Which Ind AS governs share-based payment?

Therefore, when applying Ind AS 102 an entity measures fair value in accordance with this Standard, not Ind AS 113. 7 An entity shall recognise the goods or services received or acquired in a share-based payment transaction when it obtains the goods or as the services are received.

What is the condition to receive share-based?

An entity that receives goods or services in a share-based payment arrangement must account for those goods or services no matter which entity in the group settles the transaction, and no matter whether the transaction is settled in shares or cash.

What are share-based payments reserve?

A share-based payment transaction in which the entity acquires goods or services by incurring a liability to transfer cash or other assets to the supplier of those goods or services for amounts that are based on the price (or value) of equity instruments (including shares or share options) of the entity or another …

What are equity settled share based payments?

Equity-settled share-based payments – transactions in which the entity (a) receives goods or services as consideration for its own equity instruments (including shares or share options); or (b) receives goods or services but has no obligation to settle the transaction with the supplier.

What is share-based compensation plan?

Stock Based Compensation (also called Share-Based Compensation or Equity Compensation) is a way of paying employees, executives, and directors of a company with equity in the business. Shares issued to employees are usually subject to a vesting period before they are earned and can be sold.

What are share based payment arrangements among group entities?

Share-based payment arrangements involving equity instruments of the parent The second issue concerns share-based payment transactions between two or more entities within the same group involving an equity instrument of another group entity.

How to recognize a share based payment transaction?

How to recognize share-based payments The basic recognition principle is to recognize goods or services received in a share-based payment transaction when the goods are obtained or as the services are received. Goods or services acquired should be recognized as expenses in profit or loss unless they qualify for recognition as assets.

How does credit work in share based payment?

The credit side depends on the type of share-based payment arrangement: If the goods or services were acquired in an equity-settled share-based payment transaction, then the corresponding increase is recognized in equity.

What does share based payment in IFRS mean?

Share-based payment arrangement is an agreement between the entity and another party (including an employee) whereby the other party receives: cash or other assets of the entity for amounts that are based on the price (or value) of equity instruments (including shares or share options) of the entity or another group entity.