Difference Between AS 20 and Ind AS 33

Accounting Standard 20: The objective of AS 20 is to describe principles for determination and presentation of earnings per share which will improve comparison of performance among different enterprises for the same period and among different accounting periods for the same enterprise. 

Earnings per share (EPS) is a financial ratio indicating the amount of profit or loss for the period attributable to each equity share and AS 20 gives computational methodology for determination and presentation of basic and diluted earnings per share.

This Accounting Standard is mandatory for all companies. However, disclosure of diluted earnings per share (both including and excluding extraordinary items) is not mandatory for SMCs. Such companies are however encouraged to make these disclosures.

In consolidated financial statements, the information required by AS 20 should be presented on the basis of consolidated information.

Recommended

Ind AS 33 Earnings per Share

The objective of Ind AS 33 is to prescribe principles for the determination and presentation of earnings per share, so as to improve performance comparisons between different entities in the same reporting period and between different reporting periods for the same entity. The focus of this Standard is on the denominator of the earnings per share calculation.

Ind AS 33 shall be applied to companies that have issued ordinary shares to which Indian Accounting Standards (Ind AS) notified under the Companies Act applies.

An ordinary share is an equity instrument that is subordinate to all other classes of equity instruments. A potential ordinary share is a financial instrument or other contract that may entitle its holder to ordinary shares.

Difference Between AS 20 and Ind AS 33

AS 20 IND AS 33
Requires the disclosure of EPS with and without extraordinary items. As per IND AS 1 on “Presentation of Financial Statements” no item of income or expense can be recognised as extraordinary item. Thus, as per IND AS 33. EPS has to be disclosed without extraordinary items only.
Does not require disclosure of basic and diluted EPS from continuing and discontinued operations separately. Requires the disclosure of basic and diluted EPS from continuing and discontinued operations separately.
Does not specifically deals with the same. Provides additional clarity and guidance on aspects like options held by entity on its own shares like: written put options, purchased options, etc.