Goodwill and Impairment – International Accounting Standards Board
At its meeting on May 23-27, 2022, the IASB met to discuss its Goodwill and Impairment project. The IASB discussed additional research on: (i) whether it is feasible to estimate the useful life of goodwill and the pattern in which it diminishes; and (ii) the potential consequences of transitioning to an amortization-based model. The IASB was not asked to make any decisions. The IASB will complete its research on the practical concerns raised by stakeholders with regard to the preliminary views described in the Discussion Paper on potential improvements to the disclosure requirements about business combinations. The IASB will then make decisions about: (a) the package of disclosure requirements about business combinations; (b) its preliminary view to retain the impairment-only model for the subsequent accounting for goodwill; and (c) other topics within the scope of the project.
Review the IASB Update and podcast on the Board's Web site.
