Voices on Reporting 20 January 2016 KPMG.com/in
Welcome Series of knowledge sharing calls Covering current and emerging reporting issues Scheduled towards the end of each month Look out for our Accounting and Auditing Update, IFRS Notes and First Notes publications 2016 KPMG, an Indian Registered Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ( KPMG International ), a Swiss entity. All rights reserved. 2
Speakers for the call Ruchi Rastogi Executive Director Assurance KPMG in India Nirav Patel Director Accounting Advisory Services KPMG in India 2016 KPMG, an Indian Registered Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ( KPMG International ), a Swiss entity. All rights reserved. 3
Agenda Overview of Ind AS 21, The Effects of Changes in Foreign Exchange Rates Key regulatory updates
Overview of Ind AS 21 1 Definitions Foreign currency transactions Foreign currency financial statements Disclosures Key differences between Indian GAAP and Ind AS 21
Currencies Functional currency Currency of the primary economic environment in which an entity operates. Foreign currency Currency other than the entity s functional currency. Presentation currency Currency in which the financial statements are presented. 2016 KPMG, an Indian Registered Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ( KPMG International ), a Swiss entity. All rights reserved. 6
Foreign operation Foreign operation Subsidiary, associate, joint venture, branch whose activities are conducted in a country or currency other than those of the reporting entity 2016 KPMG, an Indian Registered Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ( KPMG International ), a Swiss entity. All rights reserved. 7
Functional currency: Primary indicators Currency that mainly influences sales prices. Currency of country whose competitive forces/regulation mainly determine sale prices. Primary indicators are the most important. Currency that mainly influences labour, material and other costs. 2016 KPMG, an Indian Registered Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ( KPMG International ), a Swiss entity. All rights reserved. 8
Functional currency: Secondary indicators Currency in which funds from financing activities are generated. Currency in which operating cash receipts are usually retained. 2016 KPMG, an Indian Registered Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ( KPMG International ), a Swiss entity. All rights reserved. 9
Functional currency: Additional indicators for foreign operations Are activities conducted as extension of reporting entity or with significant autonomy? What is proportion of transactions with reporting entity? Does the foreign operation generate sufficient cash flows to service existing/normally expected debt obligations? Do cash flows of the foreign operation directly affect cash flows of reporting entity and are they readily available for remittance? 2016 KPMG, an Indian Registered Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ( KPMG International ), a Swiss entity. All rights reserved. 10
Functional currency: Summary Starting point Primary indicators Supporting evidence Secondary indicators Foreign operations Same as the parent? Mixed indicators? Judgement Changed only if change in relevant underlying transactions, events, circumstances. 2016 KPMG, an Indian Registered Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ( KPMG International ), a Swiss entity. All rights reserved. 11
Monetary vs non-monetary Monetary items Accounts payable Non-monetary items Items that will be received/paid in fixed or determinable number of units of currency. Plant & equipment Goodwill Accrued expenses Items that will not be received/paid in fixed or determinable number of units of currency. Equity securities 2016 KPMG, an Indian Registered Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ( KPMG International ), a Swiss entity. All rights reserved. 12
Overview of Ind AS 21 1 Definitions Foreign currency transactions Foreign currency financial statements Disclosures Key differences between Indian GAAP and Ind AS 21
Initial recognition At the date of the transaction Rate at transaction date or Appropriate average rate 2016 KPMG, an Indian Registered Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ( KPMG International ), a Swiss entity. All rights reserved. 14
Reporting at the end of period Monetary items Non-monetary items at historical cost Non-monetary items at fair value Rate at reporting date. Rate at transaction date. Rate at valuation date. 2016 KPMG, an Indian Registered Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ( KPMG International ), a Swiss entity. All rights reserved. 15
Monetary items: Exchange differences Exchange differences Generally recognised in profit or loss, but with exceptions. In finance costs (usual) or in relevant line items. 2016 KPMG, an Indian Registered Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ( KPMG International ), a Swiss entity. All rights reserved. 16
Non-monetary items: Exchange differences Gain or loss recognised in profit or loss. Gain or loss recognised in Other Comprehensive Income (OCI). Exchange difference in profit or loss. Exchange difference in OCI. 2016 KPMG, an Indian Registered Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ( KPMG International ), a Swiss entity. All rights reserved. 17
