New and revised pronouncements as at 31 December 2014
08 Dec, 2014
Our popular summary of new and revised financial reporting requirements, updated for financial reporting periods ending on 31 December 2014. This listing can be used to perform a quick check that all the new financial reporting requirements have been fully considered in the reporting close process. We have highlighted the IASB mandatory adoption dates as well as those dates for which application is mandatory within the EU. Where an EU entity chooses to prepare financial statements in accordance with IFRSs as issued by the IASB, as well as in compliance with IFRSs as adopted by the EU, that entity should comply with the earlier IASB effective date for those items.
The information below reflects developments to 7 January 2015 and will be updated through to March 2015 to reflect new and revised financial reporting requirements that need to be considered for financial reporting periods ending on 31 December 2014. The information below can also be used to assist with the disclosure requirements under paragraph 30 of IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors, which requires entities to disclose any new IFRSs that are in issue but not yet effective and which are likely to impact the entity.
The information below is organised as follows:
Summary
The table below provides a summary of the pronouncements which will be mandatorily applied by entities for the first time at 31 December 2014, for various quarterly reporting periods. Where an EU entity chooses to prepare financial statements in accordance with IFRSs as issued by the IASB, as well as in compliance with IFRSs as adopted by the EU, that entity should comply with the earlier IASB effective date for those items. The table below provides a summary of these pronouncements, and which reporting periods they apply to:
Pronouncement | IASB Effective date* | EU effective date* | EU Mandatory at 31 December 2014? | |||
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1st qtrs.** | 2nd qtrs.*** | 3rd qtrs.**** | Full yrs***** | |||
NEW OR REVISED STANDARDS | ||||||
IFRS 10 Consolidated Financial Statements
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1 January 2013 | 1 January 2014 | Yes | Yes | Yes | Yes |
IFRS 11 Joint Arrangements
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1 January 2013 | 1 January 2014 | Yes | Yes | Yes | Yes |
IFRS 12 Disclosure of Interests in Other Entities
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1 January 2013 | 1 January 2014 | Yes# | Yes# | Yes# | Yes# |
IAS 27 Separate Financial Statements (2011)
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1 January 2013 | 1 January 2014 | Yes | Yes | Yes | Yes |
IAS 28 Investments in Associates and Joint Ventures (2011)
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1 January 2013 | 1 January 2014 | Yes | Yes | Yes | Yes |
AMENDMENTS | ||||||
Consolidated Financial Statements, Joint Arrangements and Disclosure of Interests in Other Entities: Transition Guidance
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1 January 2013 | 1 January 2014 | Yes | Yes | Yes | Yes |
Offsetting Financial Assets and Financial Liabilities (Amendments to IAS 32)
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1 January 2014 | 1 January 2014 | Yes | Yes | Yes | Yes |
1 January 2014 | 1 January 2014 | Yes | Yes | Yes | Yes | |
Recoverable Amount Disclosures for Non-Financial Assets (Amendments to IAS 36)
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1 January 2014 | 1 January 2014 | Yes | Yes | Yes | Yes |
Novation of Derivatives and Continuation of Hedge Accounting (Amendments to IAS 39)
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1 January 2014 | 1 January 2014 | Yes | Yes | Yes | Yes |
Defined Benefit Plans: Employee Contributions (Amendments to IAS 19)
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1 July 2014 | Effective in the EU for annual periods beginning on or after 1 February 2015, however, earlier application is permitted so EU companies can adopt in accordance with the IASB effective date (1 July 2014). | No | No | No | No |
Annual Improvements 2010-2012 Cycle
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1 July 2014^ |
All amendments are effective in the EU for annual periods beginning on or after 1 February 2015, however, earlier application is permitted so EU companies can adopt in accordance with the IASB effective date (1 July 2014).
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No | No | No | No |
Annual Improvements 2011-2013 Cycle
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1 July 2014 |
The amendments are effective in the EU for annual periods beginning on or after 1 January 2015, however, earlier application is permitted so EU companies can adopt in accordance with the IASB effective date (1 July 2014).
