The podcast highlights some of the projects that were discussed during the meeting, including:

• climate-related and other uncertainties in the financial statements
• management commentary
• power purchase agreements

The podcast can be accessed here on the IFRS Foundation website

The IASB is soliciting feedback on proposed amendments to IFRS 3 Business Combinations. These amendments would necessitate companies to divulge the objective and associated performance targets of their most significant acquisitions, along with whether these targets are achieved in subsequent years.

Further, companies must furnish details regarding anticipated synergies for all substantial acquisitions. Nevertheless, the proposals ensure that companies need not disclose information that could jeopardize their acquisition objectives. Additionally, the IASB suggests complementary adjustments to IAS 36 Impairment of Assets to refine the impairment test. Interested parties have until July 15, 2024, to provide their comments on the ED.

Access the press release and the Investor Perspectives article on the IASB’s website.

The purpose of the session is to inform academics involved in teaching financial reporting modules on the new requirements in IFRS 18 coming into effect on January 1, 2027. The session also aims to stimulate academic discussion and research that will be useful for the post-implementation review of IFRS 18.

The workshop will be structured in three sections: 1) New defined subtotals in the statement of profit or loss; 2) Requirements for aggregation and disaggregation, and 3) Management-defined performance measures.

Access the registration details on the EAA’s website.

The 2024 IFRS Accounting Taxonomy is consistent with IFRSs issued by the IASB on January 1, 2024, including those issued but still not effective. The 2024 IFRS Taxonomy also incorporates the changes made to the IFRS Taxonomy in 2023, reflecting amended IFRSs and standard reporting practices by companies that apply IFRS Accounting Standards and general taxonomy improvements.

Access the press release on the IFRS’s website.

Below is an analysis of all changes made to the work plan since our last analysis on February 29, 2024

Standard-setting projects

• Business combinations — Disclosures, goodwill and impairment— Following the publication of the exposure draft on March 14, 2024, the next expected project step is now the discussion of the feedback received expected to begin in H2 2024 
• Financial instruments with characteristics of equity — Discussion of the feedback received on the exposure draft is now expected to begin in May 2024 (previously Q2 2024)

Maintenance projects

• Amendments to the classification and measurement of financial instruments — Final amendments are now expected to be published in May 2024 (previously Q2 2024)

IASB publications expected in March

•  IFRS Accounting Taxonomy Update — Amendments to IAS 12, IAS 21, IAS 7 and IFRS 7— as part of the IFRS Accounting Taxonomy 2024
• IFRS Accounting Taxonomy Update — Common practice (Financial instruments) and general improvements— as part of the IFRS Accounting Taxonomy 2024

The above is a faithful comparison of the IASB and ISSB work plan on 29 February 2024 and 26 March 2024.

For access to the current work plan at any time, please click here.

During the meeting, the IASB explained its reasons for suggesting a shortened comment period:

• IASB added the project on power purchase agreements as an urgent project in July 2023, following requests from stakeholders for a timely solution to the issue. Following the development of a possible solution by the staff, the IASB then discussed the problem at all meetings from December 2023 to March 2024.
• To achieve its objective of providing a timely solution as asked for by stakeholders, the IASB expects to publish an exposure draft in May 2024 and is currently aiming to finalize the amendments in 2024.
• Throughout the project, the IASB did extensive outreach with stakeholders - "shared the sandbox" with them - so stakeholders know what is coming and will only need to comment on technical details.
• The IASB has communicated the status of the project and the progress made throughout the project.
• The proposed changes are narrow-scope amendments affecting particular requirements in IFRS 9 only.
• Implementing the proposed amendments would be manageable for preparers.

The DPOC followed the reasoning of the IASB and only asked a few clarifying questions. It finally agreed to a shortened comment period of 90 days.

Access the agenda paper and the recording of the DPOC meeting on the IASB’s website.

The proposals in the Exposure Draft respond to stakeholder feedback that reporting on acquisitions poses difficulties for both investors and companies:

• Investors lack sufficient and timely information about acquisitions and post-acquisition performance.
• Companies seek to provide useful information to investors but see risks and costs in providing some information, particularly commercially sensitive information that could be used by competitors.

