Business Combinations, Disclosures, Goodwill and Impairment – International Accounting Standards Board
At its meeting on February 20-23, 2023, the IASB met to discuss its project on Business Combinations—Disclosures, Goodwill and Impairment. In particular, the IASB discussed a management approach to disclosing information about the subsequent performance of business combinations. Following a discussion, the IASB made a number of tentative decisions. At future meetings, the IASB will make tentative decisions on matters including: (a) clarifying other aspects of the disclosure requirements for business combinations; (b) reducing the cost and complexity of applying the impairment test of cash-generating units in IAS 36 Impairment of Assets; and (c) improving the effectiveness of the impairment test of cash-generating units containing goodwill. Once the IASB has made tentative decisions on all aspects of the project, it will consider whether the package of decisions meets the project objective and whether to publish an exposure draft setting out its proposals.
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