PwC ReportingInBrief: Amendments to Ind AS 20, Accounting for Government Grants and Disclosure of Government Assistance

The Ministry of Corporate Affairs (MCA) notified the Companies (Indian Accounting Standards) Second Amendment Rules, 2018 (the ‘Rules’) on 20 September 2018. The Rules amend Ind AS 20 Accounting for Government Grants and Disclosure of Government Assistance which allow entities the option of recording non-monetary government grants at a nominal amount and presenting government grants related to assets by deducting the grant from the carrying amount of the asset.

An entity shall apply these amendments for annual periods beginning on or after 1 April 2018. The Rules also include consequential amendments to other Ind AS.

This publication provides an overview of the amendments notified by the Rules and our insights on practical application of the amendments.