2.3A–2.3B, 2.8, 6.10.1–
6.10.2, 7.2.51–7.2.53, and B2.7–B2.8 and amended paragraph 2.6. An entity shall apply these
amendments for annual reporting periods beginning on or after 1 April 2026.”;
(ix)
after paragraph 7.2.46, the following headings and paragraphs shall be inserted, namely:—
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[PART II—SEC. 3(i)]
“Transition for Amendments to the Classification and Measurement of Financial Instruments
7.2.47
An entity shall apply Amendments to the Classification and Measurement of Financial Instruments
retrospectively, in accordance with Ind AS 8, except as specified in paragraphs 7.2.48–7.2.49. For
the purposes of the requirements in these paragraphs, the date of initial application is the beginning
of the annual reporting period in which the entity first applies the amendments.
7.2.48
An entity is not required to restate prior periods to reflect the application of these amendments. An
entity may restate prior periods if, and only if, it is possible to do so without the use of hindsight. If
an entity does not restate prior periods, it shall recognise the effect of initially applying these
amendments as an adjustment to the opening balance of financial assets and financial liabilities and
the cumulative effect, if any, as an adjustment to the opening balance of retained earnings (or other
component of equity, as appropriate) at the date of initial application.
7.2.49
At the date of initial application of the amendments to the Application Guidance to Section 4.1 of
this Standard (Classification of financial assets), an entity shall disclose for each class of financial
assets that changed measurement category as a result of applying the amendments:
(a)
the measurement category and carrying amount determined immediately before the
amendments were applied; and
(b)
the measurement category and carrying amount determined immediately after the
amendments were applied.
Transition for Annual Improvements to Ind AS (2024)
7.2.50 An entity shall apply the amendment to paragraph 2.1(b)(ii) made by Annual Improvements to Ind AS
(2024) to lease liabilities that are extinguished on or after the beginning of the annual reporting
period in which the entity first applies that amendment.
Transition for Contracts Referencing Nature-dependent Electricity
7.2.51 An entity shall apply paragraphs 2.3A–2.3B, 2.8 and B2.7–B2.8 retrospectively in accordance with
Ind AS 8 using the facts and circumstances at the date of initial application (the date when an entity
first applies the amendments). The date of initial application shall be the beginning of a reporting
period, which might be a reporting period other than an annual reporting period. An entity need not
restate prior periods to reflect the application of these amendments. The entity is permitted to restate
prior periods only if it is possible to do so without the use of hindsight. If the entity does not restate
prior periods, it shall recognise any difference between the previous carrying amount and the
carrying amount at the date of initial application of these amendments in the opening retained
earnings (or other component of equity, as appropriate) at the beginning of that reporting period.
7.2.52 If a contract referencing nature-dependent electricity (as described in paragraph 2.3A) would be
outside the scope of Ind AS 109 as a result of applying the requirements in paragraphs B2.7−B2.8,
an entity is permitted, at the date of initial application, to irrevocably designate this contract as
measured at fair value through profit or loss in accordance with paragraph 2.5.
7.2.53 An entity shall apply paragraphs 6.10.1–6.10.2 prospectively to new hedging relationships designated
on or after the date of initial application. An entity is permitted, at the date of initial application, to
discontinue a hedging relationship in which a contract referencing nature-dependent electricity (as
described in paragraph 2.3A) has been designated as the hedging instrument, if the same hedging
instrument is designated in a new hedging relationship in accordance with paragraphs 6.10.1–
6.10.2.”;
(x)
in Appendix A, after the definition ‘transaction cost’ and entries relating thereto, for last paragraph
beginning with the words ‘The following terms’ and ending with the word ‘price’, the following paragraph
shall be substituted, namely:—
“The following terms are defined in paragraph 11 of Ind AS 32, Appendix A of Ind AS 107 or Appendix A
of Ind AS 113 and are used in this Standard with the meanings specified in Ind AS 32, Ind AS 107 or Ind
AS 113:
(a) credit risk;
(b) equity instrument;
(c) fair value;
(d) financial asset;
(e) financial instrument; and
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(f) financial liability.”;
(xi)
in Appendix B, —
(a) after paragraph B2.6, the following heading and paragraph shall be inserted, namely: —
“Contracts to buy nature-dependent electricity
B2.7 Some contracts referencing nature-dependent electricity (as described in paragraph 2.3A) require
an entity to buy and take delivery of the electricity when it is generated. These contractual
features expose the entity to the risk that it would be required to buy electricity during a delivery
interval in which the entity cannot use the electricity. The entity might also have no practical
ability to avoid making sales of unused electricity because the design and operation of the
electricity market in which the electricity is transacted under the contract require any amounts of
unused electricity to be sold within a specified time. When an entity applies the requirements in
paragraph 2.4, such sales are not necessarily inconsistent with the contract being held in
accordance with the entity’s expected usage requirements. An entity entered into and continues
to hold such a contract in accordance with its expected electricity usage requirements if the entity
has been, and expects to be, a net purchaser of electricity for the contract period. An entity is a
net purchaser of electricity if it buys sufficient electricity to offset the sales of any unused
electricity in the same market in which it sold the electricity.
