The IASB met on September 21, 2023, to continue its discussions on the project. he IASB tentatively decided to propose amendments to IFRS 12 Disclosure of Interests in Other Entities.

The IASB tentatively decided to propose that an investor disclose the gain or loss from recognizing its share of other changes in its associate’s net assets that change its ownership interest, while it retains significant influence.

The IASB tentatively decided to propose that an investor that has entered into a contingent consideration arrangement disclose on obtaining significant influence in an associate (i) the amount recognized as part of the cost of the investment; (ii) a description of the arrangement and the basis for determining the amount of the payment; (iii) an estimate of the range of outcomes (undiscounted) or, if a range cannot be estimated, that fact and the reasons why a range cannot be estimated. If the maximum amount of the payment is unlimited, the investor shall disclose that fact and for each subsequent reporting period until the investor collects or settles the contingent consideration or it is cancelled or expires (i) any changes in the recognized amounts, including any differences arising upon settlement; (ii) any changes in the range of outcomes (undiscounted) and the reasons for those changes; and the valuation techniques and key model inputs used to measure the contingent consideration.

The IASB tentatively decided to propose that an investor disclose its gains or losses on transactions to its associates. The IASB tentatively decided to propose that an investor disclose a reconciliation between the opening and closing carrying amount of its investments in associates, to meet the new disclosure objective.

Review the IASB Update and podcast on the Board's Web site.