FRC makes amendments to FRS 102
24 May, 2019
The Financial Report Council (FRC) has made amendments to Section 28 of FRS 102.
The amendments, which were consulted on within Financial Reporting Exposure Draft (FRED) 71 - Draft amendments to FRS 102 – Multi-employer defined benefit plans, respond to a current financial reporting issue by introducing new requirements to Section 28 of FRS 102 requiring that the impact of transition from defined contribution accounting to defined benefit accounting be presented in other comprehensive income.
Such a transition is required by FRS 102 when sufficient information becomes available for an employer participating in a multi-employer defined benefit plan to apply defined benefit accounting for the first time. The amendments do not affect the requirement to recognise the relevant liability (or asset) in relation to the plan.
The amendments are effective for accounting periods beginning on or after 1 January 2020, with early application permitted.
A press release and the amendments are available on the FRC website.
