Meeting ac­tiv­i­ties included the following:

• Executive session — The Trustees discussed a number of important strategic issues:
  • Trustee Corporate Governance Issues — The Trustees discussed issues related to governance and procedures.
  • Report of the Directors — The Trustees received a report which discussed highlights of the IFRS Foundation in the past three months.
  • Asia-Oceania Office Plan — The Trustees approved the Asia-Oceania’s 2018 work plan.
  • Analysis of Organisation expenditure — The Trustees received a report on total expenditure for 2017.
  • Trustee Meeting Locations — The Trustees agreed that Brussels will host the first meeting in 2019.
  • Committee reports — The Trustees discussed reports from the Audit and Finance Committee, the Education and Content Services Committee, the Human Capital Committee, the Nom­i­nat­ing Committee, and the DPOC.
    
    The DPOC session included an update on the IASB’s technical activities as well as its due process actions. The DPOC also announced Ann Tarca will become Vice-Chair of the IFRS Taxonomy Consultative group. In addition, the DPOC approved a staff paper which outline the scope and timetable for the review of the Due Process Handbook.
• IASB Chairman’s report — The Chair of the IASB provided the Trustees with an update on the IASB’s technical ac­tiv­i­ties, support for the implementation of IFRS 17, and the conceptual framework project.
• Meetings in Hong Kong — The Trustees received a presentation by the Advisory Council chair. In addition, the Trustees met with the Asian-Oceanian Standard-Setters Group (see the summary on AOSSG website) and had a stakeholders event.

The full report on the IFRS Foun­da­tion trustees’ and DPOC meeting is available on the IASB’s website.

Finalisation of agenda decisions

The Committee finalised the three decisions relating to IFRS 15 Revenue for Contracts with Customers (Revenue recognition in a real estate contract; Revenue recognition in a real estate contract that includes the transfer of land; and Right to payment for performance completed to date) and will not take those items onto its agenda. As well as considering the specific issues, the Committee discussed more general comments about these agenda decisions, including the appropriateness of considering specific fact patterns. 

The Committee also finalised the decision not to add to its agenda a project in relation to the presentation of interest revenue for particular financial instruments.

Continuing discussions

In Committee continued its discussions of whether or how to clarify the meaning of the term ‘unavoidable costs’, which is used in the definition of an onerous contract in IAS 37 Provisions, Contingent Liabilities and Contingent Assets. The Committee decided to develop a separate narrow scope proposal to amend IAS 37 that would specify that the ‘cost of fulfilling’ a contract comprises the ‘costs that relate directly to the contract’, with examples to illustrate the application of this.

New issues

The Committee decided to publish a tentative decision not to add to its agenda a project on IAS 7 Statement of Cash Flows - classification of short-term loans and credit facilities (Agenda Paper 6) because they think the requirements in the relevant Standard provide an adequate basis for an entity to determine the appropriate accounting.

The Committee decided to publish tentative decisions not to add two items to its agenda because they think there is insufficient evidence that the matter has widespread effect:

• IFRS 9 Financial Instruments - classification of a particular type of dual currency bonds (Agenda Paper 8). How to assess whether a financial instrument has contractual cash flows that are solely payments of principal and interest on the principal amount outstanding when a bond has a par amount denominated in one currency and fixed interest coupon payments denominated in another currency.
• IFRS 9 Financial Instruments hedge accounting with load following swaps (Agenda Paper 9). How should the term “highly probable” be applied, as it is used in IAS 39.88 and IFRS 9.6.3.3, to assess whether a hedging relationship qualifies for hedge accounting?

The Committee also considered two other issues. The staff will assess whether an interpretation is necessary in relation to IAS 12 Income Taxes Deferred tax – tax base of assets and liabilities (Agenda Paper 4) and how the exemption (in IAS 12.15 and IAS 12.24) to recognising a deferred tax asset or a deferred tax liability should be applied. The staff will bring back a revised draft agenda decision in relation to IAS 37 Provisions, Contingent Liabilities and Contingent Assets - payments relating to taxes other than income tax (Agenda Paper 7).  The issue relates to when an entity makes a voluntarily payment to a tax authority that will either be returned or used to settle the tax liability (which the entity has determined is not probable and therefore not recognised).

