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IASB Meeting — 14 and 15 November 2018

Start date:

End date:

Location: London

IASB (International Accounting Standards Board)

 

Overview

The IASB is meeting on Wednesday 14 and Thursday 15 November 2018.

The Wednesday sessions start with the Board considering whether to defer the effective date of IFRS 17 Insurance Contracts (and the the related temporary exemption to IFRS 9 Financial Instruments) by a year.  

In the Primary Financial Statements discussion, the staff are recommending that EBITDA not be a required sub-total and that if an entity does use that term the measure must be calculated as “profit or loss minus all interest income and plus all interest expense, income tax, and depreciation and amortisation.”  They also recommend that the Board develop non-mandatory illustrative examples to accompany a revised IAS 1 Presentation of Financial Statements, remove the requirement in IAS 1:82(b) to present “finance costs” in the statement(s) of financial performance and clarify how the minimum line items are presented.

The Board will discuss three implementation issues. The staff are recommending changes to the proposed amendments to IAS 16 Property, Plant and Equipment in relation to accounting for the proceeds from selling any items produced while testing an asset. The staff are now recommending that the proceeds not be recognised as income, but continue to be deducted from the cost of the asset. The staff are recommending that the Board not start a project on accounting for cryptocurrencies or ICOs. Instead, they think the Board should monitor developments in these areas and ask the IFRS Interpretations Committee to consider issuing an Agenda Decision on the accounting for cryptocurrency holdings. Lastly, the staff are recommending that the Exposure Draft proposing amendments to IAS 37 Provisions, Contingent Liabilities and Contingent Assets in relation to costs of fulfilling a contract also propose that early application be permitted.

The staff describe how they expect to manage the Management Commentary project using three work streams. The staff also set out the recommended objective of management commentary.

The Thursday sessions start with recommendations on how the Board should finalise proposed amendments to IAS 1 in relation to Classification of Liabilities as Current or Non-current.

The Board will consider a recommendation to update a reference to the Conceptual Framework in IFRS 3 Business Combinations

The proposed model for Rate-regulated Activities supplements the information provided by applying current IFRS Standards. The staff have assessed how the proposed model interacts with those other Standards. The papers also include recommendations about what information should be presented about rate-regulated activities.

 

Agenda for the meeting

Wednesday 14 November 2018

  • IFRS 17 Insurance Contracts — Implications of exploring amendments to IFRS 17 for effective dates
  • Primary financial statements
    • EBITDA (Earnings before interest, tax, depreciation and amortisation)
    • Templates or Examples
    • Minimum line items
  • Implementation
    • Property, Plant and Equipment: Proceeds before intended use (Amendments to IAS 16)
    • Cryptocurrencies
    • Onerous Contracts: Cost of Fulfilling a Contract (Amendments to IAS 37)
  • Management commentary

Thursday 15 November 2018

  • Classification of liabilities as current or non -current (Amendments to IAS 1)
  • Updating a reference to the Conceptual Framework (Amendments to IFRS 3)
  • Rate-regulated activities
    • Interactions between the model and IFRS Standards
    • Presentation
    • Disclosure objectives and requirements
    • Illustrative disclosures

Agenda papers for this meeting are available on the IASB's website.

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