IAS 11 — Construction Contracts
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Effective date: |
First effective as Canadian GAAP under Part I for interim and annual financial statements relating to fiscal years beginning on or after January 1, 2011, except for subsequent amendments. Earlier application of Part I was permitted. |
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Published by the IASB: |
December 1993 |
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Included in Part I of CPA Canada Handbook: |
January 2010 |
Overview
IAS 11 Construction Contracts provides requirements on the allocation of contract revenue and contract costs to accounting periods in which construction work is performed. Contract revenues and expenses are recognized by reference to the stage of completion of contract activity where the outcome of the construction contract can be estimated reliably, otherwise revenue is recognized only to the extent of recoverable contract costs incurred.
History of IAS 11
The following table shows the history of this standard subsequent to the adoption of IFRS in Canada.
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Date1 |
Development |
Comments |
Included in Part I of the CPA Canada Handbook2 |
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January 2010 |
Part I of the CPA Canada Handbook issued |
Effective for interim and annual financial statements relating to fiscal years beginning on or after January 1, 2011. Earlier application is permitted. |
January 2010 |
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May 28, 2014 |
IAS 11 will be superseded by IFRS 15 Revenue from Contracts with Customers, which is effective for annual periods beginning on or after January 1, 2018. Earlier application is permitted. |
February 2015 |
Notes
- For further details of relevant developments prior to this, please refer to our Deloitte Global section.
- Newly issued, amended or revised IFRSs are part of Canadian GAAP only after they are approved by the Accounting Standards Board in accordance with its due process.
The above summary does not include details of consequential amendments made as the result of other projects.
Related Interpretations
Related IFRIC Agenda Rejection Notices
The rejection notices are available in our Deloitte Global section.
- IAS 38 — Accounting by a real estate developer for sales costs during construction (May 2009)
- IAS 11 — Allocation of profit in a single contract (November 2006)
- IAS 11 — Construction Contracts and IAS 18 Revenue: Pre-completion contracts for the sale of residential properties (November 2004)
- IAS 11 — Project accounting - contractee's accounting (September 2004)
- IAS 11 — Pre-contract costs (July 2002)
Amendments under consideration
- None