B2.8 In determining whether an entity is a net purchaser of electricity, the entity shall consider
reasonable and supportable information (that is available without undue cost or effort) about its
past, current and expected future electricity transactions over a reasonable amount of time. The
entity identifies ‘a reasonable amount of time’ by considering the variability in the amount of
electricity expected to be generated due to the seasonal cycle of the natural conditions and the
variability in the entity’s demand for electricity due to its operating cycle. In determining whether
the entity has been a net purchaser, ‘a reasonable amount of time’ shall not exceed 12 months.”;
(b) after paragraph B3.1.2, the following heading and paragraph shall be inserted, namely: —
“ Date of initial recognition or derecognition
B3.1.2A Unless paragraph 3.1.2 applies, an entity shall recognise a financial asset or financial liability on
the date on which the entity becomes party to the contractual provisions of the instrument (see
paragraph 3.1.1). A financial asset is derecognised on the date on which the contractual rights
to the cash flows expire or the asset is transferred (see paragraph 3.2.3). Unless an entity elects
to apply paragraph B3.3.8, a financial liability is derecognised on the settlement date, which is
the date on which the liability is extinguished because the obligation specified in the contract
is discharged or cancelled or expires (see paragraph 3.3.1) or the liability otherwise qualifies
for derecognition (see paragraph 3.3.2). ”;
(c) after paragraph B3.3.7, the following paragraphs shall be inserted, namely: —
“B3.3.8
Despite the requirement in paragraph B3.1.2A to derecognise a financial liability on the
settlement date, when settling a financial liability (or part of a financial liability) in cash using
an electronic payment system, an entity is permitted to deem the financial liability (or part of
it) to be discharged before the settlement date if, and only if, the entity has initiated a payment
instruction that resulted in:
(a)
the entity having no practical ability to withdraw, stop or cancel the payment
instruction;
(b)
the entity having no practical ability to access the cash to be used for settlement as
a result of the payment instruction; and
(c)
the settlement risk associated with the electronic payment system being
insignificant.
B3.3.9
For the purpose of applying paragraph B3.3.8(c), settlement risk associated with an electronic
payment system is insignificant if its characteristics are such that completion of the payment
instruction follows a standard administrative process and the time between the criteria in
paragraphs B3.3.8(a) and (b) being met and the cash being delivered to the counterparty is
short. However, settlement risk would not be insignificant if completion of the payment
instruction were subject to the entity’s ability to deliver cash on the settlement date.
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[PART II—SEC. 3(i)]
B3.3.10
An entity that elects to apply paragraph B3.3.8 to the settlement of a financial liability (or part
of a financial liability) using an electronic payment system shall apply that paragraph to all
settlements made through the same electronic payment system.”;
(d) after paragraph B4.1.8, the following paragraph shall be inserted, namely: —
“B4.1.8A
In assessing whether the contractual cash flows of a financial asset are consistent with a basic
lending arrangement, an entity may have to consider the different elements of interest
separately. The assessment of interest focuses on what an entity is being compensated for,
rather than how much compensation an entity receives. Nonetheless, the amount of
compensation an entity receives may indicate that the entity is being compensated for
something other than basic lending risks and costs. Contractual cash flows are inconsistent with
a basic lending arrangement if they are indexed to a variable that is not a basic lending risk or
cost (for example, the value of equity instruments or the price of a commodity) or if they
represent a share of the debtor’s revenue or profit, even if such contractual terms are common
in the market in which the entity operates.”;
(e) for paragraph B4.1.10, the following paragraphs shall be substituted, namely: —
“B4.1.10
If a financial asset contains a contractual term that could change the timing or amount of
contractual cash flows (for example, if the asset can be prepaid before maturity or its term can
be extended), the entity must determine whether the contractual cash flows that could arise
over the life of the instrument due to that contractual term are solely payments of principal and
interest on the principal amount outstanding. To make this determination, the entity must assess
the contractual cash flows that could arise both before, and after, the change in contractual cash
flows, irrespective of the probability of the change in contractual cash flows occurring. The
entity may also need to assess the nature of any contingent event (ie the trigger) that would
change the timing or amount of the contractual cash flows. While the nature of the contingent
event in itself is not a determinative factor in assessing whether the contractual cash flows are
solely payments of principal and interest, it may be an indicator. For example, compare a
financial instrument with an interest rate that is reset to a higher rate if the debtor misses a
particular number of payments to a financial instrument with an interest rate that is reset to a
higher rate if a specified equity index reaches a particular level. It is more likely in the former
case that the contractual cash flows over the life of the instrument will be solely payments of
principal and interest on the principal amount outstanding because of the relationship between
missed payments and an increase in credit risk. In the former case, the nature of the contingent
event relates directly to, and the contractual cash flows change in the same direction as, changes
in basic lending risks and costs. (See also paragraph B4.1.18.)
