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Amendment in Schedule III - Division I (IGAAP) - Companies Act, 2013

CA Harshal Jain 
on 21 April 2021


The Ministry of Corporate Affairs (MCA) has amended Schedule III of the Companies Act, 2013 on 24th March, 2021. Schedule III provides general instructions for preparation of the Financial Statement of a company classified under Division I (Indian GAAP) and Division II & III (IndAS). Amendments under Division I (Indian GAAP) are covered below:

Click here to access the MCA Notification

Amendment in Schedule III - Division I (IGAAP) - Companies Act, 2013


Division I (Indian GAAP)


Compulsory Rounding Off Figures based on Total Income instead of Turnover. Earlier Optional.

a. Turnover Total Income Less than 100 Crores – Nearest Hundreds, Thousands, Lakhs or millions

b. Turnover Total Income more than 100 Crores – Nearest Lakhs, millions or Crores


Changes - Balance Sheet Face

a. Addition/Deletion under Sub Head Non-Current assets:

Non-current assets
(1) (a) Property, Plant and Equipment and Intangible assets
(i) Tangible assets  Property, Plant and Equipment


Changes – Statement Profit & Loss Face
a. Addition/Deletion under III. below:

I. Revenue from operations
II. Other income
III.Total Revenue Income (I + II)


Deletion / Additional Disclosure under Notes Balance Sheet each Head wise

1) Share Capital
a) Shareholding of Promoters & % Change during the Year

2) Trade Payables
a) Trade Payable Ageing Schedule

3) Property, Plant and Equipment & Intangible Assets
a) Change due to Revaluation if 10% or morein the aggregateof the net carrying of each class

4) Short Term Borrowing
a) Current maturities of Long term borrowings

5) Other Current Liabilities
a) Current maturities of Long term borrowings

6) Long Term Loans and Advances
a) Security Deposits

7) Other Non-Current Asset
a) Security Deposit

8) Trade Receivable
a) Trade Receivables ageing schedule

9) Additional Regulatory Information:

a) Disclosure w.r.t borrowings from banks and financial institutions not used for the specific purpose for which it was taken at the balance sheet date.

b) Details of Title deeds of Immovable Property not held in name of the Company

c) Disclosure of revaluation if done is based on the valuation by a registered valuer as defined under rule 2 of the Companies (Registered Valuers and Valuation) Rules, 2017.

d) Certain disclosures shall be made where Loans or Advances in the nature of loans are granted to promoters, directors, KMPs and the related parties either severally or jointly with any other person, that are: (a) repayable on demand or (b) without specifying any terms or period of repayment.

e) CWIP aging schedule& Completion Schedule

f) Intangible assets under development aging schedule& Completion Schedule

g) Disclosure with respect to Benami Property held

h) Disclosure for borrowings from banks or financial institutions on the basis of security of current assets:

i) Whether quarterly returns or statements of current assets filed by the Company withbanks or financial institutions are in agreement with the books of accounts.

ii) If not, summary of reconciliation and reasons of material discrepancies, if any to beadequately disclosed.

i) Details if Company is declared wilful defaulter by any bank or financial institution

j) Details of Transaction if any with Struck off Companies.

k) Where any charges or satisfaction yet to be registered with Registrar of Companies beyondthe statutory period, details and reasons thereof shall be disclosed

l) Disclosure w.r.t Non Compliance of Companies (Restriction on number of Layers) Rules, 2017.

m) Following Ratios with Explanation & Reason for 25% or more variation to be disclosed:

(a) Current Ratio, (b) Debt-Equity Ratio, (c) Debt Service Coverage Ratio, (d) Return on Equity Ratio, (e) Inventory turnover ratio, (f) Trade Receivables turnover ratio, (g) Trade payables turnover ratio, (h) Net capital turnover ratio, (i) Net profit ratio, (j) Return on Capital employed, (k) Return on investment.

n) Disclosure w.r.t effect of such Scheme of Arrangements accounted for in the books of account of the Company ‘in accordance with the Scheme’ and ‘in accordance with accounting standards’ and deviation in this regard shall be explained.

o) Disclosure of Utilisation of Borrowed funds and share premium to be given.

Deletion / Additional Disclosure under Notes Statement of Profit and Loss

1) Revenue from Operations
a) Grants or donations received (relevant in case of section 8 companies only)

2) Disclosure w.r.t Undisclosed Income identified during the year in the tax assessments under the Income Tax Act, 1961 (such as, search or survey or any other relevant provisions of the Income Tax Act, 1961), unless there is immunity for disclosure under any scheme and also shall state whether the previously unrecorded income and related assets have been properly recorded in the books of account during the year.

3) Additional Disclosure w.r.t Corporate Social Responsibility (CSR) Expenditure

4) Details of Crypto Currency or Virtual Currency if Company has traded or invested.


Note: Colour Green above denotes Amendment/Additions & Colour Red denotes Deletion/Omitted Part.


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