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No | No | No | No |
INTERPRETATIONS | ||||||
IFRIC 21 Levies
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1 January 2014 | 17 June 2014 | Yes% | Yes% | Optional% | Optional% |
* Generally annual reporting periods beginning on or after the date indicated, may only apply to first-time adopters in some limited cases (see below for full details).
** 1st quarter ending on 31 December 2014 (accounting period began on 1 October 2014).
*** 2nd quarter ending 31 December 2014 (accounting period began 1 July 2014).
**** 3rd quarter ending 31 December 2014 (accounting period began 1 April 2014).
***** 4th quarter ending 31 December 2014 (accounting period began 1 January 2014).
# No consequential amendments were made to IAS 34 Interim Financial Reporting on the issuance of IFRS 12 and, as such, the requirements of IFRS 12 do not directly apply to interim financial statements. However, entities should consider whether any details of interests in other entities should be disclosed as part of the general requirement of paragraph 15 of IAS 34 to disclose significant events and transactions in the period.
% IFRIC 21 was endorsed for use in the EU in June 2014 and is effective for accounting periods beginning on or after 17 June 2014. However earlier application is permitted so companies applying IFRSs as adopted in the EU will be able to adopt it in accordance with the IASB effective date of 1 January 2014.
^ Annual improvements to IFRSs 2010-2012 Cycle issued in December 2013 amended a number of standards. The amendments to IFRS 2 apply prospectively to share-based payment transactions with a grant date on or after 1 July 2014. The amendments to IFRS 3 apply prospectively to business combinations for which the acquisition date is on or after 1 July 2014. All the other amendments have a mandatory effective date of periods beginning on or after 1 July 2014. Earlier application is permitted in all instances (subject to EU endorsement). Where applicable, entities should disclose if certain amendments within the improvements are effective whilst others are not.
More information about these pronouncements, and all new and revised pronouncements, is set out below.
Financial statement considerations in adopting new and revised pronouncements Where new and revised pronouncements are applied for the first time, there can be consequential impacts on annual financial statements, including:
Whilst disclosures associated with changes in accounting policies resulting from the initial application of new and revised pronouncements are less in interim financial reports under IAS 34 Interim Financial Reporting, some disclosures are required, e.g. description of the nature and effect of any change in accounting policies and methods of computation. |
New or revised standards
New or revised pronouncement | When EU effective | Application at 31 December 2014 to | |||
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1st qtrs | 2nd qtrs | 3rd qtrs | Full yrs | ||
IFRS 9 Financial Instruments (2009) IFRS 9 introduces new requirements for classifying and measuring financial assets, as follows:
* IFRS 9 (2014) was issued on 24 July 2014 and supersedes IFRS 9 (2009), but this version of the standard remains available for application if the relevant date of initial application is before 1 February 2015. Issued: 12 November 2009 (article, newsletter) |
No stated effective date (see notes in prior column). Not yet endorsed for use in the EU. | ||||
IFRS 9 Financial Instruments (2010) A revised version of IFRS 9 incorporating revised requirements for the classification and measurement of financial liabilities, and carrying over the existing derecognition requirements from IAS 39 Financial Instruments: Recognition and Measurement. The revised financial liability provisions maintain the existing amortised cost measurement basis for most liabilities. New requirements apply where an entity chooses to measure a liability at fair value through profit or loss – in these cases, the portion of the change in fair value related to changes in the entity's own credit risk is presented in other comprehensive income rather than within profit or loss. * IFRS 9 (2014) was issued on 24 July 2014 and supersedes IFRS 9 (2009), but this version of the standard remains available for application if the relevant date of initial application is before 1 February 2015. Issued: 28 October 2010 (article, newsletter) |
No stated effective date (see notes in prior column). Not yet endorsed for use in the EU. | ||||
IFRS 9 Financial Instruments (Hedge Accounting and amendments to IFRS 9, IFRS 7 and IAS 39) (2013) A revised version of IFRS 9 which:
