Industry wants more time for IFRS.
Federation of Indian Chambers of Commerce and Industry ( Ficci) has, in a representation to the ministry of corporate affairs, described the deadline of April 1, 2011, for compliance with IFRS standards as " highly unworkable and unfair" and sought more time for to equip itself to switch to the system.
It added that at the current juncture the accounting and reporting framework under IFRS for the entire spectrum of financial instruments ( like derivatives, loans, and investments) is getting revamped with effect from April 1, 2013.
It also brought to the government's notice that the IFRS accounting for IT and accounting for employees benefits is undergoing comprehensive revision.
Ficci has questioned the practicality for Indian firms to incur substantial IT and manpower training cost and change over to present IFRS when several important parts of it are already pronounced obsolete by IFRS standard setters themselves.
It also suggested that a rational approach would be to adopt the final standards as and when they are announced. The Ficci letter states that India's new Companies Bill is pending finalisation, as is the Draft Taxes Code ( DTC).
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