IAS 41 — Agriculture
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Effective date: |
First effective as Canadian GAAP under Part I for interim and annual financial statements relating to fiscal years beginning on or after January 1, 2011 except for subsequent amendments. Earlier application of Part I was permitted. |
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Published by the IASB: |
December 2000 |
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Included in Part I of CPA Canada Handbook: |
January 2010 |
Reach out to our IAS 41 Specialist |
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Overview
IAS 41 Agriculture sets out the accounting for agricultural activity – the transformation of biological assets (living plants and animals) into agricultural produce (harvested product of the entity's biological assets). The standard generally requires biological assets to be measured at fair value less costs to sell.
History of IAS 41
The following table shows the history of this standard subsequent to the adoption of IFRS in Canada.
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Date1 |
Development |
Comments |
Included in Part I of the CPA Canada Handbook2 |
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January 2010 |
Part I of the CPA Canada Handbook issued |
Effective for interim and annual financial statements relating to fiscal years beginning on or after January 1, 2011. Earlier application is permitted. |
January 2010 |
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June 30, 2014 |
Amended by Agriculture: Bearer Plants (Amendments to IAS 16 and IAS 41)
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The amendments include bearer plants within the scope of IAS 16 instead of IAS 41 and also add a definition of bearer plant. Produce growing on bearer plants remains within the scope of IAS 41. The amendments are effective for annual periods beginning on or after January 1, 2016. Earlier application is permitted. |
September 2014 |
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May 14, 2020 |
Amended by Annual Improvements to IFRSs 2018-2020 Cycle |
The amendment removes the requirement in paragraph 22 of IAS 41 for entities to exclude taxation cash flows when measuring the fair value of a biological asset using a present value technique. This will ensure consistency with the requirements in IFRS 13. Effective for annual periods beginning on or after January 1, 2022. Early application is permitted. |
September 2020 |
Notes
- For further details of relevant developments prior to this, please refer to our Deloitte Global section.
- Newly issued, amended or revised IFRSs are part of Canadian GAAP only after they are approved by the Accounting Standards Board in accordance with its due process.The above summary does not include details of consequential amendments made as the result of other projects.
Related Interpretations
- None
Related IFRIC Agenda Rejection Notices
The rejection notices are available in our Deloitte Global section.
- IAS 41 & IFRS 13 —Valuation of biological assets using a residual method (March 2013)
- IAS 41 — Discount rate assumptions used in fair value calculations (May 2009)
AcSB’s IFRS Discussion Group meetings
- January 10, 2019 - IAS 2 and IAS 41: Cannabis Accounting – Costs Incurred Related to Biological Transformation and Presentation
- October 16, 2018 - IAS 2 and IAS 41: Cannabis Accounting – Costs Incurred Related to Biological Transformation and Presentation
- June 21, 2018 - IAS 41: Cannabis Accounting – Recognition and Determining Fair Value, Costs Incurred Related to Biological Transformation and Presentation
Amendments under consideration
- None
