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News

IFRS - Deloitte Image

Deloitte Global launches enhanced IFRS e-learning website

Jan 15, 2021

We are pleased to announce a major redesign to our Global IFRS e-learning platform. The site allows external users to complete over 40 of Deloitte’s IFRS e-learnings free of charge with 6 million+ uses in recent years.

Deloitte Global has developed its high quality e-learning modules to help users develop their knowledge and application of the basic principles and concepts of IFRS and IAS Standards. Our e-learning on IFRS has been a leading educational and training resource on IFRS since it was initially released in 2004, with a range of corporate, educational and professional organizations using the content as their primary tool for IFRS education.

Access our redesigned and enhanced e-learning platform here. Of course you can also continue to access the individual modules through the IAS Plus e-learning page.

IESBA (International Ethics Standards Board for Accountants) (lt gray) Image

IESBA underlines importance of objectivity for engagement quality reviewers and other appropriate reviewers through enhanced guidance

Jan 14, 2021

On January 14, 2021, the International Ethics Standards Board for Accountants (IESBA) released revisions to the International Code of Ethics for Professional Accountants (including International Independence Standards) (the Code) addressing the objectivity of an engagement quality reviewer (EQR) and other appropriate reviewers. This project dovetailed with the International Auditing and Assurance Standards Board’s (IAASB’s) development of International Standard on Quality Management (ISQM) 2, Engagement Quality Reviews, which was finalized in December 2020.

The revisions provide guidance that supports ISQM 2 in addressing the eligibility of an individual to serve in an EQR role, focusing on the critical attribute of objectivity. Among other matters, the guidance:

  • Elaborates on the need to identify, evaluate and address threats to compliance with the fundamental principle of objectivity that might arise in the appointment of an individual as an EQR for a given engagement;
  • Explicitly refers to and supports the requirement in ISQM 2 for a firm to establish, as a condition for eligibility, a cooling-off period of two years before an engagement partner can assume the EQR role on the same engagement; and
  • Emphasizes that this cooling-off requirement in ISQM 2 serves the dual objective of supporting compliance with the fundamental principle of objectivity and the  high quality of engagements.

The guidance may also apply in situations where, as a safeguard to address identified threats to compliance with the fundamental ethics principles, an individual is appointed as an appropriate reviewer for work performed.

The enhanced guidance will become effective December 2022.

Review the press release and revisions on the IESBA's website.

IFRS - AcSB Image

AcSB Response – Business Combinations—Disclosures, Goodwill and Impairment

Jan 13, 2021

On January 13, 2021, the International Accounting Standards Board (IASB) published the comment letter submitted by the Accounting Standards Board (AcSB) in response to its Exposure Draft issued in April 2020. The IASB’s proposals take significant steps forward towards improving the accounting for goodwill and enhancing the relevance of information about acquisitions.

While the AcSB is supportive of the IASB’s objectives in developing the Discussion Paper, they encourage the IASB to consider areas where additional guidance is needed to address possible application challenges that may arise, should it decide to advance the proposals in the Discussion Paper. Their suggestions are made in order to strike an appropriate balance between users’ needs for better information about acquisitions, the effort and level of professional judgment required of preparers to generate that information, and the interaction of the proposals as a package of views.

Review the comment letter on the IASB's website.

IFRS - IASB Image

Educational material on going concern requirements

Jan 13, 2021

On January 13, 2021, the IFRS Foundation issued educational material, "Going concern — a focus on disclosure", which intends to supports companies in its implementation of the requirements related to the preparation of financial statements using IFRS Standards on a going concern basis.

IAS 1 requires management to make an assessment of an entity's ability to continue as a going concern. If management has significant concerns about the entity's ability to continue as a going concern, the uncertainties must be disclosed. In the current stressed economic environment arising from the covid-19 pandemic, deciding whether the financial statements should be prepared on a going concern basis may involve a greater degree of judgement than usual.

Review the press release and publication on the IASB’s website.

IFRS - IASB Image

IFRS Foundation webinars: Academics and the PIRs of IFRS 9, IFRS 15, and IFRS 16

Jan 12, 2021

On January 12, 2021, the IFRS Foundation announced that it is offering three webinars aimed at identifying how academics can contribute to the post-implementation reviews (PIRs) of IFRS 9 'Financial Instruments', IFRS 15 'Revenue from Contracts with Customers', and IFRS 16 'Leases'.

