Balance sheet as per schedule 3 of companies act 2013. Schedule iii see section 129general instructions for preparation of balance sheet and. The time for preparation of the first financial statements as per the new companies act 2013 is here. The companies act 2013 passed by the parliament has received the assent of the president of india on 29th august 2013.
One of the most important provisions of the act for companies as well as the auditors to consider is the new method of the calculating depreciation as per schedule ii part c of the companies act 2013. See accompanying notes to the financial statements. An asset shall be classified as current when it satisfies any of the following criteria.
This an act to consolidate and amend the law relating to companies. Statement of profit and loss of a company. 1 gn a 35 guidance note on accounting for depreciation in companies in the context of schedule ii to the companies act 2013 background 1.
For assets existing on 01042014 date of purchase is considered and the balance sheet value has to be depreciated over remaining useful life of assets. General instructions for preparation of balance sheet. When using the double declining balance method the salvage value is not considered in determining the annual depreciation but the book value of the asset being depreciated is never brought below its salvage value regardless of the method used.
The companies act 2013 has been notified in the official gazette on 30th august 2013 but the provisions of this act shall come into force on such dates as the central government may notify in the. Schedule ii to the companies act 2013 specifies useful lives for the purpose of. Depreciation calculator for companies act 2013 transitional provision.