This site uses cookies to provide you with a more responsive and personalised service. By using this site you agree to our use of cookies. Please read our cookie notice (http://www2.deloitte.com/ca/en/legal/cookies.html) for more information on the cookies we use and how to delete or block them.
The full functionality of our site is not supported on your browser version, or you may have 'compatibility mode' selected. Please turn off compatibility mode, upgrade your browser to at least Internet Explorer 9, or try using another browser such as Google Chrome or Mozilla Firefox.

Annual Improvements to IFRSs 2015-2017 Cycle [Completed]

Effective date and transitional provisions:

The amendments are effective for annual reporting periods beginning on or after January 1, 2019, with earlier application permitted.

Next steps:

The AcSB expects to include the amendments in the CPA Canada Handbook in the first half of 2017.

Last updated:

December 2017

 

Overview

Annual Improvements to IFRS Standards 2015–2017 Cycle makes amendments to the following standards:

IFRS Subject of amendment

IFRS 3, Business Combinations and IFRS 11, Joint Arrangements

The amendments to IFRS 3 clarify that when an entity obtains control of a business that is a joint operation, it remeasures previously held interests in that business. The amendments to IFRS 11 clarify that when an entity obtains joint control of a business that is a joint operation, the entity does not remeasure previously held interests in that business. 

IAS 12, Income Taxes

The amendments clarify that the requirements in the former paragraph 52B (to recognize the income tax consequences of dividends where the transactions or events that generated distributable profits are recognized) apply to all income tax consequences of dividends by moving the paragraph away from paragraph 52A that only deals with situations where there are different tax rates for distributed and undistributed profits.

IAS 23, Borrowing Costs

The amendments clarify that if any specific borrowing remains outstanding after the related asset is ready for its intended use or sale, that borrowing becomes part of the funds that an entity borrows generally when calculating the capitalization rate on general borrowings.

The Amendments to IFRS 3 and IFRS 11 were originally included in Exposure Draft ED/2016/1, Definition of a Business and Accounting for Previously Held Interests. However, the IASB believed that these amendments meet the criteria for annual improvements and therefore included them in this cycle.

Furthermore, the Exposure Draft ED/2017/1, Annual Improvements to IFRS Standards 2015-2017 Cycle included amendments to IAS 28 regarding long-term interests in an associate or joint venture. Those amendments have been finalized separately as a narrow-scope amendment to IAS 28.

 

Other developments

December 2017

On December 12, 2017, the International Accounting Standards Board (IASB) issued Annual Improvements to IFRS Standards 2015–2017 Cycle. The pronouncement contains amendments to IFRS 3, IFRS 11, IAS 12 and IAS 23 as result of the IASB's annual improvements project.

September 2017

On September 22, 2017, the IASB staff updated the work plan to indicate that the IASB expects to issue the final amendments to IAS 12 and IAS 23 in December 2017.

July 2017

On July 21, 2017, the staff of the IASB updated the work plan to indicate that the IASB expects to issue the final amendments to IAS 12 and IAS 23 in Q4/2017.

June 2017

In June 2017, the IASB staff updated the work plan to indicate that the IASB expects to discuss the Exposure Draft feedback in July 2017.

May 2017

On May 18, 2017, the IASB staff issued an updated Work Plan which indicates that the item in respect of Long-term Interests in Associates and Joint Ventures (Amendments to IAS 28) has been moved from this project to its own separate project.”

April 2017

On April 28, 2017, the IASB staff issued an updated Work Plan which indicates that the IASB expects to decide the project direction by July 2017.

March 2017

On March 23, 2017, the IASB staff issued an updated Work Plan which indicates that the IASB expects to decide the project direction by September 2017.

February 2017

On February 9, 2017, the AcSB issued an Exposure Draft that corresponds to the IASB’s Exposure Draft on this topic. Stakeholders are encouraged to submit their comments by April 12, 2017.

January 2017

On January 19, 2017, the IASB staff updated the Work Plan in respect of this project to indicate that the IASB expects to decide the project direction by July 2017.

On January 12, 2017, the IASB published an Exposure Draft, Annual Improvements to IFRS Standards 2015–2017 Cycle. It contains proposed amendments to three IFRSs as result of the IASB's annual improvements project. Comments are requested by April 12, 2017.

October 2016

On October 20, 2016, the IASB staff updated the Work Plan in respect of this project to indicate that the IASB expects to publish an Exposure Draft for comment in January 2017.

September 2016

On September 23, 2016, the IASB staff updated the Work Plan in respect of this project to indicate that the IASB expects to publish an Exposure Draft for comment by March 31, 2017.

July 2016

On July 20, 2016, the IASB staff updated the Work Plan in respect of this project to indicate that the IASB expects to publish an Exposure Draft for comment sometime before January 31, 2017.

June 2016

In June 2016, the IASB staff updated the Work Plan to indicate that the direction of this project will be decided in Q3/2016.

February 2016

In February 2016, the IASB staff updated the Work Plan to indicate that the direction of this project will be decided in Q2/2016.

October 2015

In October 2015, the IASB formally added the Annual Improvements to IFRSs 2015-2017 Cycle project to its agenda. An exposure draft is expected in 2016 at the earliest.

 

Correction list for hyphenation

These words serve as exceptions. Once entered, they are only hyphenated at the specified hyphenation points. Each word should be on a separate line.