ISSB: IFRS Sustainability Disclosure Taxonomy [ED]

Comment period ended on September 26, 2023

Next steps:

The ISSB expects to begin the balloting process and issue the IFRS Sustainability Disclosure Taxonomy in the first half of 2024.

Last updated:

December 2023

Overview

On May 25, 2022, the staff issued a request for feedback to inform the future development of the IFRS Sustainability Disclosure Taxonomy for digital reporting.

A taxonomy enables companies to make their financial reports machine-readable, which in turn makes it easier for investors and others to digitally access, extract and compare the information they are interested in. It is not to be confused with taxonomies developed by jurisdictions to classify economic activities as environmentally sustainable.

The IFRS Sustainability Disclosure Taxonomy would be the counterpart to the IFRS Accounting Taxonomy developed to enable digital consumption of information provided by companies applying IFRS Accounting Standards issued by the International Accounting Standards Board.

On July 27, 2023, the ISSB published the Proposed IFRS Sustainability Disclosure Taxonomy. It is designed to facilitate users of general-purpose financial reports to consume sustainability-related financial information digitally, regulators to require the digital reporting of sustainability-related financial information, and preparers to implement digital reporting of sustainability-related financial information, enabling tagging without undue cost.

In developing the Proposed IFRS Sustainability Disclosure Taxonomy, the ISSB considered feedback staff received on fundamental matters discussed in a prior request for feedback, including comments from external groups of experts, including the IFRS Taxonomy Consultative Group (ITCG).

The consultation was open for comment until September 26, 2023. The ISSB will consider feedback on the Proposed IFRS Sustainability Disclosure Taxonomy and the need for further changes before publishing the IFRS Sustainability Disclosure Taxonomy.

Thereafter, the IFRS Sustainability Disclosure Taxonomy will be updated after public consultations to reflect any amendments to IFRS Sustainability Disclosure Standards, common reporting practice and emerging reporting issues.

 

Other developments

January 2023

On January 30, 2023, the IASB staff updated the work plan to indicate that the ISSB plans to issue the Taxonomy in the second half of 2023.  

September 2022

On September 26, 2022, the staff up­dated the work plan to in­di­cate that the staff plans to review the feedback to its request in November 2022.

May 2022

On May 25, 2022, the staff issued a request for feedback to inform the future development of the IFRS Sustainability Disclosure Taxonomy for digital reporting.

 

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