Net investment in a foreign operation Settlement of a monetary item neither planned nor likely to occur. Separate financial statements of parent: Profit or loss. Financial statements that include both: OCI. 2016 KPMG, an Indian Registered Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ( KPMG International ), a Swiss entity. All rights reserved. 18
Overview of Ind AS 21 1 Definitions Foreign currency transactions Foreign currency financial statements Disclosures Key differences between Indian GAAP and Ind AS 21
From functional to presentation currency: Entity s own financial statements Translate forex transactions into functional currency. Translate financial statements from functional currency to presentation currency. 2016 KPMG, an Indian Registered Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ( KPMG International ), a Swiss entity. All rights reserved. 20
From functional to presentation currency: Consolidated financial statements Translate forex transactions into entity s functional or Step-by-step method Translate from an entity s functional currency to intermediate parent s functional currency. Translate from an entity s functional currency to the ultimate parent s functional/presentation Currency. Direct method Translate from intermediate parent s functional currency to the ultimate parent s functional/presentation currency. 2016 KPMG, an Indian Registered Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ( KPMG International ), a Swiss entity. All rights reserved. 21
Translation to presentation currency Assets and liabilities Income and expense Equity transactions Rate at reporting date Rate at transaction date (appropriate average) Rate at transaction date Resulting foreign exchange differences recognised in OCI and separate component of equity 2016 KPMG, an Indian Registered Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ( KPMG International ), a Swiss entity. All rights reserved. 22
Reclassification of FCTR to profit or loss Dispose of entire interests? No Yes Reclassify entire foreign currency translation reserve (FCTR) to profit or loss (net of NCI). Yes Reclassify entire FCTR to profit or loss. Yes Partial disposal of joint arrangement/ associate where interest retained is a financial asset? Partial disposal of subsidiary resulting in loss of control? No No Reclassify appropriate portion to profit or loss. Re-attribute appropriate portion to non-controlling interest (NCI). 2016 KPMG, an Indian Registered Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ( KPMG International ), a Swiss entity. All rights reserved. 23
Overview of Ind AS 21 1 Definitions Foreign currency transactions Foreign currency financial statements Disclosures Key differences between Indian GAAP and Ind AS 21
Disclosures Accounting policy Presentation in comprehensive income Presentation in equity 2016 KPMG, an Indian Registered Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ( KPMG International ), a Swiss entity. All rights reserved. 25
Overview of Ind AS 21 Definitions Foreign currency transactions Foreign currency financial statements Disclosures Key differences between Indian GAAP and Ind AS 21
Key differences between Indian GAAP and Ind AS 21 2 Functional currency Currently, Indian companies prepare and present their financial statements using Indian rupees. Currently, translation of foreign currency financial statements to the reporting currency of the parent company depends on the classification of the foreign operations as either integral or nonintegral. Under Ind AS, a company needs to determine its functional currency, which may not necessarily be the currency of the country in which it is domiciled. Thus, it is possible that the functional currency of an Indian company may be a foreign currency. Under Ind AS, such a translation would be driven by the determination of the functional currency of the foreign operation. The translation principles for a foreign operation whose functional currency is the same as the parent company is similar to the translation of an integral foreign operation. Similarly, translation of a foreign operation whose functional currency is different from the parent company is similar to the translation of a non-integral operation under the current principles. 2016 KPMG, an Indian Registered Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ( KPMG International ), a Swiss entity. All rights reserved. 27
Key differences between Indian GAAP and Ind AS 21 2 Convenience translation No guidance under Indian GAAP on convenience translation.. Ind AS introduces the concept of convenience translation through which the financial statements can be presented in a currency which is neither the functional currency nor the presentation (reporting) currency of the company. Internationally, the convenience translation concept is often used by companies to present information in a more meaningful form to investors. This process simply involves translating all the balance sheet, profit and loss account and the notes to accounts items at one exchange rate and disclosing the rate that had been used for this purpose. 2016 KPMG, an Indian Registered Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ( KPMG International ), a Swiss entity. All rights reserved. 28
