The Standard Stance
Volume 36

The Accounting Advisory Services (AAS) team at BDO India is pleased to share 'THE STANDARD STANCE' – an expert insight into key accounting matters. Each monthly issue of the publication spotlights and discusses a key accounting matter noteworthy for organisations to stay ahead in their business journeys. 

This issue of THE STANDARD STANCE - NAVIGATING ACCOUNTING CONSIDERATIONS FOR BUSINESS COMBINATIONS UNDER COMMON CONTROL examines the accounting considerations for common control transactions under Ind AS 103

Business combinations under common control are a common feature of corporate reorganisations, including mergers, demergers, subsidiary transfers, and legal entity consolidations. While these transactions may appear straightforward from a commercial perspective, they often involve complex accounting considerations under Ind AS 103. Unlike acquisitions involving a change in control, these transactions require the application of Appendix C and the Pooling of Interests Method, making the assessment of common control and its non-transitory nature a critical accounting judgment.

This issue of The Standard Stance covers the regulatory requirements, the concept of non-transitory control, practical considerations, and other aspects in applying Appendix C to Ind AS 103. The publication highlights the importance of evaluating the economic substance of transactions to determine the appropriate accounting treatment and financial statement presentation. 

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THE STANDARD STANCE Renewable Energy Credits: Where Environmental Value Meets Financial Reporting 

THE STANDARD STANCE Counting the Cost of Clean Air: How India’s Vehicle Scrappage Policy Affects Corporate Financial Reporting

THE STANDARD STANCE Adapting to the New Regulatory Shifts: Directors’ Entry and Exit Norms