IASB and FASB issue new, converged revenue standards
May 28, 2014
The International Accounting Standard Board (IASB) has today published its new revenue Standard, IFRS 15 "Revenue from Contracts with Customers". At the same time, the US-based Financial Accounting Standards Board (FASB) has published its equivalent revenue standard, ASU 2014-09 'Revenue from Contracts with Customers' (Topic 606).
The standards are the result of a convergence project between the two Boards. IFRS 15 specifies how and when an IFRS reporter will recognize revenue as well as requiring such entities to provide users of financial statements with more informative, relevant disclosures. The standard supersedes IAS 18, Revenue, IAS 11, Construction Contracts and a number of revenue-related interpretations. Application of the standard is mandatory for all IFRS reporters and it applies to nearly all contracts with customers: the main exceptions are leases, financial instruments and insurance contracts.
Review the IASB's press release and the FASB's press release.
Related Topics
- IFRS 15 — Revenue from Contracts with Customers
- IAS 18 — Revenue
- IAS 11 — Construction Contracts
- IFRIC 18 — Transfers of Assets from Customers
- SIC-31 — Revenue – Barter Transactions Involving Advertising Services
- IFRIC 13 — Customer Loyalty Programs
- IFRIC 15 — Agreements for the Construction of Real Estate
