Revenue resources

The FRC noted in its Annual Review of Corporate Reporting 2022/23 that the frequency of substantive queries on revenue recognition and related disclosures were lower than in preceding years, indicating that entities have become more familiar with application of the IFRS 15 recognition model.  The most common areas of challenge included variable consideration, principal/agent considerations and contract balances. Queries were mostly centred around insufficient information to demonstrate compliance with certain requirements.

For their forthcoming reporting the FRC expects companies to ensure that:

  • when material variable consideration exists, sufficient company-specific information is provided to explain how it arises and how it is estimated and constrained.
  • accounting policies are provided for all significant performance obligations and address in sufficient detail:
    • the timing of revenue recognition.
    • the basis for recognising any revenue over time.
    • the methodology applied.
  • significant judgements made in relation to revenue recognition are disclosed (for example, in relation to whether the company is acting as agent or principal, the allocation of the transaction price and the timing of satisfaction of performance obligations).
  • that inflationary features in contracts with customers and accounting for such clauses (that is whether the feature is an embedded derivative or variable consideration) are adequately disclosed and clearly explained.

The FRC encourages companies to refer to its previously issued IFRS 15 thematic review for further guidance as to its expectations in this area.

This page includes all of our resources on IFRS 15.  It includes links to:

Latest IFRS 15 Resources

EFRAG endorsement status report 18 March 2015

18 Mar, 2015

This endorsement status report update reflects the issuance of the final EFRAG endorsement advice letter on IFRS 15 'Revenue from Contracts with Customers'. Final endorsement of IFRS 15 is currently expected in the third quarter of 2015.

EFRAG recommends adoption of IFRS 15 without deferral of the 2017 effective date

18 Mar, 2015

The European Financial Reporting Advisory Group (EFRAG) has submitted to the European Commission its endorsement advice letter on IFRS 15 'Revenue from Contracts with Customers'. As part of its assessment EFRAG considered whether it would recommend a deferral of the 1 January 2017 effective date included in IFRS 15 but decided against doing so.

Implementing IFRS 15 'Revenue from Contracts with Customers' - A practical guide to implementation issues for the industrial products and services sector

09 Mar, 2015

This guide is intended to provide an overview of applying IFRS 15 within the industrial products and services sector. The guidance provided here is not intended to be exhaustive, but aims to highlight some of the potential issues to consider and to indicate how those issues might be approached.

IASB publishes editorial corrections

05 Mar, 2015

The International Accounting Standards Board (IASB) has published a batch of editorial corrections that retract a previous correction and impact consequential amendments, stand-alone standards, and the IASB's “2014 IFRS (Red Book)”, "A Guide Through IFRS 2014", and "2015 IFRS (Blue Book)".

IASB and FASB discuss potential clarifications to joint revenue recognition guidance

20 Feb, 2015

At their meeting on Wednesday, the IASB and FASB discussed issues that their joint revenue Transition Resource Group (TRG) has identified in connection with implementation of their converged standard, “Revenue From Contracts With Customers” (issued as IFRS 15 by the IASB and as ASU 2014-09 by the FASB). Specifically, the boards addressed whether to clarify certain aspects of the standard that seem to be causing implementation problems for some preparers.

Need to know — Joint meeting on Revenue (January 2015)

09 Feb, 2015

This newsletter provides summarises the January 2015 meeting of the IASB and FASB joint revenue transition resource group.

Application of IFRS 15 to permitted Islamic finance transactions

16 Jan, 2015

At the upcoming meeting of the Joint Transition Resource Group for Revenue Recognition (TRG), participants will discuss the implications of IFRS 15 for certain instruments common in the Islamic financial industry.

Agenda for the Joint Transition Resource Group for Revenue Recognition meeting

15 Jan, 2015

The agenda has been released for the third meeting of the Joint Transition Resource Group for Revenue Recognition (TRG), which is being jointly held at the offices of the IASB and FASB on 26 January 2015. The TRG will discuss a number of topics related to the boards’ new revenue standard, “Revenue From Contracts With Customers” (issued as IFRS 15 by the IASB and ASU 2014-09 by the FASB).

