08 June 2013
Kindly explain me the difference between corporate and non corporate entities? And also why accounting standards are only applicable to non corporate entities? IT WOULD BE OF GREAT HELP IF YOU CAN REMOVE THIS CONFUSION....SOMEONE PLEASE DO HELP...
Accounting Standards are applicable to all entities carrying on commercial business. Corporate entities are those registered under the Companies Act, 1956. For corporate entites the accounting standards have been notified under the Act itself - The Companies Accounting Standards Rules, 2006. For non corporate entities, the accounting standards issued by the Institute of CHartered Accountants of India are applicable. THere are not much differences between the two sets of accounting standards
I have mentioned that in my reply. Entities registered under the Companies Act, 1956 are called corporate entities. Rest all are non-corporate entities
CAclubindia
