As a true partner in nation building, ICAI has always ensured that Indian Accounting Standards (Ind AS) Framework remains converged with the globally accepted International Financial Reporting Standards (IFRSs) all the time, by constantly monitoring the global financial reporting scenario. It plays a critical role in our standard-setting framework by formulating new Ind ASs and amending the existing ones, as required, in line with the IFRSs as issued by the IFRS Foundation.
Recently, Ministry of Corporate Affairs has notified Ind AS 116, Leases which is applicable for accounting periods beginning on or after 1st April 2019. This will replace the existing standard Ind AS 17, Leases, the new Standard will usher in path breaking reform in accounting for leases and improve the quality of financial information. This will bring substantial visibility of lease commitments of companies, financing and operating model and, above all, will better reflect the economic reality.