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CA Final · Financial Reporting · Financial Instruments: Disclosures

Mehta Infra Ltd, a company migrating its reporting, asks where transitional provisions for first-time application of financial instrument disclosures are found. Paragraph 1 of Appendix 1 to Ind AS 107 states that the IFRS 7 transitional provisions are not given in Ind AS 107. Where are such transitional provisions included, where considered appropriate?

Such transitional provisions are included in Ind AS 101, First-time Adoption of Indian Accounting Standards, which corresponds to IFRS 1. Ind AS 107 does not reproduce the IFRS 7 transitional provisions because all Ind AS transitional provisions, wherever considered appropriate, have been placed in Ind AS 101.

  1. AIn Ind AS 8
  2. BIn Ind AS 109 only
  3. CIn Ind AS 1
  4. DIn Ind AS 101, First-time Adoption of Indian Accounting StandardsCorrect

Explanation

Appendix 1 states that all transitional provisions related to Ind ASs, where considered appropriate, are included in Ind AS 101, corresponding to IFRS 1. Hence Ind AS 107 omits IFRS 7's transitional text. Ind AS 8 and Ind AS 1 are not named for this purpose.

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