Stakeholders have expressed concerns regarding the complexity and effectiveness of the impairment test for operations with allocated goodwill. In response, the IASB is proposing amendments to IFRS 3 Business Combinations. These changes would mandate companies to disclose objectives and performance targets of significant acquisitions, along with their subsequent achievements. Additionally, information on expected synergies for all material acquisitions would be required, with safeguards in place to protect sensitive acquisition objectives. The proposed amendments also include targeted improvements to the impairment test under IAS 36 Impairment of Assets.

The IASB is inviting feedback on the Exposure Draft Business Combinations—Disclosures, Goodwill and Impairment by July 15, 2024.

Access the press release and the exposure draft on the IASB’s website.

The series on perspectives papers is now as follows:

• The Case for Realigning Reporting Standards with Modern Value Creation(September 2021)
• Human Capital Introspective(May 2022)
• Rethinking Brand Value(September 2022)
• Deciphering Technology(July 2023)
• Data and Valuation(March 2024)

Access the press release on the IVSC’s website.

Below is an analysis of all changes made to the work plan since our last analysis on March 23, 2024

Standard-setting projects

• Equity Method — An exposure draft is expected in Q3 2024 (previously H2 2024)
• Management Commentary — A decision on the project direction is now expected in June 2024 (previously Q2 2024)
• Primary Financial Statements — This project has been removed from the work plan since the issuance of IFRS 18 Presentation and Disclosures in Financial Statements on April 9

Maintenance projects

• Annual improvements to IFRS Accounting Standards — The following now have the final amendment to be issued in July 2024 (previously Q3 2024):
• Cost Method (Amendments to IAS 7) 
• Derecognition of Lease Liabilities (Amendments to IFRS 9) 
• Determination of a ‘De Facto Agent’ (Amendments to IFRS 10) 
• Disclosure of Deferred Difference between Fair Value and Transaction Price (Amendments to Guidance on implementing IFRS 7) 
• Gain or Loss on Derecognition (Amendments to IFRS 7) 
• Hedge Accounting by a First-time Adopter (Amendments to IFRS 1) 
• Introduction and Credit Risk Disclosures (Amendments to Guidance on implementing IFRS 7) 
• Transaction Price (Amendments to IFRS 9)
• Climate-related and Other Uncertainties in the Financial Statements — The next project step will now be an exposure draft expected to be published in Q3 2024.

Governance projects

• ISSB Consultation on Agenda Priorities — A feedback statement is now expected in June 2024 (previously Q2 2024)

Research projects

• Business Combinations under Common Control — This project has been removed from the work plan since the IASB completed it by publishing a project summary on April 17, 2024
• Intangible Assets — This project has been added to the work plan and a review of the research is expected in H2 2024
• Post-implementation Review of IFRS 15 — Revenue from Contracts with Customers — A feedback statement is now expected in Q3 2024 (previously H2 2024).

Other projects

• IFRS Accounting Taxonomy Update: The following projects were removed from work plan since the release of the update on March 27:
• Amendments to IAS 12, IAS 21, IAS 7 and IFRS 7
• Common Practice (Financial Instruments) and General Improvements
• IFRS Accounting Taxonomy Update — Primary Financial Statements — A proposed IFRS Taxonomy Update is expected in May 2024 (previously Q2 2024)
• IFRS Accounting Taxonomy Update — Subsidiaries without Public Accountability: Disclosure and Amendments to IFRS 7 and IFRS 9 — A proposed IFRS Taxonomy Update is expected in Q3 2024 (previously H2 2024)
• IFRS Sustainability Disclosure Taxonomy — This project has been removed from the work plan since the ISSB published the disclosure taxonomy in April 2024.

The above is a faithful comparison of the IASB and ISSB work plan on March 26, 2024 and April 29, 2024

For access to the current work plan at any time, please click here.

The podcast highlights some of the projects that were discussed during the meeting, including:

• updates to the work plan;
• post-implementation review of IFRS 15; 
• rate-regulated activities;
• second comprehensive review of the IFRS for SMEsAccounting Standard.

The podcast can be accessed here on the IFRS Foundation website.