IASB issues narrow-scope amendments to IFRS 2 Share-based Payment

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Jun 20, 2016

On June 20, 2016, the International Accounting Standards Board (IASB) issued amendments to IFRS 2 "Share-based Payment", clarifying how to account for certain types of share-based payment transactions.

The amendments, which were developed through the IFRS Interpretations Committee, provide requirements on the accounting for:

  • the effects of vesting and non-vesting conditions on the measurement of cash-settled share-based payments;
  • share-based payment transactions with a net settlement feature for withholding tax obligations; and
  • a modification to the terms and conditions of a share-based payment that changes the classification of the transaction from cash-settled to equity-settled.

Companies are required to apply the amendments for annual periods beginning on or after January 1, 2018. Earlier application is permitted.

Further information about the amendments—Classification and Measurement of Share-based Payment Transactions (Amendments to IFRS 2)—can be on the IASB's Web site.


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