Indian Accounting Standard (Ind AS) 24 Summary
The objective of Indian Accounting Standard (Ind AS) 24, Related Party Disclosures is to ensure that the entity’s financial statements contain the disclosures necessary to draw attention to the possibility that its financial position and profit or loss may have been affected by the existence of related parties and by transactions and outstanding balances, including commitments, with such parties.
Related party relationships include those involving control (direct or indirect), joint control or significant influence.
Key management personnel and their close family members are also parties related to the entity.
There are no special recognition or measurement requirements for related party transactions.
The disclosure of related party relationships between a parent and its subsidiaries is required, even if there have been no transactions between them.
No disclosure is required in consolidated financial statements of intra-group transactions eliminated in preparing those statements.
Comprehensive disclosures of related party transactions are required for each category of related party relationship.
Key management personnel compensation is disclosed in total and is analysed by component.
In certain instances, government-related entities are allowed to provide less detailed disclosures on related party transactions.