How to Gain Practical Experience in IND AS Financial Statements

Mastering IND AS financial statements is essential for both professionals and aspiring candidates to make career in finance and accounts. Understanding key adjustments in IND AS, such as those from IND AS 16 (Leases) and IND AS 115 (Revenue Recognition), is crucial for anyone looking to excel in interviews related to Ind AS or the practical world in finance profile. In this blog, I will walk you through how to gain hands-on experience with IND AS financial statements and how you can apply it in the real world.

February 27, 2025

Master Blaster of IND AS Financial Statement: Your Guide to Practical Learning

As someone who has audited multiple listed and unlisted companies under IND AS, I’ve observed that 80-90% of the adjustments across companies are pretty much the same. These adjustments include well-known standards such as IND AS 16 for Leases, the 5-step model for IND AS 115 Revenue Recognition, and others. To really learn IND AS and gain practical exposure, it’s important to focus on these adjustments. .In this article, I will guide you through the steps that will allow you to develop your understanding of IND AS in the most efficient way possible. Follow these steps, and you'll be ready to apply IND AS practically and confidently in your organization or during interviews.

Steps to Gain Learning Experience in IND AS Financial Statements

Step 1: Download Big 4 Illustrative Financial Statements

Start with the Big 4 (KPMG, PwC) Illustrative Financial Statements to get a solid overview of IND AS. These statements are often a great resource to understand how practical applications of IND AS look in financial statements.

These will give you a clear understanding of how each standard is applied in real-world scenarios.

Step 2: Download Annual Returns of Listed Companies

Next, download annual returns of listed companies in sectors such as manufacturing, services, or trading. Avoid companies in the construction sector initially, as their financials can be more complex.

Download from screener website

  • Look for companies with simple products or services, making it easier to understand their financial reporting under IND AS.

Step 3: Read the Accounting Policies in the Financial Statements

The Accounting Policies section is critical. Start by reading each accounting policy in the financial statement of the chosen company. These policies will lay the groundwork for understanding how IND AS is applied in different financial statement areas.

Step 4: Review Notes to Accounts in Detail

Once you’ve read through the accounting policies, dive into the Notes to Accounts section. This part provides detailed explanations of the accounting methods and adjustments used by the company. It’s crucial to tie the accounting policies to their corresponding notes to understand the complete picture.

Step 5: Refer to Big 4 Illustrative Statements

As you go through the notes and accounting policies, refer to the Big 4 Illustrative Financial Statements downloaded earlier. These examples will help you match the policies and adjustments you see in real company statements with the IND AS standards. This reference will help solidify your understanding of how the standards are applied.

Step 6: Final Review and Practical Application

After completing the above steps, re-read the financial statements as a whole. This will help you gain a strong grip on real-life financial statement preparation under IND AS. The more you practice this process with multiple companies, the more proficient you’ll become.

Why Focus on These Adjustments?

As I mentioned earlier, 80-90% of adjustments across most listed companies are similar. These include the standard treatments for Leases, Revenue Recognition, Impairment of Assets, Borrowing Costs, and more. By focusing on these adjustments, you can quickly gain an understanding of how most companies prepare their financial statements under IND AS.

All the steps mentioned above are covered in my Practical Course: Master Blaster of IND AS Financial Statements. In this course, I’ve prepared an Excel-based financial statement for you, containing all the necessary adjustments. One by one, we’ll go through each adjustment, and I’ll guide you through the process step-by-step. We also cover the Companies Act and its requirements, which is an essential part of preparing IND AS financial statements. This course will make you a pro in no time!


FAQ Section
Q: How long will it take to master IND AS financial statements?
A: With consistent practice and following the steps outlined above, you can start feeling confident within a few weeks. Repetition across multiple companies will deepen your understanding.
Q: Is Master Blaster of Ind AS financial statement course suitable for beginners?
A: Yes, this course is designed to help both beginners and professionals gain hands-on experience with IND AS financial statements.
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Final Thoughts
By following these steps and referring to the Big 4 Illustrative Financial Statements, you’ll be ready to master IND AS financial statements and apply them confidently in real-world scenarios. Whether you're preparing for an interview or looking to apply IND AS in your current role, this approach will help you get there. Don’t forget to check out my Practical Course on IND AS to further enhance your skills!

CA Tushar Makkar
Author - Auditing in real life | Consulting in India, US, Europe and Middle East | Content creator | Ex-PwC | CA AIR 47 Nov' 17 | YouTuber 40k+ | Expertise in manage accounts and Audit