* IFRS 9 (2014) was issued on 24 July 2014 and supersedes IFRS 9 (2009), but this version of the standard remains available for application if the relevant date of initial application is before 1 February 2015. Issued: 19 November 2013 (article, newsletter) |
No stated effective date (see notes in prior column). Not yet endorsed for use in the EU. | ||||
IFRS 9 Financial Instruments (2014) A finalised version of IFRS 9 which contains accounting requirements for financial instruments, replacing IAS 39 Financial Instruments: Recognition and Measurement. The standard contains requirements in the following areas:
Note: Depending on the chosen approach to applying IFRS 9, the transition can involve one or more than one date of initial application for different requirements. Note: IFRS 9 (2014) supersedes IFRS 9 (2009), IFRS 9 (2010) and IFRS 9 (2013), but these standards remain available for application if the relevant date of initial application is before 1 February 2015. Issued: 25 July 2014 (article, newsletter) |
Effective for annual period beginning on or after 1 January 2018. Not yet endorsed for use in the EU. | ||||
IFRS 10 Consolidated Financial Statements Requires a parent to present consolidated financial statements as those of a single economic entity, replacing the requirements previously contained in IAS 27 Consolidated and Separate Financial Statements and SIC-12 Consolidation - Special Purpose Entities. The Standard identifies the principles of control, determines how to identify whether an investor controls an investee and therefore must consolidate the investee, and sets out the principles for the preparation of consolidated financial statements. The Standard introduces a single consolidation model for all entities based on control, irrespective of the nature of the investee (i.e. whether an entity is controlled through voting rights of investors or through other contractual arrangements as is common in 'special purpose entities'). Under IFRS 10, control is based on whether an investor has:
Note: Although the EU regulation adopting this standard/amendment has set a later effective date for mandatory application, earlier adoption is permitted. Entities early adopting this standard must also adopt the other standards included in the 'suite of five' standards on consolidation, joint arrangements and disclosures: IFRS 10 Consolidated Financial Statements, IFRS 11 Joint Arrangements, IFRS 12 Disclosure of Interests in Other Entities, IAS 27 Separate Financial Statements (2011) and IAS 28 Investments in Associates and Joint Ventures (2011). Issued: 12 May 2011 (article, newsletter) |
Applicable to annual reporting periods beginning on or after 1 January 2014 (see note regarding early adoption) | Mandatory | Mandatory | Mandatory | Mandatory |
IFRS 11 Joint Arrangements Replaces IAS 31 Interests in Joint Ventures. Requires a party to a joint arrangement to determine the type of joint arrangement in which it is involved by assessing its rights and obligations and then account for those rights and obligations in accordance with that type of joint arrangement. Joint arrangements are either joint operations or joint ventures:
Note: Although the EU regulation adopting this standard/amendment has set a later effective date for mandatory application, earlier adoption is permitted. Entities early adopting this standard must also adopt the other standards included in the 'suite of five' standards on consolidation, joint arrangements and disclosures: IFRS 10 Consolidated Financial Statements, IFRS 12 Disclosure of Interests in Other Entities, IAS 27 Separate Financial Statements (2011) and IAS 28 Investments in Associates and Joint Ventures (2011). Issued: 12 May 2011 (article, newsletter) |
Applicable to annual reporting periods beginning on or after 1 January 2014 (see note regarding early adoption) | Mandatory | Mandatory | Mandatory | Mandatory |
IFRS 12 Disclosure of Interests in Other Entities Requires the extensive disclosure of information that enables users of financial statements to evaluate the nature of, and risks associated with, interests in other entities and the effects of those interests on its financial position, financial performance and cash flows. In high-level terms, the required disclosures are grouped into the following broad categories:
IFRS 12 lists specific examples and additional disclosures which further expand upon each of these disclosure objectives, and includes other guidance on the extensive disclosures required. Note: Although the EU regulation adopting this standard/amendment has set a later effective date for mandatory application, earlier adoption is permitted. Entities are encouraged to voluntarily provide the information required by IFRS 12 prior to its adoption. Providing some of the disclosures required by IFRS 12 does not compel an entity to comply with all of the requirements of the IFRS or to also apply the other standards included in the 'suite of five' standards on consolidation, joint arrangements and disclosures: IFRS 10 Consolidated Financial Statements, IFRS 11 Joint Arrangements, IAS 27 Separate Financial Statements (2011) and IAS 28 Investments in Associates and Joint Ventures (2011). Issued: 12 May 2011 (article, newsletter) |