Ind AS 101, First-time Adoption of Indian Accounting Standards 3 The objective of Ind AS 101 is to: provide a suitable starting point for accounting in accordance with Ind AS set out the procedures to be followed by entities for adoption of Ind AS. Long term foreign currency monetary items: Ind AS provides an option to a first-time adopter to continue the policy adopted for accounting for exchange differences arising from the translation of long-term foreign currency monetary items recognised in the financial statements for the period ending immediately before the beginning of the first Ind AS financial reporting period as per the previous GAAP. 2016 KPMG, an Indian Registered Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ( KPMG International ), a Swiss entity. All rights reserved. 29
Key regulatory updates
Fraud reporting to the central government Materiality level 4 The Companies Act 2013 (2013 Act) requires an auditor to report on frauds Position from 14 December 2015 - If an auditor has sufficient reason to believe that a fraud is being/has been committed against the company by the officers or employees, he/she has to: Report all such frauds to the board/audit Committee (as applicable), within two days of knowledge of the fraud. Audit Committee/board to reply within 45 days. If fraud involves/is expected to involve individually INR1 crore or more, the auditor is to submit his/her report and the company s response to the central government within 15 days thereafter. For frauds not reported to the central government, the board s report to disclose the following details: Nature of fraud Approximate amount Parties involved (if remedial action has not been taken) Remedial actions 2016 KPMG, an Indian Registered Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ( KPMG International ), a Swiss entity. All rights reserved. 31
Procedure for Related Party Transactions (RPTs) relaxed 4 Omnibus Approval- MCA on 14 December 2015 notified Section 14 (an omnibus approval for RPT of the Companies Amendment Act, 2015 which is effective from 15 December 2015. The relevant rules permit an omnibus approval by the Audit Committee (AC) for RPTs subject to the prescribed conditions Criteria for an omnibus approval of RPTs by the AC: Maximum value (individual and aggregate) Items in the negative list (include transactions to sell/dispose undertaking) Extent and manner of disclosures to the AC at the time of seeking approval Period for review of an omnibus approval (no fixed period prescribed). Criteria to be approved by the board. The considerations for approval include: Repetitiveness of the transaction (in the past or future) Justification for the need of an omnibus approval. The AC to satisfy itself on the need for an omnibus approval and that such an approval is in the interest of the company Omnibus approval to be valid for a period not exceeding one financial year A prior approval of shareholders to the specified RPTs is also required as per an ordinary resolution. 2016 KPMG, an Indian Registered Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ( KPMG International ), a Swiss entity. All rights reserved. 32
SEBI issues FAQs on certain provisions of the Listing Regulations, 2015 5 The SEBI on 9 January 2016 issued FAQs on the Listing Regulations. The key highlights are as follows: What is the definition of an associate company and Related Party (RP)? Definitions under 2013 Act and the applicable accounting standards need to be examined. If either of the two are met with, such an entity would be classified as an associate company/rp. Whether only those RPs who are related to the concerned transaction/contract should abstain from voting or RPs should altogether abstain from voting? All material RP transactions would require an approval of the shareholders through a resolution and the RPs would abstain from voting on such resolutions, whether or not entity is a RP for the particular transaction. Whether at least one independent director of a listed entity is required to be on board of directors of an unlisted material subsidiary incorporated in India or to all unlisted subsidiaries? Wherever unlisted material subsidiary and unlisted subsidiaries have been distinctly mentioned in a particular sub-regulation, such a sub-regulation should be applicable to material unlisted subsidiaries or all unlisted subsidiaries, as the case may be. 2016 KPMG, an Indian Registered Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ( KPMG International ), a Swiss entity. All rights reserved. 33
Accounting Standards Board (ASB) of the ICAI constitutes Ind AS Transition Facilitation Group 6 In order to address the issues raised by stakeholders with respect to Ind AS implementation, the ASB of the ICAI recently on 11 January 2016 formed the Ind AS Transition Facilitation Group (ITFG). The ITFG will address the issues in the following manner: Issues which are matter of clarifications on the application/implementation of Ind AS Issues pertaining to interpretation of Ind AS The group invites issues pertaining to the implementation and application of the Ind AS as well as the road map from preparers, users and other stakeholders Issues may be submitted via e-mail to group. 2016 KPMG, an Indian Registered Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ( KPMG International ), a Swiss entity. All rights reserved. 34
