Kindly look into the following explanations in Ind AS 1 and Part-II of Schedule-III to the Companies Act 2013.
Ind AS-1 (Presentation of Financial statements) Para 87 - An entity shall not present any items of income or expense as extraordinary items, in the statement of profit and loss or in the notes.
Part-II of Schedule III to Companies Act 2013 - Format for Statement of profit and Loss- As per the format item no.VIII tell about the disclosure of " Extraordinary Items".
Hence, the above two statements are contradictory as Ind As 1 prohibits disclosure of extraordinary item whereas Companies Act includes it in the formate for statement of profit and loss.
Anyone kindly clarify the above doubt.
Regards
Biru
CAclubindia
