IFRS 14 — Regulatory Deferral Accounts

Effective date:

Applies to an entity's first annual IFRS financial statements for a period beginning on or after January 1, 2016. Earlier application is permitted.

Published by the IASB:

January 2014

Included in Part I of CPA Canada Handbook:

April 2014


The objective of IFRS 14 Regulatory Deferral Accounts is to specify the financial reporting requirements for "regulatory deferral account balances" that arise when an entity provides good or services to customers at a price or rate that is subject to rate regulation.

IFRS 14 permits an entity which is a first-time adopter of International Financial Reporting Standards to continue to account, with some limited changes, for regulatory deferral account balances in accordance with its previous GAAP, both on initial adoption of IFRS and in subsequent financial statements. Regulatory deferral account balances, and movements in them, are presented separately in the statement of financial position and statement of profit or loss and other comprehensive income, and specific disclosures are required.

History of IFRS 14

The following table shows the history of this standard subsequent to the adoption of IFRS in Canada.




Included in Part I of the CPA Canada Handbook2

January 30, 2014

IFRS 14, Regulatory Deferral Accounts issued


This new standard provides interim guidance on rate-regulated activities until the IASB completes its comprehensive project on this topic. IFRS 14 permits an entity that applies this interim standard when it first adopts IFRSs to continue to use its previous GAAP accounting policies for the recognition, measurement, impairment and derecognition of regulatory deferral account balances, with limited changes to the presentation of those balances.

IFRS 14 is effective for annual periods beginning on or after January 1, 2016. Earlier application is permitted.

April 2014



  1. For further details of relevant developments prior to this, please refer to our Deloitte Global section.
  2. 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

  • None

Amendments under consideration


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