Thanks numerica.in;850235 for your update.
'AS 15' appears to be an Accounting Standard and most of HR Professionals like me are not aware of Accounting Standards. I believe all Chartered Accountants and Auditors must be well aware of provisions of 'AS 15' and compliance needed under it. Hopefully they are ensuring necessary compliance in companies they are associated with.
Anyway thanks for update.
Thanks & Regards
Quote:
Originally Posted by numerica.in  Surprised to see comments from various people - concept of gratuity valuation is widely misunderstood it seems. Actuarial valuations of gratuity, leave encashment, pension or other defined benefit schemes are mandatory as per AS 15 (revised, 2005) for following companies:
1. Listed companies
2. Banks/FIs/Insurance companies
3. Companies having turnover more than 50 crores
4. Companies having borrowings more than 10 crores
5. Companies employing more than 50 employees
Even companies which do not fall under any category above need to consult a certified actuary to assess materiality and need of any actuarial valuation.
Such valuations cannot be done by company officials or their auditors - this would account to violation of the accounting standard |
