A Comparative Study on Indian and International Accounting Standards

In current international arena the trade business has got the shape of globalized competitiveness in such a way that rational investors, domestic as well as international normally make their investment decision on the basis of published financial statements, in addition to wide variety of factors. Uniformity of accounting standards, policies and practices is, therefore, imperative necessity of the world for a meaningful inter-firm comparison and proper evaluation in the changing business environment. Keeping in view the significance of uniform accounting standards, policies, procedures and practices, various steps and strategies have been taken by the different accounting bodies during the past more than two and half decades. The proposed paper elucidates different issues pertaining to the international accounting standards and Indian accounting standards, their need, organizational setup, deficiencies, the reasons for gaps between IAS and AS and suggest the improve the necessary measures with valuable recommendations for ensuring uniform accounting standard and their practices, so that accounting standards may internationally acceptable as “global accounting standard.