ESMA publishes 28th enforcement decisions report
09 Oct 2023
The European Securities and Markets Authority (ESMA) has published further extracts from its confidential database of enforcement decisions taken by European national enforcers. This batch deals with decisions in relation to IFRS 3, IAS 32/IFRS 3, IAS 38, IFRS 10, IFRS 10/IFRS 11, IFRS 15, IFRS 9/IFRS 16, IFRS 7, and IFRS 16.
The European national enforcers of financial information monitor and review financial statements published by issuers with securities traded on a regulated European market and who prepare their financial statements in accordance with International Financial Reporting Standards (IFRS) and consider whether they comply with IFRS and other applicable reporting requirements, including relevant national law.
ESMA has developed a confidential database of enforcement decisions taken by individual European enforcers as a source of information to foster appropriate application of IFRS.
The publication of enforcement decisions is designed to inform market participants about which accounting treatments European national enforcers may consider as complying with IFRS, i.e. whether the treatments are considered as being within the accepted range of those permitted by IFRS. ESMA considers the publication of the decisions, together with the rationale behind them, will contribute to a consistent application of IFRS in the European Union.
Topics covered in the latest batch of extracts, covering the period from December 2017 to December 2022, include:
| Standard | Topic |
|---|---|
| IFRS 3 — Business Combinations | Earn-out payments related to business combinations |
| IAS 32— Financial Instruments: Presentation IFRS 3 — Business Combinations |
Classification of a put-option liability related to a business combination |
| IAS 38 — Intangible Assets | Recognition and measurement of distribution rights |
| IFRS 10 — Consolidated Financial Statements | Loss of control |
| IFRS 10 — Consolidated Financial Statements IFRS 11 — Joint Arrangements |
Assessment of control |
| IFRS 15 — Revenue from Contracts with Customers | Principal vs. agent |
| IFRS 9 — Financial Instruments IFRS 16 — Leases |
Own-use exemption |
| IFRS 7 — Financial Instruments: Disclosures | Hedge accounting disclosures |
| IFRS 16 — Leases | Disclosures related to leases |
Click for access to the full report and a list of all decisions published so far (links to ESMA website).
Related Topics
- IAS 32 — Financial Instruments: Presentation
- IAS 38 — Intangible Assets
- IFRS 3 — Business Combinations
- IFRS 7 — Financial Instruments: Disclosures
- IFRS 9 — Financial Instruments
- IFRS 10 — Consolidated Financial Statements
- IFRS 11 — Joint Arrangements
- IFRS 15 — Revenue from Contracts with Customers
- IFRS 16 — Leases
