Accounting Standards (AS) vs Indian Accounting Standards (Ind AS)
AS are India's earlier, rule-oriented standards applied by entities outside the Ind AS roadmap. Ind AS are converged with IFRS, principle-based, and use fair value far more extensively.
The quick answer
Ind AS asks what the economic substance of the transaction is and often measures at fair value. AS prescribes more specific rules and leans on historical cost. Ind AS applies to entities notified under the MCA roadmap; other entities continue with AS.
Side-by-side comparison
| Basis | Accounting Standards (AS) | Indian Accounting Standards (Ind AS) |
|---|---|---|
| Basis | Largely rule-based | Principle-based, converged with IFRS |
| Measurement | Predominantly historical cost | Extensive use of fair value |
| Applicability | Entities not covered by the Ind AS roadmap | Companies notified under the MCA Ind AS roadmap |
| Substance over form | Applied, but with more prescriptive rules | Central operating principle |
| Financial statements | Balance Sheet, P&L, Cash Flow | Adds Statement of Changes in Equity and Other Comprehensive Income |
| Disclosure volume | Comparatively lighter | Substantially more extensive |
| Studied at | CA Intermediate — Advanced Accounting | CA Final — Financial Reporting |
The exam angle
Questions usually turn on a treatment that differs between the two frameworks — leases, revenue recognition and financial instruments are the classic examples. Always state which framework you are applying before giving the treatment.
Related comparisons
Have questions?
Find answers.
Still unsure about something? We're happy to help you figure it out.
Talk to usWhich companies must apply Ind AS?
Applicability follows the phased roadmap notified by the Ministry of Corporate Affairs, based on listing status and net worth thresholds. Always confirm the current roadmap applicable to your attempt.
Do I study both at CA Intermediate?
Intermediate Advanced Accounting focuses on Accounting Standards. Ind AS is studied in depth at CA Final in Financial Reporting. Check the applicable list notified for your attempt.
Is Ind AS the same as IFRS?
Ind AS is converged with IFRS but not identical. There are carve-outs and carve-ins reflecting Indian legal and economic conditions, which are themselves examinable.
You have read the table. Now answer five questions on it.
Recognition fades; retrieval sticks. Generate an MCQ set on this exact concept and test whether the distinction holds under pressure.
Start your CA journey- Free to start
- Explanations on every question
- All 3 CA levels