Each webinar will be offered once in the morning and once in the afternoon to accommodate stakeholders in different time zones. The webinars will last approximately 60 minutes and will consist of an overview of the standard’s objectives and related research opportunities, followed by questions and answers.

Please click for registration on the IASB website:

IFRS 9, Thursday 21 January 2021:

IFRS 16, Friday 22 January 2021:

IFRS 15, Monday 8 February 2021:

Re­view the press re­lease on the IASB’s web­site.

PSAS - PSAB Image

PSAB Government Not-for-Profit Strategy Consultation Paper II

Jan 11, 2021

On January 11, 2021, the Pub­lic Sec­tor Ac­count­ing Board (PSAB) issued a new Consultation Paper together with related supporting information in respect of its project to develop a strategy for financial reporting by government not-for-profit organizations. Com­ments on the Consultation Paper are re­quested by May 12, 2021.

In PSAB’s 2017-2022 Strategic Plan, the Board signaled intent to understand the needs and concerns of government not-for-profit Organizations (GNFPOs) and consider if some standards should be applied differently by them.

The purpose of this Consultation Paper is to:

  • summarize the feedback to Consultation Paper I;
  • describe the options considered for a GNFPO Strategy;
  • describe the decision-making criteria used to evaluate the options; and
  • propose a GNFPO Strategy.

In this Consultation Paper, of the three options identified, PSAB proposes that GNFPOs should apply Option 2 – PSAS incorporating the PS 4200 series with potential customizations as the strategy going forward. As part of this proposal, the existing standards in the PS 4200 series would be reviewed to determine if they should be retained and added to PSAS. This may involve amending standards to update them and ensure consistency with PSAB’s conceptual framework. Also, PSAB would be able to provide customized solutions for GNFPOs if it identifies substantive and distinct accountabilities warranting a modification of existing PSAS.

PSAB expects to be in a position to decide on the future of its GNFPO Strategy by late fall 2021, once it has considered all responses to Consultation Paper II. When it has decided, the Board will explain the reasoning for its future GNFPO Strategy through various communication channels.

For further details, refer to the following material on the PSAB's web­site:

PSAS - PSAB Image

Exposure Drafts – Revised Financial Reporting Model for the Canadian Public Sector

Jan 11, 2021

On January 11, 2021, the Pub­lic Sec­tor Ac­count­ing Board (PSAB) issued two Exposure Drafts together with related supporting information in respect of its project to develop a new Financial Reporting Model for the Canadian public sector. Com­ments on the Exposure Drafts are re­quested by May 12, 2021.

The Exposure Drafts propose:

  • replacing the existing Section PS1201, Financial Statement Presentation, with a new Section PS1202 of the same name; and
  • making consequential amendments to various other Sections in the PSA Handbook.

The main features of the Exposure Draft relate to the financial statement package, which includes:

  • a statement of financial position (changes);
  • a statement of net financial assets or net financial liabilities (new);
  • a statement of operations (changes);
  • a statement of changes in net assets or net liabilities (new);
  • a statement of cash flow (changes); and
  • accompanying notes and schedules (changes).

The Exposure Draft also features new budget requirements.

The proposals affect the presentation of financial statements. As a result, preparers would need to update their financial systems and processes to reflect the revised financial statement presentation. The proposals build on the existing reporting model in Section PS 1201 issued in 2011. However, governments have not yet adopted this model as adopting it is required coincident with governments adopting the financial instrument suite of standards.

Subject to comments received, the PSAB proposes that the effective date of the new Financial Reporting Model will be for fiscal years beginning on or after April 1, 2024 with earlier adoption

permitted. The Section is to be applied retroactively with restatement of prior periods. Section PS 1202 would apply to all entities that prepare financial statements in accordance with the PSA Handbook, except for those applying the PS 4200 series and the reporting model contained therein.