Summary of November GPF meeting now available

09 Dec, 2014

Minutes of the meeting of the Global Preparers Forum (GPF) with representatives of the International Accounting Standards Board (IASB) held in London on Thursday, 6 November 2014 are now available. The meeting discussed a broad range of topics, including a number of IASB active and research projects, and IFRS Interpretations Committee issues.

IFRS Foundation updates the IFRS Taxonomy

12 Nov, 2014

The IFRS Foundation has published IFRS Taxonomy 2014 Interim Release 2 which updates the taxonomy for IFRS 15 and common reporting practice in transport and pharmaceuticals sectors.

Need to know — Joint meeting on Revenue (October 2014)

10 Nov, 2014

This newsletter provides summarises the October 2014 meeting of the IASB and FASB joint revenue transition resource group.

Need to know — Joint meeting on Revenue (July 2014)

10 Nov, 2014

This newsletter provides summarises the July 2014 meeting of the IASB and FASB joint revenue transition resource group.

Agenda for the Joint Transition Resource Group for Revenue Recognition meeting

20 Oct, 2014

The agenda has been released for the second meeting of the Joint Transition Resource Group for Revenue Recognition (TRG), which is being jointly held at the offices of the IASB and FASB on 31 October 2014. The TRG will discuss a number of topics related to the boards’ new revenue standard, “Revenue From Contracts With Customers” (issued as IFRS 15 by the IASB and ASU 2014-09 by the FASB).

EFRAG issues draft endorsement advice and effects study report on IFRS 15

16 Oct, 2014

The European Financial Reporting Advisory Group (EFRAG) has issued for comment its draft endorsement advice for the use of IFRS 15 'Revenue from Contracts with Customers' in the European Union (EU). EFRAG has also issued its Effects Study Report.

Updated EFRAG endorsement status report for draft endorsement advice letter on IFRS 15

15 Oct, 2014

The European Financial Reporting Advisory Group (EFRAG) has updated its Endorsement Status Report to include its draft endorsement advice letter on IFRS 15 'Revenue from Contracts with Customers'.

EFRAG endorsement status report 15 October 2014

15 Oct, 2014

This endorsement status report from the European Financial Reporting Advisory Group (EFRAG) reflects the issuance of a draft endorsement advice letter on IFRS 15 'Revenue from Contracts with Customers'.

IASB publishes editorial corrections

19 Sep, 2014

The International Accounting Standards Board (IASB) has published its second batch of editorial corrections for 2014. The corrections impact a previous editorial correction, consequential amendments, stand-alone standards, and the IASB's "A Guide Through IFRS 2013", "2014 IFRS (Blue Book)", and "2014 IFRS (Red Book)".

IFRS Foundation publishes additional proposal for IFRS Taxonomy 2014

22 Aug, 2014

The IFRS Foundation has published 'Proposed Interim Release 2 to the IFRS Taxonomy 2014' for public comment.

Staff paper on issues in the application of IFRS 9 to Islamic finance

21 Aug, 2014

The IASB's Consultative Group for Shariah-Compliant Instruments and Transactions will meet in Kuala Lumpur on 5 September 2014 to discuss issues in the application of IFRS 9 'Financial Instruments' to Islamic finance. To this end a staff paper has been prepared addressing issues in the classification of financial instruments under IFRS 9.

Stay Tuned Online — IFRS and UK GAAP update July 2014

04 Aug, 2014

The following topics are covered in the July 2014 webcast: 1 - Narrative reporting developments and reminders for interims, 2 - New Corporate Governance Code proposals, 3 - New’ UK GAAP and IFRS developments, 4 - IFRS 9 Financial Instruments developments and 5 - IFRS 15 Revenue from Contracts with Customers.

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.