Deloitte comment letter on tentative agenda decision on IFRS 11 — Liabilities in relation to a joint operator’s interest in a joint operation

Published on: 21 Nov, 2018

We have commented on the IFRS In­ter­pre­ta­tions Committee's pub­li­ca­tion in the September 2018 IFRIC Update of the tentative decision not to take onto the Committee's agenda the request for clarification on the recognition by a joint operator of liabilities to which it has the primary responsibility.

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 believe additional clarity could be added by specifying that (a) in the circumstances described in the tentative agenda decision, the lead operator has primary responsibility for the lease liability; and (b) the Committee did not opine on the accounting for any contractual arrangements which may exist between joint operators in respect of a leased asset.

Download the full comment letter below.


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