B4.1.10A
In some cases, a contingent feature gives rise to contractual cash flows that are consistent with
a basic lending arrangement both before and after the change in contractual cash flows, but the
nature of the contingent event itself does not relate directly to changes in basic lending risks
and costs. For example, the interest rate on a loan is adjusted by a specified amount if the debtor
achieves a contractually specified reduction in carbon emissions. In such a case, when applying
paragraph B4.1.10, the financial asset has contractual cash flows that are solely payments of
principal and interest on the principal amount outstanding if, and only if, in all contractually
possible scenarios, the contractual cash flows would not be significantly different from the
contractual cash flows on a financial instrument with identical contractual terms, but without
such a contingent feature. In some circumstances, the entity may be able to make that
determination by performing a qualitative assessment; but, in other circumstances, it may be
necessary to perform a quantitative assessment. If it is clear, with little or no analysis, that the
contractual cash flows are not significantly different, an entity need not perform a detailed
assessment.”;
(f)
in paragraph B4.1.13, in the table, after item “Instrument E” and the entries relating thereto, the
following item and the entries shall be inserted, namely: —
“Instrument EA
Instrument EA is a loan with an interest rate that is
adjusted every reporting period by a fixed number of
basis points if the debtor achieves a contractually
specified reduction in carbon emissions during the
preceding reporting period.
Analysis
The contractual cash flows are solely payments of
principal
and
interest
on
the
principal
amount
outstanding.
The entity considers whether the contractual cash flows
that could arise both before and after each change in
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25
The maximum possible cumulative adjustments would
not significantly change the interest rate on the loan.
contractual cash flows are solely payments of principal
and interest (see paragraph B4.1.10).
If the contingent event of achieving the carbon emissions
target occurs, the interest rate is adjusted by a fixed
number of basis points, resulting in contractual cash
flows
that
are
consistent
with
a
basic
lending
arrangement. It is only because the nature of the
contingent event itself does not relate directly to changes
in basic lending risks and costs that the entity cannot
conclude – without further assessment – whether the cash
flows on the financial asset are solely payments of
principal and interest.
The entity therefore assesses whether, in all contractually
possible scenarios, the contractual cash flows would not
be significantly different from the contractual cash flows
on a financial instrument with identical contractual terms,
but without the contingent feature linked to carbon
emissions (see paragraph B4.1.10A).
Because any adjustments over the life of the instrument
would not result in contractual cash flows that are
significantly different, the entity concludes that the loan
has contractual cash flows that are solely payments of
principal
and
interest
on
the
principal
amount
outstanding.”.
(g) in paragraph B4.1.14, in the table, after item “Instrument H” and and entries relating thereto, the
following item and the entries shall be inserted, namely: —
“Instrument I
Instrument I is a loan with an interest rate that is adjusted
every reporting period to track the movements in a
market-determined
carbon
price
index
during
the
preceding reporting period.
Analysis
The contractual cash flows are not solely payments of
principal
and
interest
on
the
principal
amount
outstanding.
The contractual cash flows are indexed to a variable (the
carbon price index), which is not a basic lending risk or
cost.
The
contractual
cash
flows
are
therefore
inconsistent with a basic lending arrangement (see
paragraph B4.1.8A).”
(h) for paragraph B4.1.16, the following paragraphs shall be substituted, namely: —
“B4.1.16
This may be the case if the financial asset represents an investment in particular assets or cash
flows and hence the contractual cash flows are not solely payments of principal and interest on
the principal amount outstanding. For example, if the contractual terms stipulate that the
financial asset’s cash flows increase as more automobiles use a particular toll road, those
contractual cash flows are inconsistent with a basic lending arrangement. As a result, the
instrument would not satisfy the condition in paragraphs 4.1.2(b) and 4.1.2A(b).