Applicable to annual reporting periods beginning on or after 1 January 2014 (see note regarding early adoption) | Mandatory | Mandatory | Mandatory | Mandatory |
IFRS 14 Regulatory Deferral Accounts 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. Note: Entities which are eligible to apply IFRS 14 are not required to do so, and so can chose to apply only the requirements of IFRS 1 First-time Adoption of International Financial Reporting Standards when first applying IFRSs. However, an entity that elects to apply IFRS 14 in its first IFRS financial statements must continue to apply it in subsequent financial statements. IFRS 14 cannot be applied by entities that have already adopted IFRSs. Issued: 30 January 2014 (article)
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Applicable to an entity's first annual IFRS financial statements for a period beginning on or after 1 January 2016 | Not yet endorsed for use in the EU. IASB effective date is 1 January 2016. | |||
IFRS 15 Revenue from Contracts with Customers IFRS 15 provides a single, principles based five-step model to be applied to all contracts with customers. The five steps in the model are as follows:
Guidance is provided on topics such as the point in which revenue is recognised, accounting for variable consideration, costs of fulfilling and obtaining a contract and various related matters. New disclosures about revenue are also introduced. Issued: 28 May 2014 (article, newsletter, revenue resources) |
Applicable to an entity's first annual IFRS financial statements for a period beginning on or after 1 January 2017 | Not yet endorsed for use in the EU. Endorsement expected Q2 2015. IASB effective date is 1 January 2017. | |||
IAS 27 Separate Financial Statements (2011) Amended version of IAS 27 which now only deals with the requirements for separate financial statements, which have been carried over largely unchanged from IAS 27 Consolidated and Separate Financial Statements. Requirements for consolidated financial statements are now contained in IFRS 10 Consolidated Financial Statements. The Standard requires that when an entity prepares separate financial statements, investments in subsidiaries, associates, and jointly controlled entities are accounted for either at cost, or in accordance with IFRS 9 Financial Instruments / IAS 39 Financial Instruments: Recognition and Measurement. The Standard also deals with the recognition of dividends, certain group reorganisations and includes a number of disclosure requirements. Note: Although the EU regulation adopting this standard/amendment has set a later effective date for mandatory application, earlier adoption is permitted. Entities early adopting this standard must also adopt the other standards included in the 'suite of five' standards on consolidation, joint arrangements and disclosures: IFRS 10 Consolidated Financial Statements, IFRS 11 Joint Arrangements, IFRS 12 Disclosure of Interests in Other Entities and IAS 28 Investments in Associates and Joint Ventures (2011). Issued: 12 May 2011 (article, newsletter) |
Applicable to annual reporting periods beginning on or after 1 January 2014 (see note regarding early adoption) | Mandatory | Mandatory | Mandatory | Mandatory |
IAS 28 Investments in Associates and Joint Ventures (2011) This Standard supersedes IAS 28 Investments in Associates and prescribes the accounting for investments in associates and sets out the requirements for the application of the equity method when accounting for investments in associates and joint ventures. The Standard defines 'significant influence' and provides guidance on how the equity method of accounting is to be applied (including exemptions from applying the equity method in some cases). It also prescribes how investments in associates and joint ventures should be tested for impairment. Note: Although the EU regulation adopting this standard/amendment has set a later effective date for mandatory application, earlier adoption is permitted. Entities early adopting this standard must also adopt the other standards included in the 'suite of five' standards on consolidation, joint arrangements and disclosures: IFRS 10 Consolidated Financial Statements, IFRS 11 Joint Arrangements, IFRS 12 Disclosure of Interests in Other Entities and IAS 27 Separate Financial Statements (2011). Issued: 12 May 2011 (article, newsletter) |
Applicable to annual reporting periods beginning on or after 1 January 2014 (see note regarding early adoption) | Mandatory | Mandatory | Mandatory | Mandatory |
