The Institute of Chartered Accountants of India came up with the drafts of Indian valuation standards, seeking to provide a benchmark to professionals to ensure uniformity in approach and quality of valuation output.
The Valuation Standards Board (VSB), which was set up by the CA Institute in 2017, has now exposed as many as 10 draft valuation standards for public comments by May 12 this year, as per the sources.
Valuation field has an important part in insolvency resolution where liquidation value has to be ascertained by resolution professional through the registered valuers. The proposed valuation standards are expected to standardise the various principles, practices and procedures followed by registered valuers/ valuation professionals in valuation of assets and liabilities.
The valuation standards set out concepts, principles, practices and procedures which are generally accepted internationally having regard to prevailing legal framework, procedures and practices in India.