B4.1.16A The situation described in paragraph B4.1.15 may also arise if a financial asset has ‘non-recourse’
features. A financial asset has non-recourse features if an entity’s ultimate right to receive cash
flows is contractually limited to the cash flows generated by specified assets. In other words,
the entity is primarily exposed to the specified assets’ performance risk rather than the debtor’s
credit risk. For example, a creditor’s ultimate right to receive cash flows may be contractually
limited to the cash flows generated by specified assets of a structured entity.”;
(i)
for paragraph B4.1.17, the following paragraph shall be substituted, namely: —
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[PART II—SEC. 3(i)]
“B4.1.17
However, the fact that a financial asset has non-recourse features does not in itself necessarily
preclude the financial asset from meeting the condition in paragraphs 4.1.2(b) and 4.1.2A(b).
In such situations, the creditor is required to assess (‘look through to’) the link between the
particular underlying assets or cash flows and the contractual cash flows of the financial asset
being classified to determine whether those contractual cash flows are payments of principal
and interest on the principal amount outstanding. An entity shall also consider how this link is
affected by other contractual arrangements, such as subordinated debt or equity instruments
issued by the debtor. If the terms of the financial asset give rise to any other cash flows or limit
the cash flows in a manner inconsistent with payments representing principal and interest, the
financial asset does not meet the condition in paragraphs 4.1.2(b) and 4.1.2A(b). Whether the
underlying assets are financial assets or non-financial assets does not in itself affect this
assessment.”;
(j)
for paragraph B4.1.20, the following paragraphs shall be substituted, namely: —
“B4.1.20
In some types of transactions with non-recourse features, an issuer may prioritise payments to
the holders of financial assets using multiple contractually linked instruments (tranches). Each
tranche has a subordination ranking that specifies the order in which any cash flows generated
by the issuer from the underlying pool of financial instruments are allocated to the tranche. The
prioritisation of payments to the holders of these tranches is established through a waterfall
payment structure that creates concentrations of credit risk and results in a disproportionate
allocation of cash shortfalls from the underlying pool between the tranches. In such situations,
the holders of a tranche have the right to payments of principal and interest on the principal
amount outstanding only if the issuer generates sufficient cash flows to satisfy higher‑ranking
tranches. In these types of transactions, the holders of a tranche apply paragraphs B4.1.21–
B4.1.26 instead of paragraph B4.1.17.
B4.1.20A Some transactions that may contain multiple debt instruments and appear to have the
characteristics described in paragraph B4.1.20 are, in fact, lending arrangements that are
structured to provide enhanced credit protection to a creditor (or group of creditors). For
example, a structured entity may be set up to hold the underlying assets that will generate the
cash flows to repay the creditor. The structured entity issues senior and junior debt instruments.
The creditor holds the senior debt instrument and the entity sponsoring the structured entity
that holds the junior debt instrument has no practical ability to sell the junior instrument without
the senior debt instrument becoming payable. The holders of such debt instruments apply
paragraphs B4.1.7–B4.1.19 instead of paragraphs B4.1.21–B4.1.26.”;
(k)
in paragraph B4.1.21, for the words beginning with “In such transactions” and ending with
“outstanding only if”, the following paragraph shall be substituted, namely: —
“B4.1.21
In transactions that contain contractually linked instruments, as described in paragraph B4.1.20,
a tranche has cash flow characteristics that are payments of principal and interest on the
principal amount outstanding only if:”;
(l)
for paragraph B4.1.23, the following paragraph shall be substituted, namely: —
“B4.1.23
The underlying pool must contain one or more instruments that have contractual cash flows
that are solely payments of principal and interest on the principal amount outstanding. For the
purposes of this assessment, the underlying pool can include financial instruments that are not
within the scope of the classification requirements (see Section 4.1) but that have contractual
cash flows that are equivalent to solely payments of principal and interest on the principal
amount outstanding—for example, some lease receivables. However, lease receivables that are
subject to residual value risk, or that comprise variable lease payments that are indexed to a
variable that is not a basic lending risk or cost (for example, a market rental rate), do not have
contractual cash flows that are equivalent to solely payments of principal and interest on the
principal amount outstanding.”;
(xii)
in Appendix 1, for paragraph 3, the following paragraph shall be substituted, namely:—
“3. Paragraphs 7.1.1 to 7.1.3 of IFRS 9 related to effective date have not been included in Ind AS 109 as
these paragraphs are not relevant in Indian context. Paragraph 7.1.11 has not been included since it
relates to amendments due to issuance of IFRS 18, Presentation and Disclosure in Financial
Statements, for which corresponding Ind AS is under formulation. Paragraph 7.1.13 has not been
included since it relates to early application of the amendments to the classification and measurement
of financial instruments which is not permitted in India. However, in order to maintain consistency
with paragraph numbers of IFRS 9, these paragraph numbers are retained in Ind AS 109.”.
