Canada defers mandatory IFRS adoption for certain rate-regulated entities to 2015
18 Feb 2013
The Accounting Standards Board (AcSB) of Canada has decided to extend the existing deferral of the mandatory IFRS changeover date for entities with qualifying rate-regulated activities by an additional year to 1 January 2015.
The deferral extends the previous deferral to 2014 announced in September 2012, and comes in light of the IASB's project on rate-regulated activities outlined in its response to the Agenda Consultation 2011. The IASB's project is being pursued in two phases, with an exposure draft of an interim standard arising from the first phase expected in the first half of 2013. The interim standard would allow entities adopting IFRS to continue to use their local GAAP requirements for rate-regulated activities until the main project is completed provided certain requirements yet to be agreed in the interim standard are met.
In light of these developments, the AcSB's extended deferral seeks to provide first-time adopters of IFRSs adequate time to prepare comparative figures based on any new interim IFRS that results from this project.
The new mandatory IFRS changeover date decided by the AcSB also coincides with the expiration of the Canadian Securities Administrators’ (CSA) exemptive relief for entities that aren’t registered with the U.S. Securities and Exchange Commission (SEC) to temporarily apply U.S. GAAP instead of IFRSs.
Click for further information on the AcSB website.