Amendments
New or revised pronouncement | When effective | Application at 31 December 2014 to | |||
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1st qtrs | 2nd qtrs | 3rd qtrs | Full yrs | ||
Offsetting Financial Assets and Financial Liabilities (Amendments to IAS 32) Amends IAS 32 Financial Instruments: Presentation to clarify certain aspects because of diversity in application of the requirements on offsetting, focused on four main areas:
Issued: 16 December 2011 (article, newsletter) |
Applicable to annual periods beginning on or after 1 January 2014 | Mandatory | Mandatory | Mandatory | Mandatory |
Consolidated Financial Statements, Joint Arrangements and Disclosure of Interests in Other Entities: Transition Guidance Amends IFRS 10 Consolidated Financial Statements, IFRS 11 Joint Arrangements and IFRS 12 Disclosure of Interests in Other Entities to provide additional transition relief in by limiting the requirement to provide adjusted comparative information to only the preceding comparative period. Also, amendments to IFRS 11 and IFRS 12 eliminate the requirement to provide comparative information for periods prior to the immediately preceding period. As issued by the IASB the amendments have a mandatory effective date of 1 January 2013, or if the standards themselves are adopted earlier the amendments shall be applied for that earlier period. These amendments were endorsed by the EU on 4 April 2013 with a mandatory effective date of accounting periods starting on or after 1 January 2014. Issued: 28 June 2012 (article, newsletter) |
Applicable to annual periods beginning on or after 1 January 2014. | Mandatory | Mandatory | Mandatory | Mandatory |
Investment Entities (Amendments to IFRS 10, IFRS 12 and IAS 27) Amends IFRS 10 Consolidated Financial Statements, IFRS 12 Disclosure of Interests in Other Entities and IAS 27 Separate Financial Statements to:
Issued: 31 October 2012 (article, newsletter) |
Applicable to annual periods beginning on or after 1 January 2014 | Mandatory | Mandatory | Mandatory | Mandatory |
Recoverable Amount Disclosures for Non-Financial Assets (Amendments to IAS 36) Amends IAS 36 Impairment of Assets to reduce the circumstances in which the recoverable amount of assets or cash-generating units is required to be disclosed, clarify the disclosures required, and to introduce an explicit requirement to disclose the discount rate used in determining impairment (or reversals) where recoverable amount (based on fair value less costs of disposal) is determined using a present value technique. Issued: 29 May 2013 (article, newsletter) |
Applicable to annual periods beginning on or after 1 January 2014 | Mandatory | Mandatory | Mandatory | Mandatory |
Novation of Derivatives and Continuation of Hedge Accounting (Amendments to IAS 39) Amends IAS 39 Financial Instruments: Recognition and Measurement to make it clear that there is no need to discontinue hedge accounting if a hedging derivative is novated, provided certain criteria are met. A novation indicates an event where the original parties to a derivative agree that one or more clearing counterparties replace their original counterparty to become the new counterparty to each of the parties. In order to apply the amendments and continue hedge accounting, novation to a central counterparty (CCP) must happen as a consequence of laws or regulations or the introduction of laws or regulations. Issued: 27 June 2013 (article, newsletter) |
Applicable to annual periods beginning on or after 1 January 2014 | Mandatory | Mandatory | Mandatory | Mandatory |
Defined Benefit Plans: Employee Contributions (Amendments to IAS 19) Amends IAS 19 Employee Benefits to clarify the requirements that relate to how contributions from employees or third parties that are linked to service should be attributed to periods of service. In addition, it permits a practical expedient if the amount of the contributions is independent of the number of years of service, in that contributions, can, but are not required, to be recognised as a reduction in the service cost in the period in which the related service is rendered. Issued: 21 November 2013 (article, newsletter) |
Effective in the EU for annual periods beginning on or after 1 February 2015, however, earlier application is permitted so EU companies can adopt in accordance with the IASB effective date (1 July 2014). | Optional | Optional | Optional | Optional |
Annual Improvements 2010-2012 Cycle Makes amendments to the following standards:
Issued: 12 December 2013 (newsletter) |
All amendments are effective in the EU for annual periods beginning on or after 1 February 2015, however, earlier application is permitted so EU companies can adopt in accordance with the IASB effective date (1 July 2014).
