IFRS 10/IAS 28 — Sales or contributions of assets between an investor and its associate/joint venture
Background
- the current requirements regarding the partial gain or loss recognition for transactions between an investor and its associate or joint venture only apply to the gain or loss resulting from the sale or contribution of assets that do not constitute a business as defined in IFRS 3 Business Combinations
- the gain or loss resulting from the sale or contribution to an associate or a joint venture of assets that constitute a business as defined in IFRS 3 is recognised in full.
It was also recommended to amend IFRS 10 so that the gain or loss resulting from the sale or contribution of a subsidiary that does not constitute a business as defined in IFRS 3 to an associate or joint venture is recognised only to the extent of unrelated investors’ interests in the associate or joint venture.
Current status of the project
This project has been completed. The IASB issued Sale or Contribution of Assets between an Investor and its Associate or Joint Venture (Amendments to IFRS 10 and IAS 28) on 11 September 2014.
Project milestones
Date | Development | Comments |
---|---|---|
September 2012 | Added to the IASB agenda | |
13 December 2012 | ED/2012/6 Sale or Contribution of Assets Between an Investor and its Associate or Joint Venture (Proposed Amendments to IFRS 10 and IAS 28) published | Comment deadline 23 April 2013 |
11 September 2014 | Sale or Contribution of Assets between an Investor and its Associate or Joint Venture (Amendments to IFRS 10 and IAS 28) issued |
Effective for annual periods beginning on or after 1 January 2016. Deferred indefinitely by amendments made in December 2015. |