Accounting Standards Board (ASB) of ICAI prescribed the format of financial statements in 2023 in its Guidance Note on Financial Statements of non-corporate entities specifically society and trust. The format is attached below.
The format is to be followed by non-corporate entities with turnover above Rs. 5 cr. while drawing financial statements for FY 2025-26 in Phase I and onwards and for FY 2026-27 and onwards for all non corporate entities as per announcement of ICAI dated 31.3.2026. Please comply.
Thank you for sharing. Is this format statutorily mandated? Entries such as “Owners Equity”, “Revenue from Operations” etc are not appropriate reporting items for a RNPO registered as Society. How can this format be complied with?
You are right, the financial statements (FS) format prescribed for non-corporate entity (NCE) in ICAI’s Guidance Note on financial statements of Non corporate entities appear to look relevant for ‘for profit entities’. However, the Guidance Note on Financial statements for NCE include society and trust within scope of Guidance Note. Page 5 in below
Further reference for clarity to FAQs on Guidance Note on FS of NCE-here answer to Q2 still maintains applicability to trust and society but answer to Q6 mentions that for Non-Profit Organization (NPO), the format of financial Statements (FS) in Technical Guide on Accounting for NPOs be followed. FAQ pasted here:
If NPOs are excluded from Guidance Note on FS of NCEs, then applicability to Trust and Society should have been excluded to avoid confusion since society and trust essential are nonprofit entity.
So, for now, it may be better to continue following the format of FS as laid down in Technical Guide on Accounting for NPOs below (pages 53-69 for Balance Sheet and I&E statement)