Expected credit loss: provision matrix
Estimates the loss allowance on trade receivables using an ageing-based provision matrix, the simplified approach in Ind AS 109.
The loss rates shown are illustrative only. Derive yours from historical loss experience for each ageing bucket, adjusted for current conditions and forward-looking information, and consider segmenting by customer type, geography or product. Credit-impaired balances are assessed individually.
Basis: Indian Accounting Standards as notified under the Companies Act, 2013. Rates and formulas last checked on 9 November 2026.
An estimate for general information, printed from https://ameeshguptaco.com/tools/ecl/. It is not professional advice on your facts; please consult us before acting on it.