For further details, refer to the following material on the PSAB's web­site:

  • Exposure Draft, Financial Statement Presentation, Proposed Section PS 1202;
  • Exposure Draft, Consequential Amendments Arising from the Financial Statement Presentation Standard, Proposed Section PS 1202
  • In Brief summary of the proposals;
  • Visual aid to the proposals
Securities - OSFI Image

Remarks by OSFI Superintendent Mr. Jeremy Rudin to the 2021 RBC Capital Markets Canadian Bank CEO Conference

Jan 11, 2021

On January 11, 2021, Superintendent Jeremy Rudin of the Of­fice of the Su­per­in­ten­dent of Fi­nan­cial In­sti­tu­tions (OSFI) spoke at this conference and made his remarks entitled “Passion, Persistence and Effective Regulation and Supervision”.

As part of his remarks, Mr. Rubin stated that Canada’s banking regulator will not yet consider lifting restrictions on banks’ dividends and share buybacks introduced at the start of the pandemic, even though the largest lenders continue to amass growing stockpiles of surplus capital. As parts of the country move into deeper phases of lockdown, he said he is waiting to see “a clear path to a durable recovery” and less “economic uncertainty” before considering any changes.

See a complete copy of Mr. Rubin’s remarks at the conference on the OSFI's web­site. 

Securities - OSFI Image

OSFI launches consultation on climate-related risks in the financial sector

Jan 11, 2021

On January 11, 2021, the Of­fice of the Su­per­in­ten­dent of Fi­nan­cial In­sti­tu­tions (OSFI) launched a three-month consultation with the publication of a discussion paper, “Navigating Uncertainty in Climate Change: Promoting Preparedness and Resilience to Climate-Related Risks”. The paper focuses on risks arising from climate change that can affect the safety and soundness of federally regulated financial institutions (FRFIs) and federally regulated pension plans (FRPPs). Comments are requested by April 12, 2021.

Through this consultation, OSFI is seeking to engage FRFIs, FRPPs and other interested stakeholders in a dialogue on climate-related risks. OSFI is interested in how FRFIs and FRPPs define, identify, measure and build resilience to climate‑related risks. OSFI is also seeking feedback on how it can facilitate FRFIs' and FRPPs' preparedness for, and resilience to, these risks. This input will guide the development of regulatory and supervisory approaches that meet OSFI's mandate of protecting depositors, policyholders and private pension plan beneficiaries while allowing institutions to compete and take risks.

Re­view the consultation material on the OSFI's web­site. 

PSAS - PSAB Image

Exposure Drafts – Revised Conceptual Framework for Financial Reporting in the Canadian Public Sector

Jan 11, 2021

On January 11, 2021, the Pub­lic Sec­tor Ac­count­ing Board (PSAB) issued two Exposure Drafts together with related supporting information in respect of its project to develop a new Conceptual Framework for financial reporting in the Canadian public sector. Com­ments on the Exposure Drafts are re­quested by May 12, 2021.

The Exposure Drafts propose:

  • replacing Section PS1000, Financial Statement Concepts, and Section PS1100, Financial Statement Objectives, with a new 10 chapter Conceptual Framework; and
  • making consequential amendments to various other Sections in the PSA Handbook.

The Conceptual Framework will not be a standard and will not override specific standards. Hence, the changes to the existing conceptual framework would not have an immediate effect on the financial statements of most reporting entities. However, entities could be affected by the changes if they need to use the revised Conceptual Framework to develop or select accounting policies when no standard specifically applies to a particular economic resource, economic obligation, transaction or other event. In such circumstances, the revised Conceptual Framework would be applied prospectively. Applying the new presentation concepts in Chapter 10 of the proposed Conceptual Framework may also lead entities to review their financial statement disclosures.

The Exposure Drafts do not specify a proposed effective date for the new Conceptual Framework. They do, however, state that the PSAB will start using the revised Conceptual Framework once it is issued and that the revised concepts will guide the Board as it develops or amends standards.

For further details, refer to the following material on the PSAB's web­site:

  • Exposure Draft, The Conceptual Framework for Financial Reporting in the Public Sector;
  • Exposure Draft, Consequential Amendments Arising from the Proposed Conceptual Framework;
  • In Brief summary of the proposals;
  • Visual aid in respect of the proposals.

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