FINANCIAL STATEMENTS AS PER NEW SCHEDULE III ,COMPANY ACT 2013 (BALANCE SHEET AND STATEMENT OF PROFIT AND LOSS)

THE COMPANIES ACT 2013: SCHEDULE III

The presentation of financial statements of companies registered under the companies Acts is now governed by schedule III of companies Act 2013.The format is same as per schedule VI of the companies Act 1956.


Identifiable difference from previous format

  • only one format has been prescribed in earlier there were two alternatives formats.
  • PROFIT AND LOSS ACCOUNT was renamed as STATEMENT OF PROFIT AND LOSS.
  • The 'liabilities' side stand was renamed as "Equity and Liabilities"
  • In the statement of profit and loss, the threshold level for disclosure of expenditure items has increased from Rs. 5,000 to Rs. 1,00,000.
  • remaining changes are very minute. 

FOLLOWING IS THE FORMAT OF BALANCE SHEET AS PER SCHEDULE III

SCHEDULE III IN EXCEL FORMAT


BALANCE SHEET - CURRENT AND NON-CURRENT CLASSIFICATION

Current assets

  • The classification of line items in balance sheet is divided in two categories-(i)'Equity and Liabilities'(ii) 'Assets'
  • An asset is classified as a current asset when it satisfies following conditions:
          1) It is expected realised with 12 months after reporting date.
          2) It is expected realised with in normal operating cycle.
          3) It is held primarily for the purpose of being traded or sale.

Non-Current assets

All assets other than current assets are treated as non-current assets.

FOLLOWING IS THE FORMAT OF STATEMENT OF PROFIT AND LOSS 

PROFIT AND LOSS AS PER COMPANY ACT 2013

     

Break up of items of revenue , purchase:-

  • Break up of each of the following items into broad heads shall be given
        1) Revenue from sale of goods.
        2) Gross income from services rendered.


  • In case of Purchase
         1) Raw material consumed
         2) Purchase of stock in trade
         3) Work in progress

  • General requirements for separate disclosure
        Any item of income or expenditure which exceeds one percent of the               revenue from operations or Rs.1,00,000/- which ever is higher shall be             disclosed separately.



FOLLOWING IS THE FORMAT OF CASH FLOW STATEMENT

SCHEDULE III OF COMPANIES ACT 2013

TO DOWNLOAD EXCEL FORMAT OF NEW SCHEDULE III ,CLICK  BELOW LINK

SCHEDULE III BALANCE SHEET FORMAT IN EXCEL

Comments

  1. When I was in my high school so I was unable to find what was in Balance sheet but one day my accounts teacher Mr. Richards made a sitting with me and it was I remember two hours sitting in which he taught me all the basics of essayontime's blog in a Balance sheet and due to him, I am one of the best brokers in the market.

    ReplyDelete
  2. lOSS ON jv CAN IT BE ADJUSTED IN RESERVES DIRECTLY OR TO BE WRITTEN OFF THRU P & L ACCOUNT

    ReplyDelete

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