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CA Final · Financial Reporting · Ind AS 12 Income Taxes

A finance manager at Ashoka Textiles Ltd reviews Ind AS 12 paragraph numbering and makes four statements. Which statement is correct per Appendix 1 to Ind AS 12?

Ind AS 12 does not include IAS 12 paragraphs 89 to 98D and 98F on effective dates, as they are not relevant in India. The paragraph numbers are retained to maintain consistency with IAS 12 numbering.

  1. AParagraphs 89 to 98D and 98F are included in Ind AS 12 with Indian effective dates
  2. BParagraphs 89 to 98D and 98F of IAS 12 on effective date are not included, but the paragraph numbers are retained for consistencyCorrect
  3. CParagraphs 89 to 98D and 98F are renumbered as 1 to 10 in Ind AS 12
  4. DThe transitional provisions of SIC 25 are given in Ind AS 12, and Ind AS 101 has none

Explanation

The effective date paragraphs were not included since they are not relevant in the Indian context, but the numbers are retained to match IAS 12. SIC 25 transitional provisions are in Ind AS 101, not Ind AS 12, so the last option is wrong.

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