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27
(D)
in “Indian Accounting Standard (Ind AS) 110”: —
(i)
in Appendix B, for paragraph B74, the following paragraph shall be substituted, namely:—
“B74 Such a relationship need not involve a contractual arrangement. A party is a de facto agent when the
investor has, the ability to direct that party to act on the investor’s behalf. A party might also be a de
facto agent when those that direct the activities of the investor have the ability to direct that party to
act on the investor’s behalf. The investor shall consider its de facto agent’s decision‑making rights and
its indirect exposure, or rights, to variable returns through the de facto agent together with its own
when assessing control of an investee.”;
(ii) for Appendix C, the following Appendices shall be substituted, namely: —
“Appendix C
Effective date and transition
This appendix is an integral part of the Ind AS and has the same authority as the other parts of the Ind AS.
Effective date
C1-C1D [Refer Appendix 1]
C1E
Annual Improvements to Ind AS (2024), amended paragraph B74. An entity shall apply those
amendments for annual reporting periods beginning on or after 1 April 2026.
Transition
C2-C9 [Refer Appendix 1]”
Appendix D
References to matters contained in other Indian Accounting Standards
This Appendix is an integral part of the Ind AS.
1. Appendix A, Distribution of Non-cash Assets to Owners contained, in Ind AS 10, Events after the
Reporting Period, makes reference to this Standard also.
2. Appendix A, Rights to Interests arising from Decommissioning, Restoration and Environmental
Rehabilitation Funds, contained in Ind AS 37, Provisions, Contingent Liabilities and Contingent
Assets, makes reference to this Standard also.”
(iii) in Appendix 1, in paragraph 3, for the words, letters and figure “Appendix C of IFRS 10”, the words, letters
and figures “Paragraphs C1-C1D and C2-C9 of Appendix C of IFRS 10” shall be substituted.
(E)
in “Indian Accounting Standard (Ind AS) 7”: —
(i)
for paragraph 37, the following paragraph shall be substituted, namely: —
“37
When accounting for an investment in an associate, a joint venture or a subsidiary accounted for at
cost, an investor restricts its reporting in the statement of cash flows to the cash flows between itself
and the investee, for example, to dividends and advances.”;
(ii) after paragraph 63, the following paragraphs shall be inserted, namely: —
28
THE GAZETTE OF INDIA : EXTRAORDINARY
[PART II—SEC. 3(i)]
“64 [Refer Appendix 1]
65
Annual Improvements to Ind AS (2024), amended paragraph 37. An entity shall apply that amendment
for annual reporting periods beginning on or after 1 April 2026.”;
(iii) in Appendix 1, after paragraph 6, the following paragraphs shall be inserted, namely:
“7.
Paragraph 64 of IAS 7 has not been included as it relates to amendments due to issuance of IFRS
18, Presentation and Disclosure in Financial Statements, for which corresponding Ind AS is
under formulation. However, in order to maintain consistency with paragraph numbers of IAS 7,
the paragraph number is retained in Ind AS 7.
8.
Reference to Equity method for accounting investment in an associate, a joint venture or a
subsidiary in paragraph 37 of IAS 7 has been deleted in Ind AS 7 as option to use equity method
in separate financial statements is not there under Ind AS 27, Separate Financial Statements.”.
[F. No. 01/01/2009-CL-V (Part. XIV)]
BALAMURUGAN D, Jt. Secy.
Note : The principal rules were published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i),
vide number G.S.R. 111(E), dated the 16th February, 2015 and last amended vide notification number G.S.R.
549(E),dated the 13th August, 2025.
Uploaded by Dte. of Printing at Government of India Press, Ring Road, Mayapuri, New Delhi-110064
and Published by the Controller of Publications, Delhi-110054.
SARVESH KUMAR
SRIVASTAVA
Digitally signed by SARVESH KUMAR SRIVASTAVA
Date: 2026.08.12 21:58:04 +05'30'