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Statement of changes in equity

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Section 2(40) of Co. Act definition of financial statement says "(iv) Statement of Changes in Equity, if applicable" Can any1 pls tell when statement of changes in equity is applicable and its format.

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Deepak Gupta

CA Student

15932 Points Joined May 2011

The addition of words 'if applicable' with statement of change in equity requirement suggests that the same will apply only under Ind-AS.
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ICAI has issued exposure draft for revision of existing AS-1 and the objective of revision states that, “revision of the existing AS 1 does not contain various requirements included in Ind AS 1 such as the concepts of…..statement of changes in equity…..”. Refer to page 25 of this -> link
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Para 10 of Ind-AS 1, Presentation of Financial Statements, states that financial statements will include statement of change in equity. Para 106 of Ind-AS 1 mentions the information to be presented in such statement. [Download the standards]
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Ind-AS is not applicable to every entity but to a certain class of entities. MCA has notified Ind-AS [i.e. Companies (Indian Accounting Standards) Rules 2015], w.e.f. 01.04.2015. To know the implementation roadmap, refer to rule 4 in the notification -> link