• ER. AMIT MANGAL
• PROF.(DR.) PUNIT GOEL
• DR. LALIT KUMAR

Revenue recognition is a critical aspect of financial reporting, influencing how companies report their earnings and manage their financial performance. With the implementation of the new standards, ASC 606 and IFRS 15, companies worldwide are navigating significant changes in revenue recognition practices. This study provides a comparative analysis of ASC 606, which governs revenue recognition for U.S. entities, and IFRS 15, which applies to entities following international accounting standards. The research aims to highlight the similarities and differences between these standards and their implications for achieving compliance. ASC 606, developed by the Financial Accounting Standards Board (FASB), and IFRS 15, established by the International Accounting Standards Board (IASB), were introduced to enhance the consistency and transparency of revenue recognition across industries and borders. Both standards are built upon the same core principles, focusing on recognizing revenue as the transfer of control over goods or services to customers, measured at the transaction price allocated to performance obligations. However, despite their foundational similarities, ASC 606 and IFRS 15 exhibit notable differences in their application and interpretation. This study employs a mixed-methods approach, combining a detailed literature review with case studies from various industries to assess how these standards affect revenue recognition practices. The literature review synthesizes existing research on ASC 606 and IFRS 15, identifying key areas of divergence and convergence between the two frameworks. Case studies offer practical insights into how companies have adapted their revenue recognition policies and procedures to comply with these standards. Key findings indicate that while ASC 606 and IFRS 15 share a common objective of improving revenue reporting, differences in implementation and guidance exist. For example, ASC 606 provides more specific guidance on identifying performance obligations and contract modifications, whereas IFRS 15 emphasizes a broader approach to revenue recognition and allows for more judgment in certain areas. These differences can lead to varied interpretations and application, impacting financial statements and comparability. The implications for companies are significant, particularly in terms of transition and compliance costs, financial reporting, and stakeholder communication. Organizations must navigate these complexities to ensure accurate and consistent revenue recognition, which is crucial for maintaining investor confidence and meeting regulatory requirements.

• Revenue Recognition • ASC 606 • IFRS 15 • Financial Reporting • Compliance • Accounting Standards • Performance Obligations • Transaction Price • Control Transfer • Financial Statements • Case Studies • Implementation Differences • International Accounting • Regulatory Requirements • Stakeholder Communication

"Achieving Revenue Recognition Compliance: A Study of ASC606 vs. IFRS15", International Journal of Emerging Technologies and Innovative Research (www.jetir.org), ISSN:2349-5162, Vol.9, Issue 7, page no.h278-h295, July-2022, Available :http://www.jetir.org/papers/JETIR2207742.pdf

"Achieving Revenue Recognition Compliance: A Study of ASC606 vs. IFRS15", International Journal of Emerging Technologies and Innovative Research (www.jetir.org | UGC and issn Approved), ISSN:2349-5162, Vol.9, Issue 7, page no. pph278-h295, July-2022, Available at : http://www.jetir.org/papers/JETIR2207742.pdf