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CA Final · Financial Reporting · Financial Instruments: Disclosures

Ganga Pharma Ltd's accountant claims that paragraph 3(c) and paragraph 37 of Ind AS 107 contain operative disclosure requirements for the company. Under Appendix 1 to Ind AS 107, how should these paragraph numbers be understood?

Paragraphs 3(c) and 37 appear as Deleted in IFRS 7, and Ind AS 107 retains the numbers only to stay consistent with IFRS 7 numbering. They contain no operative requirement, so the accountant's claim that they impose disclosures is incorrect.

  1. AThey are operative and apply only to listed companies
  2. BThey are operative and apply only to Ind AS first-time adopters
  3. CThey are replaced by Ind AS 109 requirements
  4. DThey appear as 'Deleted' in IFRS 7 and their numbers are retained in Ind AS 107 to maintain consistency with IFRS 7 paragraph numbersCorrect

Explanation

Appendix 1 lists paragraph 3(c) and paragraph 37 among the paragraph numbers that appear as 'Deleted' in IFRS 7. The numbers are retained in Ind AS 107 for consistency, so they carry no disclosure requirement. The accountant's claim is therefore wrong.

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