Deloitte comment letter on tentative agenda decision on IAS 12 — Interest and penalties related to income taxes

Published on: 23 May, 2017

We have commented on the IFRS Interpretations Committee's publication in the March 2017 IFRIC Update of the tentative decision not to take onto the Committee's agenda a request for clarification on the accounting for interest and penalties related to income taxes.

We agree with the IFRS Interpretations Committee's decision not to add this item onto its agenda for the reasons set out in the tentative agenda decision. However, we recommend that the tentative agenda decision be expanded to state that the determination of whether interest and penalties are, in fact, in the scope of IAS 12 should be made based on the specific facts and circumstances in which they are incurred.

Download the full comment letter below.


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