Comparative Analysis of Existing Schedule VI and Revised Schedule VI

Existing Schedule VI	Revised Schedule VI
1. Contained Four Parts Part I — Form of Balance Sheet Part II — Requirements as to Profit & Loss A/c. Part III — Interpretation Part IV — Balance Sheet Abstract and Company’s General Business Profile	Contains two Parts Part I - Form of Balance Sheet includes general instructions for preparation of Balance Sheet Part II - Form of Profit & Loss Account and includes general instructions for preparation of statement of Profit and Loss
2. Effective for Balance Sheets, etc., prepared for periods ending on or before March 31, 2011	Effective for Balance Sheets etc., to be prepared for the financial year commencing on or after April 1, 2011
3. Silent whether the Schedule VI overrides the Accounting Standards or vice versa	Accounting Standards shall override Sch. VI inasmuch as a) where the compliance with the Act and the Accounting Standards require any change in treatment or disclosure, in the financial statements or statements forming part thereof, the requirements of Sch. VI shall stand modified accordingly b) The disclosure requirements specified in Part I and Part II of the Schedule are in addition and not in substitution of the disclosure requirements specified in the Accounting Standards prescribed under the Companies Act, 1956.
4. Gives both, horizontal as well as vertical formats of Balance Sheet	Gives on vertical format of Balance Sheet
5. Concept of presenting details in Schedules	Concept of presenting details in Schedules is replaced by presenting details in notes to account
6. Rounding Off - Three slabs — less than Rs. 100 crores — Rs. 100 crores or more but less than Rs. 500 crore — Rs. 500 crores or more	Rounding Off - Two slabs — less than Rs. 100 crores — Rs. 100 crores or more If turnover exceeds 100 crore rupees, rounding off not permissible in hundreds or thousands
7. Disclosure of Shareholder’s Funds (under Sources of Funds) — Capital — Reserves and Surplus — Disclosure of calls unpaid required in respect of directors only — Disclosure of calls unpaid required in respect Managing agent or secretaries and treasures and where the managing agent or secretaries and treasures are a firm, by the partners there of, and the managing agent or secretaries and treasures are a private company, by the directors members of that company Disclosure of shares in company held by company’s holding compan/ultimate holding company need not be cerified by the auditors as to its correctness. No disclosure requirement as to shares bought back Disclosure as to bonus shares allotted or shares allotted for consideration other than cash irrespective of when they were allotted in the past No requirement in regard to disclosure of Share Options outstanding account - Utilisation of Share Premium Account needs to be given.	Disclosure of Shareholder’s Funds (under Equities & Liabilities) - Share Capital - Reserves and Surplus - Monies received against share warrants - Disclosure of calls unpaid required in respect of directors and officers - Disclosure of shares in company held by company’s holding compan/ultimate holding company need to be cerified by the auditors as to its correctness. - Disclosure of aggregate number and class of shares bought back during the period of five years immediately preceding the date of the Balance Sheet - Disclosure as to bonus shares allotted or shares allotted for consideration other than cash during the period of five years immediately preceding the date of the Balance Sheet - Disclosure of Share Options outstanding Account under Reserves & Surplus - Disclosure of Profit & Loss Account (Debit Bal.) to be shown under Reserves & Surplus (under Equities & Liabilities) even if the resulting figure is negative. - Rights, preferences and restrictions attaching to any class of shares to be disclosed in Notes to Accounts - Disclosure of reconciliation of the number of shares outstanding at the beginning and at the end of the reporting period is required. - Disclosure of any shareholder holding more than 5 (five) % shares specifying the number of shares to be made in the Notes to Accounts. - Utilisation of Share Premium Account need not be given.
8. No separate mention of Share Application Money pending allotment	Share Application Money pending allotment to be separately disclosed afte Shareholder’s Funds
9. Disclosure of Loan Funds (under Sources of Funds) - Secured Loans - Unsecured Loans Deferred Tax Liability (Net) shown as separate item after Loan Funds - No disclsure in respect of default in case of borrowings	Disclosure of Non-Current Liabilities (under Equities & Liabilities) - Long-term borrowings - Deferred Tax Liability (Net) - Other Long-term Liability - Long-term provisions - Defaults in case of borrowings, in regard to repayment of loan or payment of interest is required to be given - Period and amount of default in repayment of dues, providing break-up of principal and interest shall be specified separately in each case
10. Current Liabilities and Provisions were reduced from Current Assets; Loans and Advances Thus Net Working Capital or Net Current Assets was disclosed - Interest accrued and due to be shown under the respective head, namely, Secured Loans or Unsecured Loans, as the case may be. - Current Liabilities included Acceptances, Sundry Creditors, Subsidiary companies, Advance payments for which value to be given, Investor Education and Protection Fund, Other liabilities and Interest accrued but not due - Provisions included Provision for Taxation, Proposed Diidends, for contingencies, for provident fund schemes, for insurance and staff benefit schemes and other provisions	Disclosure of Current Liabilities (under Equities & Liabilities) - Short-term borrowings - Trade Payables - Other current liabilities - Short-term provisions - Interest accrued and due to be shown as Other Current Liability - No separate disclosure of Proposed Dividend. However disclosure in Notes to Accounts. - Disclosure regarding amounts due to Micro and Small Enterprises to be given as required by Section 22 of the MSMED Act, 2006.
