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Quarterly GAAP Bulletin - February 2026

06 Feb 20262 min read

Key accounting, auditing, and regulatory updates

The latest edition of the Quarterly GAAP Bulletin summarises significant accounting, auditing, and regulatory updates, compiled to meet the needs of dynamic Indian businesses and focuses on key developments in India and across the globe.

This edition covers updates from October to December 2025.

Key updates

New Labour Codes notified by the Ministry of Labour and Employment (MoLE), along with related FAQs issued by ICAI and MoLE.
The MCA has increased the thresholds of identifying a small company and introduced key procedural changes to directors’ identification and KYC compliance.
SEBI has amended the master circular on minimum information to be provided to the audit committee and shareholders for the approval of related party transactions (RPTs), and has further notified changes to material RPTs vide an amendment to SEBI LODR.
The RBI has notified revised timelines governing export-related payments under the FEMA Regulations and introduced a key amendment in the definition of a “fortnight” for CRR and SLR maintenance framework.
EAC opinions on various accounting matters have been covered in this edition.
The IAASB has issued supplemental guidance to the ISSA 5000, General Requirements for Sustainability Assurance Engagements, which provides eight illustrative sustainability assurance reports, including both unmodified and modified reports.
The IASB has issued illustrative examples demonstrating how companies can apply IFRS when reporting the effects of uncertainties in their financial statements. Furthermore, it has issued amendments to IAS 21 for translating financial information into hyperinflationary currencies.
The FASB has issued accounting standards updates on various topics, including purchases and loans, hedge accounting, government grants, and interim reporting, and has carried out certain codification improvements.
Regulators have released the following exposure drafts for public comment:
- RBI: Draft RBI (Scheduled Commercial Banks & All India Financial Institutions - Asset Classification, Provisioning and Income Recognition) Directions, 2025.
- ICAI: Proposed Ind AS 119 “Subsidiaries without Public Accountability: Disclosures” and Information Systems Audit Standards (ISAS).
- IASB: Proposed amendment to IFRS 9 and IFRS 7 on a new accounting model to reflect how financial institutions manage interest rate risk.