IFRS Interpretations Committee meeting — 14-15 March 2017

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End date:

Location: London

IFRS IC meeting (blue)

The IFRS Interpretations Committee met in London on Tuesday 14 and Wednesday 15 March 2017. The Committee discussed 13 issues—three on-going, four previously issued agenda decisions and six new.   

On-going discussions

The Committee is recommending to the IASB that it finalise its narrow-scope amendments to IAS 19 Employee Benefits in relation to plan amendments, curtailments or settlements (Agenda Paper 2).

The Committee also discussed the proposed amendments To IFRS 3 Business Combinations and IFRS 11 Joint Arrangements in relation to previously held interests. Although the Committee supports the finalisation of the amendments they sought clarification of what constitutes ‘previously held interest’.  The staff will undertake additional analysis and report back to the Committee. (Agenda Paper 9)`

The Committee revisited IFRS 9 Financial Instruments and the discussions about modifications and exchanges of financial liabilities. The IASB has asked the Committee not to take this matter onto its agenda and to issue a tentative decision to that effect. Although this was not the preferred approach of most members, the Committee will publish a draft rejection notice in due course highlighting what is different in IFRS 9 that requires the change from IAS 39. (Agenda Paper 11)

Finalisation of draft agenda decisions

The Committee considered the public feedback on four matters which it had tentatively decided not to add to its agenda:

  • IFRS 10 Consolidated Financial Statements: Investment entity consolidation (Agenda Paper 8A);
  • IAS 28 Investments in Associates and Joint Ventures: Fund manager’s significant influence over a fund (Agenda Paper 8B);
  • IAS 12 Income Taxes: Deferred taxes in asset acquisitions (Agenda Paper 8C); and
  • Commodity loans (Agenda Paper 8D)

In each case the Committee finalised the decision. For commodity loans the Committee also asked the staff to assess whether the wider issue of commodity transactions should be added to either the Board’s or the IC’s agenda.

New issues

The Committee discussed six new issues:

  • IAS 19 Employee Benefits: Discount rates (Agenda Paper 3)
  • IAS 33 Earnings per share: Tax consequences of dividends on participating equity instruments (Agenda Paper 4)
  • IFRS 1 First-time Adoption of IFRS: Subsidiary as a first time adopter (Agenda Paper 5)
  • IAS 12 Income taxes: Interest and penalties (Agenda Paper 6)
  • IAS 41 Agriculture: Fair value of biological assets growing on bearer plants (Agenda Paper 7)
  • IAS 32 Financial Instruments: Presentation: Centrally cleared derivatives (Agenda Paper 10)

In each case the Committee decided not to take the matter onto its agenda, and it will publish draft decisions to that effect.


Agenda for the meeting


TUESDAY, 14 March 2017

Morning session (09:30-13:00)
  • Opening remarks, administrative matters, and meeting minutes of the November 2016 meeting
  • Deliberation of comments received:
    • IAS 19 — Remeasurement on a plan amendment, curtailment or settlement – minor plan events
  • New issues:
    • IAS 19 — Discount rates
    • IAS 33 — Tax consequences of dividends on participating equity instruments
    • IFRS 1 — Subsidiary as a first time adopter

Afternoon session (14:00-17:30)

  • New issues:
    • IAS 12 — Interest and penalties
    • IAS 41 — Fair value of biological assets growing on bearer plants
  • Agenda decisions to finalise:
    • IFRS 10 — Investment entity consolidation
    • IAS 28 — Significant influence: Fund manager acting as an agent
    • IAS 12 — Deferred taxes in asset acquisitions
    • IAS 2 — Commodity loan transactions
  • Deliberation of comments received:
    • IFRS 11 — Obtaining control or joint control of a joint operation that is a business

WEDNESDAY, 15 March 2017

Morning session (09:00-10:50)
  • New issues:
    • IAS 32 — Centrally cleared derivatives
    • IFRS 9 — Modifications and exchanges of financial liabilities
  • Administrative session:
    • Work in progress

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

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