IASB issues a new accounting standard, IFRS 16, Leases 7 The International Accounting Standards Board (IASB) on 13 January 2016, issued a new accounting standard, IFRS 16 Leases. The new standard is effective from 1 January 2019. An early application is permitted (as long as the recently issued revenue standard, IFRS 15, Revenue from Contracts with Customers is also applied). Some of the significant changes brought in by IFRS 16 are as follows: Most leases will be brought onto companies balance sheets, resulting in an increase in reported assets and liabilities. IFRS 16 does not distinguish between off-balance sheet operating leases and on-balance sheet finance leases (for the lessee the lease customer). IFRS 16 also changes the definition of a lease and increases its focus towards which party controls the use of the asset. As a result, several arrangements will have to be re-evaluated to determine if they are leases under the new standard. Short-term leases (less than 12 months) and those of low-value assets (such as personal computers) are exempt from the requirements. The new requirements is expected to affect a wide variety of sectors, from airlines to retailers. The larger the lease portfolio, the greater the impact on key reporting metrics and financial ratios. 2016 KPMG, an Indian Registered Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ( KPMG International ), a Swiss entity. All rights reserved. 35
Links to previous recordings of VOR Month Topics Link April 2014 May 2014 June 2014 July 2014 August 2014 September 2014 November 2014 Companies Act, 2013 implementation questions SEBI corporate governance norms New IFRS standard expected Revenue from contracts with customers Companies Act, 2013 - matters for first board and general meetings Treatment of mark to market losses on principal only currency swaps EAC opinion Deferred tax liability on special reserve created by banks impact on auditor s report ICAI s road map for adoption of Ind AS Revenue from contracts with customers - overview Companies Act, 2013 clarifications issued by the Ministry of Corporate Affairs (MCA) IFRS convergence key developments and challenges Tax accounting standards implementation challenges Next steps for companies Financial Instruments (2014) an overview Related party transactions the Companies Act, 2013 Recent amendments in tax audit forms Key amendments to Clause 49 of the Equity Listing Agreement Roadmap for IFRS convergence in India Exposure draft on Ind AS 101, First-time Adoption of Indian Accounting Standards Probable benefits and challenges of Ind AS conversion Click here Click here Click here Click here Click here Click here Click here 2016 KPMG, an Indian Registered Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ( KPMG International ), a Swiss entity. All rights reserved. 36
Links to previous recordings of VOR Month Topics Link January 2015 Ind AS implementation road map Revised drafts on Income Computation and Disclosure Standards (ICDS) Exposure Draft (ED) on Guidance Note (GN) on Accounting for Derivative Contracts Click here February 2015 March 2015 April 2015 May 2015 Overview of Income Computation and Disclosure Standards (ICDS) Significant impact areas of ICDS Next steps for ICDS implementation Overview of Section 143(12) of the Companies Act, 2013 Persons covered for reporting under Section 143(12) of the Companies Act, 2013 Reporting on frauds in various scenarios Overview of key changes and implementation challenges for companies that adopt ICDS from this year Overview of the financial reporting and regulatory developments introduced under the Indian GAAP during the year ended 31 March 2015 Salient features of Ind AS 16, Property, Plant and Equipment and Ind AS 38, Intangible Assets Key differences between AS 10, AS 26, Ind AS 16 and Ind AS 38 Key aspects of the application guide issued by the Institute of Chartered Accountants of India (ICAI) Click here Click here Click here Click here 2016 KPMG, an Indian Registered Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ( KPMG International ), a Swiss entity. All rights reserved. 37
Links to previous recordings of VOR Month Topics Link June 2015 Overview of Ind AS 103, Business Combinations Key differences between AS 14 and Ind AS 103 Overview of key amendments introduced by the Companies (Amendment) Act, 2015 Click here July 2015 Overview of Ind AS 110, Consolidated Financial Statements and Ind AS 27, Separate Financial Statements Key differences between AS 21, Consolidated Financial Statements and Ind AS 110 Overview of key relaxations for private companies from certain provisions of the Companies Act, 2013 Click here August 2015 Overview of Ind AS 28, Investment in Associates and Joint Ventures, Ind AS 111, Joint Arrangements and Ind AS 112, Disclosure of Interests in Other Entities Key differences between AS 23, Accounting for Investment in Associates in Consolidated Financial Statements and Ind AS 28 and between AS 27, Financial Reporting of Interests in Joint Ventures and Ind AS 111 Overview of key clarifications to IFRS 15, Revenue from Contracts with Customers proposed by the IASB Click here 2016 KPMG, an Indian Registered Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ( KPMG International ), a Swiss entity. All rights reserved. 38
Links to previous recordings of VOR Month/Year Topics Link September 2015 October 2015 November 2015 Updates related to accounting matters Updates related to financial reporting matters Other regulatory updates Overview of Ind AS 32, Financial Instruments, Presentation Key differences between Indian GAAP and and Ind AS 32 Overview of Exposure Drafts on Ind AS 11, Construction Contracts and Ind AS 18, Revenue Overview of Ind AS 109, Financial Instruments Draft interpretations on IAS 12, Income Taxes and IAS 21, The Effects of Changes in Foreign Exchange Rates Click here Click here Click here December 2015 Ind AS road map, IFC and ICDS The SEBI matters The accounting matters Click here 2016 KPMG, an Indian Registered Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ( KPMG International ), a Swiss entity. All rights reserved. 39
