At its meeting on October 18-19, 2016, the IASB tentatively decided to propose amendments to IAS 16. The amendments would prohibit the deduction from the cost of an item of PPE the proceeds from selling items produced while making that item of PPE available for use.

Additionally, the Board tentatively decided to: (i) require an entity to apply the proposed amendments only to items of PPE made available for use from the beginning of the earliest comparative period when first applying the amendments; and (ii) not to provide transition relief for first-time adopters.

The Board will consider the comment period and due process steps taken on the proposed narrow-scope amendment to IAS 16 at a future meeting.

Review the IASB Update on the IASB's Web site.

At its meeting on October 18-19, 2016, the IASB continued its discussions on long-term interests in an associate or joint venture. The Board tentatively decided to propose amendments to IAS 28 to clarify that an entity applies IFRS 9, Financial Instruments, in addition to IAS 28, to long-term interests. The Board also tentatively decided to include the proposed amendments in the next cycle of annual improvements (2015–2017).

The Board also tentatively decided to propose an effective date of January 1, 2018, with earlier application permitted.

The Board will consider the comment period and due-process steps taken on the proposed amendments to IAS 28 at a future meeting.

Review the IASB Update on the IASB's Web site.

At its meeting on October 18, 2016, the IASB decided that the comment period for the Principles of Disclosure Discussion Paper should be 180 days. To allow Board members to focus on their review of the forthcoming IFRS Standard on insurance contracts, expected publication of the Principles of Disclosure Discussion Paper has been rescheduled from December 2016 to the first half of 2017.

Review the IASB Update on the IASB's Web site.

At its meeting on October 18-19, 2016, the IASB discussed the following two sweep issues that had arisen during the drafting of the proposed amendments: (i) consistent identification of reportable segments; and (ii) the number of reported line items. The Board expects to publish an Exposure Draft of amendments to IFRS 8.

Review the IASB Update on the IASB's Web site.

At its meeting on October 18-19, 2016, the IASB discussed the 2015 Agenda Consultation and gave the staff permission to publish the Feedback Statement. The Board expects to publish the Feedback Statement in November 2016.

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At its meeting on October 18-19, 2016, the IASB discussed claims that grant the issuer the right to choose between alternative settlement outcomes. Discussion continued to focus on developing the Gamma approach to classification and presentation. At a future meeting the Board will discuss: (i) classification of instruments meeting the existing puttables exception; (ii) substance of rights and obligations in contracts and the interaction with legal and regulatory requirements; and (iii) recognition, derecognition and reclassification of equity instruments.

Review the IASB Update on the IASB's Web site.

At its meeting on October 18, 2016, the IASB discussed the concepts on executory contracts and the unit of account and the definition of materiality proposed in the May 2015 Exposure Draft, Conceptual Framework for Financial Reporting. The Board also discussed asymmetry in treating gains and losses. Further, the staff introduced an approach to testing of the proposed asset and liability definitions.

At the November Board meeting, the Board will discuss concepts related to: (i) the definition of a liability; (ii) derecognition; and (ii) capital maintenance. The Board will also discuss the results of an exercise undertaken by the staff to test with preparers the effects of the revised Conceptual Framework. Further, the Board will discuss the Updating References to the Conceptual Framework Exposure Draft.

Review the IASB Update on the IASB's Web site.

At its meeting on October 18, 2016, the IASB discussed the comments received on the Exposure Draft IFRS Practice Statement: Application of Materiality to Financial Statements. The Board discussed and tentatively made decisions on the following: (i) audience, focus and definition; (ii) primary users' needs and expectations; (iii) the materiality process; (iv) primary financial statements versus notes and aggregation/disaggregation of information; (v) accounting policy disclosures; (vi) comparative versus corresponding approach and conflicts with local regulations; (vii) interim reporting; and (viii) publicly available information.

At a future meeting the Board is expected to confirm the form that guidance on the application of materiality should take, discuss the interaction of materiality with stewardship and clarify terminology issues in preparation for drafting the final guidance.

Review the IASB Update on the IASB's Web site.

At its meeting on October 18-19, 2016, the IASB ratified IFRIC Interpretation Foreign Currency Transactions and Advance Consideration. The Interpretation addresses how to determine the exchange rate to use on initial recognition of the related asset, expense or income on the derecognition of a non-monetary asset or non-monetary liability arising from advance consideration in a foreign currency. The Board expects to issue the Interpretation before the end of 2016.

Review the IASB Update on the IASB's Web site.