Company Law

Applicability of Accounting Standards (AS)

By CA.Rahul Singh Company Law Articles July 1, 2022 2 comments

Applicability of Accounting Standards

Corporate Entities

(To Follow either AS Notified by C.G -Companies (AS) Rules, 2006 or Ind A.S)

-Small & Medium Companies (SMC)

-Non-Small & Medium Companies (Non-SMC)

Non-Corporate Entities

(To follow either AS issued by ICAI or ICDS)

Level-I Entities – Large Size Entities (To Fully Comply All A.S–No Exemption)
Level-II Entities – Medium Size Entities (Certain exemptions-given in Ann-2)
Level-III Entities – Small Size Entities (Certain exemptions-given in Ann-2)
Level-IV Entities – Micro Entities (Certain exemptions-given in Ann-2)

AS Applicability for Non-Corporates

Effective for Accounting Periods from 1.4.2020

Instead of 3 levels. Now 4 levels.

Definitions:

Level	Turnover Or		Borrowing
Level	Old	Now	Old	Now
I (Large)	> 50Cr	> 250Cr	>10Cr	> 50Cr
II (Medium)	1-50Cr	50-250Cr	1-10Cr	10- 50Cr
III (Small)	< 1Cr	10- 50Cr	< 1Cr	2-10Cr
IV (Micro)	N.A	<10 Cr	N.A	< 2 Cr

Applicability:

AS	Level II Entities	Level III Entities	Level IV Entities
AS 1	Applicable	Applicable	Applicable
AS 2	Applicable	Applicable	Applicable
AS 3	Not Applicable	Not Applicable	Not Applicable
AS 4	Applicable	Applicable	Applicable
AS 5	Applicable	Applicable	Applicable
AS 6	Applicable	Applicable	Applicable
AS 7	Applicable	Applicable	Applicable
AS 8	Applicable	Applicable	Applicable
AS 9	Applicable	Applicable	Applicable
AS 10	Applicable	Applicable with Disclosure Exemption	Applicable with Disclosure Exemption
AS 11	Applicable	Applicable with Disclosure Exemption	Applicable with Disclosure Exemption
AS 12	Applicable	Applicable	Applicable
AS 13	Applicable	Applicable	Applicable with Disclosure Exemption
AS 14	Applicable	Applicable	Not Applicable
AS 15	Applicable with Exemptions	Applicable with Exemptions	Applicable with Exemptions
AS 16	Applicable	Applicable	Applicable
AS 17	Not Applicable	Not Applicable	Not Applicable
AS 18	Applicable	Not Applicable	Not Applicable
AS 19	Applicable with Disclosure Exemption	Applicable with Disclosure Exemption	Applicable with Disclosure Exemption
AS 20	Not Applicable	Not Applicable	Not Applicable
AS 21	Not Applicable	Not Applicable	Not Applicable
AS 22	Applicable	Applicable	Applicable
AS 23	Not Applicable	Not Applicable	Not Applicable
AS 24	Applicable	Applicable	Applicable
AS 25	Not Applicable	Not Applicable	Not Applicable
AS 26	Applicable	Applicable	Applicable with Disclosure Exemption
AS 27	Not Applicable	Not Applicable	Not Applicable
AS 28	Applicable with Disclosure Exemption	Applicable with Disclosure Exemption	Not Applicable
AS 29	Applicable with Disclosure Exemption	Applicable with Disclosure Exemption	Applicable with Disclosure Exemption