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Optional | Optional | Optional | Optional |
Annual Improvements 2011-2013 Cycle Makes amendments to the following standards:
Issued: 12 December 2013 (newsletter) |
The amendments are effective in the EU for annual periods beginning on or after 1 January 2015, however, earlier application is permitted so EU companies can adopt in accordance with the IASB effective date (1 July 2014).
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Optional | Optional | Optional | Optional |
Annual Improvements 2012-2014 Cycle Makes amendments to the following standards:
Issued: 25 September 2014 (article, newsletter) |
Applicable to annual periods beginning on or after 1 July 2016. Not yet endorsed for use in the EU. | ||||
Accounting for Acquisitions of Interests in Joint Operations (Amendments to IFRS 11) Amends IFRS 11 Joint Arrangements to require an acquirer of an interest in a joint operation in which the activity constitutes a business (as defined in IFRS 3 Business Combinations) to:
The amendments apply both to the initial acquisition of an interest in joint operation, and the acquisition of an additional interest in a joint operation (in the latter case, previously held interests are not remeasured). Note: The amendments apply prospectively to acquisitions of interests in joint operations in which the activities of the joint operations constitute businesses, as defined in IFRS 3, for those acquisitions occurring from the beginning of the first period in which the amendments apply. Amounts recognised for acquisitions of interests in joint operations occurring in prior periods are not adjusted. Issued: 6 May 2014 (article). |
Applicable to annual periods beginning on or after 1 January 2016 (see note in previous column). Not yet endorsed for use in the EU. | ||||
Clarification of Acceptable Methods of Depreciation and Amortisation (Amendments to IAS 16 and IAS 38) Amends IAS 16 Property, Plant and Equipment and IAS 38 Intangible Assets to:
Issued: 12 May 2014 (article) |
Applicable to annual periods beginning on or after 1 January 2016 (IASB effective date). Not yet endorsed for use in the EU. | ||||
Editorial Corrections (various) The IASB periodically issues Editorial Corrections and changes to IFRSs and other pronouncements. Since the beginning of calendar 2012, such corrections have been made in February 2012, July 2012, March 2013, September 2013, November 2013 and March 2014, September 2014, and December 2014. Note: For details of these editorial corrections, see our IASB editorial corrections page. |
As minor editorial corrections, these changes are effectively immediately applicable under IFRS | See comment in previous column | |||
Agriculture: Bearer Plants (Amendments to IAS 16 and IAS 41) The amendments bring bearer plants, which no longer undergo significant biological transformation, into the scope of IAS 16 so that they are accounted for in the same way as property, plant and equipment. For the purpose of bringing bearer plants from the scope of IAS 41 into the scope of IAS 16 and therefore enabling entities to measure them at cost subsequent to initial recognition or at revaluation, a definition of a 'bearer plant' is introduced into both standards. A bearer plant is defined as "a living plant that:
The scope sections of both standards are then amended to clarify that biological assets except for bearer plants are accounted for under IAS 41 while bearer plants are accounted for under IAS 16. The amendments also clarify that produce growing on bearer plants continues to be accounted for under IAS 41 and that government grants related to bearer plants no longer fall into the scope of IAS 41 but need to be accounted for under IAS 20 Accounting for Government Grants and Disclosure of Government Assistance. Issued: 30 June 2014 (article) |
Not yet endorsed for use in the EU. The amendments are effective for annual periods beginning on or after 1 January 2016 (IASB effective date). Earlier application is permitted | ||||
