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CA Final · Financial Reporting · Ind AS 108 Operating Segments

Ind AS 108 omits the IFRS 8 paragraph 2 scope wording, which tied application to entities whose instruments are publicly traded or being filed for public issue. What is the reason given for this difference in Ind AS 108?

The IFRS 8 scope wording was deleted because applicability of, or exemptions from, Indian Accounting Standards is governed by the Companies Act and the Rules made under it. The paragraph number was retained to stay consistent with IFRS 8 numbering.

  1. AApplicability or exemptions of Ind AS are governed by the Companies Act and the Rules made thereunder, though the paragraph number is retainedCorrect
  2. BInd AS 108 applies to all entities in India without any exception under any law
  3. CThe scope was removed because segment reporting is voluntary in India
  4. DThe scope was removed because transitional provisions are now in Ind AS 108

Explanation

The comparison appendix says the IFRS 8 scope text has been deleted because applicability or exemptions are governed by the Companies Act and the Rules thereunder. The paragraph number is kept for consistency with IFRS 8. Transitional provisions, by contrast, sit in Ind AS 101, not Ind AS 108.

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