Institute of Chartered Accountants of India, which is the apex body of accountants in India has issued a framework on manner of presentation and preparation of Financial Statements in India and is called as Framework for the Presentation and Preparation of Financial Statements as issued by ICAI. This framework sets out the concepts that underlie the preparation and presentation of financial statements for external users.
However, this Framework itself isn’t an Accounting Standard and hence does not define standards for any particular measurement or disclosure issue. Hence, it also cannot override any specific Accounting Standard. Wherever, there is any conflict between the Accounting Standard and this Framework, Accounting Standard shall prevail. However, Accounting Standards Board shall consider such conflicts and be guided for its review of existing Standards and development of future Accounting Standards. This way the number of conflicts between this Framework and this Accounting Standard will diminish through time. Also this Framework will be revised from time to time on the basis of the experience of the Accounting Standards Board of working with it,