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CA Final · Financial Reporting · Ind AS 34 Interim Financial Reporting

Kaveri Pharma Ltd, an Ind AS reporting entity, wants to present its interim Statement of Profit and Loss in two separate statements: one showing the components of profit or loss and a second beginning with profit or loss and showing other comprehensive income. The finance head notes that IAS 34 permits this. What is the position under Ind AS 34?

The two-statement presentation is not permitted. Ind AS 34 allows only the single statement approach for the Statement of Profit and Loss, in line with Ind AS 1, whereas IAS 34 gives an option. The option paragraphs were deleted in Ind AS 34.

  1. APermitted, provided the second statement is presented immediately after the first
  2. BPermitted for quarterly reports but not for half-yearly reports
  3. CNot permitted, because Ind AS 34 allows only the single statement approach, consistent with Ind AS 1Correct
  4. DPermitted only if the entity has a foreign parent that reports under IFRS

Explanation

IAS 34 gives an option between a single statement and a two statement approach. Ind AS 34 allows only the single statement approach, in line with Ind AS 1, and the IAS 34 paragraphs giving the option are deleted. So the two-statement presentation is not allowed, regardless of frequency or parentage.

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