75th Founding Day Lecture Meeting on “India@2030” Know More

March 2023

Qualification in A Limited Review Report Regarding Non-Compliance of Ind As 115 (Revenue From Contracts With Customers)

By Himanshu Kishnadwala, Chartered Accountant
Reading Time 13 mins
Emphasis of Matter/s for allegations made by a short seller on the company and
some other group entities and other matters


EKI ENERGY SERVICES LTD
(PERIOD ENDED 31ST DECEMBER, 2022)

From Limited Review Report

Qualified Opinion

As detailed in Note 3 to the accompanying Statement, we report that the Company has recognized revenue from contracts with few customers during the quarters ended 31st December, 2022, 30th September, 2022 and nine-month period ended 31st December, 2022. However, based on our review, we could not obtain sufficient and appropriate evidence regarding satisfaction of performance obligation for delivering the verified carbon units. Accordingly, in our view recognition of revenues together with the corresponding cost to fulfil the performance obligations is not consistent with the accounting principles as stated in Ind AS 115, Revenue from Contracts with Customers. Had the Company applied the principles as stated in Ind AS 115, revenues would have been lower by Rs. 1,818 lakhs, Rs. 10,162 lakhs and Rs. 19,011 lakhs, cost would have been lower by Rs. 1,140 lakhs, Rs. 3,950 lakhs and Rs. 7,971 lakhs and the profit before tax would have been lower by Rs. 679 lakhs, Rs. 6,212 lakhs and Rs. 11,040 lakhs for the periods stated above.


FROM NOTES TO RESULTS

Read More
Download PDF

You May Also Like

Provisions of section 115JC are applicable to projects approved before the introduction of the section 115JC.

Where the assessee mentioned residential status in original return as resident in India and in return filed under section 153A mentioned residential status as Non-resident which was uncontroverted fact, then merely mentioning the residential status as resident in original return of income, does not make the assessee a resident in India. Once the assessee is a non-resident then income or deposit in foreign bank account is not taxable in India