IAS 16 — Disclosure of idle assets and construction in progress
The staff introduced the submission by highlighting that the submitter asked for more disclosures about temporarily idled and under construction property plant and equipment. It was noted that IAS 16 Property, Plant and Equipment contained disclosure recommendations for this, but that this guidance was not mandatory.
It was clear for most IFRIC members that this was not a request for interpretation, but to change the standard. It was also noted that IAS 1 already requires disclosures about major items that are necessary to understand the financial statements, but that requirement leaves some room for judgement and might not be applied consistently around the world.
The IFRIC decided not to add the issue to its agenda and agreed with the proposed tentative agenda decision wording subject to drafting changes.