11. Disclosure of Fixed Assets and Investments under Application of Funds - Fixed Assets - Gross Block - Depreciation - Net Block - Capital Work-in-progress - Investments - Deferred Tax Asset (Net) shown as separate item - No guidance as to classification of intangible assets.	Disclosure of Non-current Assets under Assets - Fixed Assets - Tangible Assets - Intangible Assets - Capital Work-in-progress - Intangible assets under development - Non-current Investments - Deferred Tax Assets (Net) - Long-term Loans and Advances - Other non-current assets - Classification of disclosure of Intangible assets is given. - No requirement to attach statement of investment - Investments carried at other than cost should be separately stated specifying the basis for valuation thereof. - A reconciliation of the gross and net carrying amounts of each class of assets at the beginning and end of the reporting period showing additions, disposals, acquisitions and other movements and the related amortization and impairment losses/ reversals. - Long-term loans and advances shall be classified as: (a) Capital Advances; (b) Security Deposits; (c) Loans and Advances to related parties (giving details thereof); (d) Other Loans and Advances (specify nature); (ii) The above shall also be separately subclassified as: (a) To the extent secured, considered good; (b) Others, considered good; (c) Doubtful.
12. Disclosure of Current Assets; Loans & Advances and reduce therefrom Current Liabilities & Provisions Thus Net Working Capital or Net Current Assets was disclosed Under Application of Funds	Disclosure of Current Assets under Assets - Current Investments - Inventories - Trade Receivables - Cash and Cash Equivalents - Short-term loans and advances - Other current assets - Classification of loans and advances (asset) into long-term and short-term is required. - Classification of trade receivables into long term and short term is required - Cash equivalents includes cheques and drafts on hand and also bank balances - Restriction of repatriation of funds in respect of cash bank balances need to be given - Bank deposits with more than 12 months maturity shall be disclosed separately - Investments carried at other than cost should be separately stated specifying the basis for valuation thereof. (iii) Long-Term Trade Receivables, shall be subclassified as: (i) (a) secured, considered good; (b) unsecured, considered good; (c) Doubtful
13. Disclosure of Miscellaneous Expenditure (to the extent not written off or adjusted) under Application of Funds	No corresponding disclosure.
14. Disclosure of Profit & Loss Account (Debit Bal.) under Application of Funds	Disclosure of Profit & Loss Account (Debit Bal.) to be shown under Reserves & Surplus under Equities & Liabilities) as a negative item.
15. As regards the Profit & Loss Account, only the contents therein were specified. No form was specified.	Vertical form of Profit & Loss Account is now specified
16. Any item of income or expenditure which exceeds 1(one) % of the total revenue or Rs. 5,000/-, whichever is higher was required to be distinctly disclosed and nor clubbed - Dividends declared by subsidiary companies after the date of the balance sheet should not be included unless they are in respect of the period which closed on or before the date of the balance sheet - Disclosure of managerial remuneration and the calculation of net profits u/s 349 for paying commission to Directors was required.	Any item of income or expenditure which exceeds 1 (one) % of the total revenue or Rs. 100,000/-, whichever is higher was required to be distinctly disclosed and nor clubbed - Treatment of dividend from subsidiary to be in accordance with the applicable Accounting Standards - Disclosure of managerial remuneration as also the calculation of net profit u/s 349 for paying commission to Directors is not required to be given.
17. Quantitative details including opening stock, and closing stock of goods produced/traded and installed/ licenced/Actual capacity of production to be given	Quantitative details including opening stock, and closing stock of goods produced/traded and installed/licenced/ Actual capacity of production is not required to be given
18. If no provision is made for depreciation, the fact and the quantum of arrears is required to be disclosed	No such requirement in respect of depreciation