Income Computation and Disclosure Standards under section 145(2) of the Income-tax Act, 1961 notified - 32/2015 - Income Tax

Income Computation and Disclosure Standards: mandatory standards for mercantile-accounting assessees computing business and other income.

Notification under section 145(2) prescribes Income Computation and Disclosure Standards (ICDS) for assessees following the mercantile system of accounting to compute income under 'Profit and gains of business or profession' and 'Income from other sources,' superseding the prior 1996 notification and prescribing specific standards on accounting policies, inventory valuation, construction contracts, revenue recognition, tangible fixed assets, foreign exchange effects, government grants, securities, borrowing costs, and provisions and contingent items.