Equity Method in Separate Financial Statements (Amendments to IAS 27) Amends IAS 27 Separate Financial Statements to permit investments in subsidiaries, joint ventures and associates to be optionally accounted for using the equity method in separate financial statements. Issued: 18 August 2014 (article) |
Applicable to annual periods beginning on or after 1 January 2016. Not yet endorsed for use in the EU. EU endorsement expected Q3 2015. | ||||
Sale or Contribution of Assets between an Investor and its Associate or Joint Venture (Amendments to IFRS 10 and IAS 28) Amends IFRS 10 Consolidated Financial Statements and IAS 28 Investments in Associates and Joint Ventures (2011) to clarify the treatment of the sale or contribution of assets from an investor to its associate or joint venture, as follows:
These requirements apply regardless of the legal form of the transaction, e.g. whether the sale or contribution of assets occurs by an investor transferring shares in an subsidiary that holds the assets (resulting in loss of control of the subsidiary), or by the direct sale of the assets themselves. Issued: 11 September 2014 (article, newsletter) |
Applicable on a prospective basis to a sale or contribution of assets occurring in annual periods beginning on or after 1 January 2016 (IASB effective date). Not yet endorsed for use in the EU. | ||||
Disclosure Initiative (Amendments to IAS 1)
Amends IAS 1 Presentation of Financial Statements to address perceived impediments to preparers exercising their judgement in presenting their financial reports by making the following changes:
Issued: 18 December 2014 (article, newsletter). |
Effective for annual periods beginning on or after 1 January 2016. Not yet endorsed for use in the EU.
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Investment Entities: Applying the Consolidation Exception (Amendments to IFRS 10, IFRS 12 and IAS 28)
Amends IFRS 10 Consolidated Financial Statements, IFRS 12 Disclosure of Interests in Other Entities and IAS 28 Investments in Associates and Joint Ventures (2011) to address issues that have arisen in the context of applying the consolidation exception for investment entities by clarifying the following points:
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Effective for annual periods beginning on or after 1 January 2016. Not yet endorsed for use in the EU.
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New and revised Interpretations
New or revised pronouncement | When effective | Application at 30 September 2014 to | |||
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1st qtrs | 2nd qtrs | 3rd qtrs | Full yrs | ||
IFRIC 21 Levies Provides guidance on when to recognise a liability for a levy imposed by a government, both for levies that are accounted for in accordance with IAS 37 Provisions, Contingent Liabilities and Contingent Assets and those where the timing and amount of the levy is certain. The Interpretation identifies the obligating event for the recognition of a liability as the activity that triggers the payment of the levy in accordance with the relevant legislation. It provides the following guidance on recognition of a liability to pay levies:
Issued: 20 May 2013 (article, newsletter) |
IFRIC 21 is effective in the EU for annual periods beginning on or after 17 June 2014, however, earlier application is permitted so EU companies can adopt in accordance with the IASB effective date (1 January 2014). | Mandatory | Mandatory | Optional | Optional |
Notes
Note 1. This pronouncement has already been implemented in previous periods by entities with this reporting date (where it applied to the entity).
Note 2. This pronouncement only applies to first-time adopters of IFRSs and must be applied by such entities on a mandatory basis.
Note 3. This pronouncement only applies to first-time adopters of IFRSs and can be optionally applied by such entities.