Q&A
KPMG in India s IFRS institute KPMG in India is pleased to re-launch IFRS Institute - a web-based platform, which seeks to act as a wide-ranging site for information and updates on IFRS implementation in India. The website provides information and resources to help board and audit committee members, executives, management, stakeholders and government representatives gain insight and access to thought leadership publications on the evolving global financial reporting framework. In addition to proprietary KPMG content, the website provides links to several other sources of information related to IFRS and its implementation. The site can be accessed by all interested parties at no cost. Additionally, the site provides the facility of registering as a member by providing certain minimal information. To download KPMG content, become registered members of the website by following a few easy steps. https://www.in.kpmg.com/ifrs You can reach us for feedback and questions at: in-fmkpmgifrsinst@kpmg.com 2016 KPMG, an Indian Registered Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ( KPMG International ), a Swiss entity. All rights reserved. 41
Sources 1. Ind AS 21, The Effects of Changes in Foreign Exchange Rates notified by the Ministry of Corporate Affairs (MCA) on 16 February 2015. 2. KPMG in India publication Transition to Ind AS Practical Insights, May 2011. 3. Ind AS 101, First-time Adoption of Indian Accounting Standards and KPMG in India IFRS Notes: IFRS Convergence a reality now! MCA notifies Ind AS standards and implementation roadmap dated 23 February 2015. 4. MCA notification dated 14 December 2015 and KPMG in India First Notes: MCA notifies sections in the Companies Act relating to reporting of frauds by auditors, an omnibus approval for related party transactions, and issues the corresponding rules dated 24 December 2015. 5. SEBI issued FAQs on Listing Regulations dated 8 January 2016 and KPMG in India First Notes: SEBI issues FAQs on certain provision of the SEBI Listing Regulations, 2015 dated 13 January 2016. 6. ICAI announcement Constitution of the Ind AS Transition Facilitation Group (ITFG) by the Accounting Standards Board dated 11 January 2016. 7. IASB press release IASB shines light on leases by bringing them onto the balance sheet dated 13 January 2016 and KPMG in India IFRS Notes: IASB issues a new accounting standard IFRS 16, Leases dated 15 January 2016. 2016 KPMG, an Indian Registered Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ( KPMG International ), a Swiss entity. All rights reserved. 42
IFRS Notes Issue 2015/11 IASB issues a new accounting standard IFRS 16, Leases 15 January 2016 International Accounting Standards Board on 13 January 2016, issued a new accounting standard, IFRS 16 Leases. At the simplest level, the accounting treatment of leases by lessees would change fundamentally. For the first time, analysts can anticipate to see a company s own assessment of its lease liabilities, which is calculated using a prescribed methodology that all companies reporting under IFRS will be required to follow. 2016 KPMG, an Indian Registered Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ( KPMG International ), a Swiss entity. All rights reserved. 43
Topics discussed in AAU and First Notes Accounting and Auditing Update (AAU) Issue no. 4/2015 Pharmaceutical Impact of Ind AS on the pharmaceutical sector Key considerations Survey analysis Ind AS 108, Operating Segments and its impact on the pharmaceutical sector Business combinations and accounting for intangibles ICDS - Potential impact on the pharmaceutical sector GST - A sweet pill for the Indian pharmaceutical sector Tax deductibility of business promotion expenses Regulatory updatesservice concession arrangements and embedded leases SEBI issues Frequently Asked Questions (FAQs) on certain provisions of the SEBI Listing Regulations, 2015 13 January 2016 First Notes Several representations have been made by various stakeholders highlighting the issues arising from the implementation of the aforesaid regulations. Accordingly, based on the queries/comments received from the market participants, SEBI recently issued FAQs on certain provisions of the Listing Regulations which provide guidance/clarifications on various issues raised by stakeholders. This issue of First Notes aims to provide an overview of the key clarifications/guidance provided in the FAQs issued by SEBI. 2016 KPMG, an Indian Registered Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ( KPMG International ), a Swiss entity. All rights reserved. 44
Others Missed an issue of Accounting and Auditing Update? Missed an issue of First Notes? Coming up next January 2016 New issue of: Accounting and Auditing Update First Notes IFRS Notes Download from www.kpmg.com/in 2016 KPMG, an Indian Registered Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ( KPMG International ), a Swiss entity. All rights reserved. 45
Thank You The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavour to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. 2016 KPMG, an Indian Registered Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ( KPMG International ), a Swiss entity. All rights reserved. The KPMG name and logo are registered trademarks or trademarks of KPMG International. KPMG.com/in