IASB votes to retain impairment-only model
24 Nov 2022
At the IASB meeting today, the IASB discussed whether there was compelling evidence that amortisation of goodwill should be reintroduced.
The IASB did not discuss whether either the impairment-only model or the amortisation model are conceptually superior but rather whether there was compelling evidence that would justify a switch from one model to the other. IASB members expressed different views as to which model they would have preferred, however, ten out of eleven members agreed that there was not enough evidence to change the IASB's original decision to work with an impairment only model. However, IASB members also noted that the decision might be revisited in later years.
After the meeting, the IASB issued a press release on the vote.
