ESMA publishes 24th enforcement decisions report
03 Apr, 2020
The European Securities and Markets Authority (ESMA) has published further extracts from its confidential database of enforcement decisions taken by European national enforcers. This batch deals with decisions in relation to IFRS 15 (three decisions), IFRS 7, IFRS 9/IAS 12, IFRS 10, IAS 34, and IFRS 15/IFRS 16.
The European national enforcers of financial information monitor and review financial statements published by issuers with securities traded on a regulated European market and who prepare their financial statements in accordance with International Financial Reporting Standards (IFRS) and consider whether they comply with IFRS and other applicable reporting requirements, including relevant national law.
ESMA has developed a confidential database of enforcement decisions taken by individual European enforcers as a source of information to foster appropriate application of IFRS.
The publication of enforcement decisions is designed to inform market participants about which accounting treatments European national enforcers may consider as complying with IFRS, i.e. whether the treatments are considered as being within the accepted range of those permitted by IFRS. ESMA considers the publication of the decisions, together with the rationale behind them, will contribute to a consistent application of IFRS in the European Union.
Topics covered in the latest batch of extracts, covering the period from May 2018 to October 2019, include:
| Standard | Topic |
|---|---|
| IFRS 15 — Revenue from Contracts with Customers | Identification of performance obligation |
| IFRS 7 — Financial Instruments: Disclosure | Liquidity risk of notes with early redemption option |
| IFRS 9 — Financial Instruments IAS 12 — Income Taxes |
Deferred tax assets (DTAs) related to a change of accounting policy due to first application of IFRS 9 |
| IFRS 10 — Consolidated Financial Statements | Assessment of De-facto control |
| IFRS 15 — Revenue from Contracts with Customers | Disaggregation of revenue |
| IAS 34 — Interim Financial Reporting | Presentation of condensed interim income statement |
| IFRS 15 — Revenue from Contracts with Customers | Accounting for a framework agreement |
| IFRS 15 — Revenue from Contracts with Customers IFRS 16 — Leases |
Identifying components in lease contracts |
Click for access to the full report (link to ESMA website). The ESMA has also published an updated overview of all enforcement decisions ever published.
