Background

On 23 January 2020, the IASB issued Classification of Liabilities as Current or Non-current (Amendments to IAS 1) providing a more general approach to the classification of liabilities under IAS 1 Presentation of Financial Statements based on the contractual arrangements in place at the reporting date. The amendments had an effective date of 1 January 2022.

In April 2020, the IASB held a supplementary IASB meeting to consider COVID-19-related matters including the Board's timelines in view of the COVID-19 pandemic. The Board tentatively decided to delay by one year the effective date of Classification of Liabilities as Current or Non-current (Amendments to IAS 1) to annual reporting periods beginning on or after 1 January 2023 and published a corresponding exposure draft in May 2020.

The finalised amendment published today defers the effective date of the January 2020 amendments by one year.

Changes

The changes in Classification of Liabilities as Current or Non-current — Deferral of Effective Date defer the effective date of Classification of Liabilities as Current or Non-current (Amendments to IAS 1) to annual reporting periods beginning on or after 1 January 2023. Earlier application of the January 2020 amendments continue to be permitted.

Additional information

Please click for:

• IASB press release (link to IASB website)
• IFRS in Focus newsletter explaining the amendment
• Our IAS Plus project page on Classification of liabilities — Effective date

The standards and amendments affected include: 

• IPSAS 41 Financial Instruments;
• IPSAS 42 Social Benefits;
• Long-term Interests in Associates and Joint Ventures (Amendments to IPSAS 36) and Prepayment Features with Negative Compensation (Amendments to IPSAS 41);
• Collective and Individual Services (Amendments to IPSAS 19); and
• Improvement to IPSAS, 2019. 

The exposure draft can be accessed on the IPSASB website. Comments are requested by 15 August 2020.

A consolidated version of IFRS 17 incorporating the June 2020 amendments is now available freely on the IASB website. The amendments are effective for annual periods beginning on or after 1 January 2023 with earlier application permitted.

Please click to access the consolidated version of IFRS 17 on the IASB website.

The corrections affect IFRS 17 Insurance Contracts. In addition, the IASB has published a list of errata on Amendments to IFRS 17 published in June 2020.

Editorial corrections do not change the meaning or application of pronouncements, but instead correct inadvertent errors. Both, the editorial corrections and the list of errata, can be viewed on the editorial corrections page of the IASB's website.

A recording of this webinar is now available on YouTube.

The document offers a flowcharts summarising when and how to test for impairment of non-financial assets and eleven questions addressing specific issues that arise in the impairment process within the context of COVID-19.

Please click to download Staff FAQs – Impairment of non-financial assets from the AASB website.

The objective of the event is to collect input from the community of interested preparers that were unable to participate in the field-tests organised by EFRAG. The insights of the field testing will be presented and discussed with a panel of preparers. The audience will be able to contribute to the discussion through polling surveys and Q&A sessions.

Please click for more information on the EFRAG website.

The timing does not follow the usual pattern of the FSA as the intention was to make the recent IFRS 16 amendment on rent concessions available for interim reports.

For more information, see the press release (in Japanese only) on the FSA website.

The Board will discuss the following:

• Disclosure initiative — Accounting policies
• Extractive activities
• IBOR reform and its effects on financial reporting — Phase 2
• Maintenance and consistent application
• Management commentary
• IFRS Taxonomy oral update

The full agenda for the meeting can be found here. We will post any updates to the agenda, our comprehensive pre-meeting summaries, as well as observer notes from the meeting on this page as they become available.

Five of the sixteen members of EFRAG TEG will reach the end of their current term of appointment on 31 March 2021 and two of the country liaison members will reach the end of their current term on 30 November 2020. Not all of the members are eligible for reappointment.

EFRAG welcomes all applications but in particular seeks candidates with an insurance background or user background.

For more information, please see the press release on the EFRAG website.

Please note that the application date has been extended to 2 November 2020.