There are no new or ongoing matters that have yet to be presented to the Committee.

Please click to access the detailed notes taken by Deloitte observers for the entire meeting.

The Red Book contains all official pronouncements as issued at 1 January 2018. Accordingly, the 2018 edition includes the following changes made since 1 January 2017: IFRS 17, amendments to IFRS 9 and IAS 28, Annual Improvements 2015–2017, IFRIC 23, and IFS Practice Statement 2.

eIFRS Professional and Comprehensive subscribers can access the electronic files of the 2018 IFRS Red Book via eIFRS (you will be required to provide your login details).

The Red Book is also available through the IASB's Web Shop. Copies are priced at £78 each, plus shipping.

The main conference programme includes:

Day 1

• Chairman’s keynote
• Keynote address by the CFO of SAP SE
• IASB update
  • Major IFRS Standards (including insurance and rate-regulated activities)
  • Research projects
  • The importance of disclosures
• Break-out sessions:
  • Implementation and Application of the Standards
  • IFRS Taxonomy
  • Implementing IFRS 16 Leases — Disclosures
  • Primary Financial Statements
  • Wider Corporate Reporting

Day 2

• Panel discussion — Judgments and estimates
• Conceptual Framework at a glance
• Panel discussion — Technology and its impact on accounting
• Break-out sessions:
  • Implementation and Application of the Standards (repeated from day 1)
  • Financial Instruments with Characteristics of Equity
  • IFRS 17 Insurance Contracts — Implementation: Hot Topics
  • Conceptual Framework in action
• Q&A session with IASB Members and staff

There are also four pre-conference special interest workshops:

• Investor-focused IFRS workshop and update
• Guide to new IFRS Standards 
• Effects of IFRS 17 Insurance Contracts   
• Making Disclosure More Meaningful

More details, including registration information, are available on the conference website. 

The Board will discuss seven projects.      

Wednesday

Disclosure Initiative

The Board continues its discussion of the feedback on the Principles of Disclosure Discussion Paper. The objective of this meeting is for the Board to make decisions about the next steps in the project. The staff have identified topics that they think are directly related to improving disclosures in financial statements, topics that they think are more relevant to the Primary Financial Statements project, topics that are unlikely to be contributing to the disclosure problems, those that can be dealt with separately from the main disclosure problem and topics that the DP did not address, but for which the Board received significant feedback.

Thursday

Dynamic Risk Management [Macro-hedging]

The staff will discuss the role of the target profile within the Dynamic Risk Management accounting model.

Rate-regulated Activities

The Board is being asked to decide on the definition of defined rate regulation (which sets the scope for the eventual new Standard), and the criteria for recognising regulatory assets and regulatory liabilities.

IFRS 8 Operating Segments

The staff have considered whether the Board should bring the project to conclusion without moving forward on any of the proposed amendments, proceed with all of the proposals or, as they recommend, proceed with a (modified) sub-set of the proposals.

Post-implementation review of IFRS 13 'Fair Value Measurement'

The Board discussed a summary of feedback on its Request for Information and an academic review in January 2018. At this meeting the staff are recommending that the Board consider disclosure issues as part of the Principles of Disclosure project. In general, however, the feedback indicates that IFRS 13 is working as intended and the staff recommend that no changes to IFRS 13 be considered at this time.

Management Commentary

In November 2017 the IASB decided to update its Management Commentary Practice Statement. Last week the Board announced the creation of a consultative group to support the project. At this meeting the staff will give a presentation that sets out the approach they propose taking in updating the Practice Statement.

Accounting Policies and Accounting Estimates

The Board will discuss a summary of the comments received on the exposure draft to clarify the definitions of an accounting policy and an accounting estimate.

More information

Our pre-meeting summaries are available on our March meeting note page and will be supplemented with our popular meeting notes after the meeting.

The paper summarises the Task Force’s final recommendations on future-oriented climate-related financial disclosures, identifies financial accounting standards and other mainstream reporting materials that could aid companies in responding to various aspects of the TCFD recommendations, and considers what more needs to be done and how to align the TCFD core elements and recommended disclosures with existing financial accounting standards and materials. The paper focuses on IFRS 7, IFRS 9, IFRS 15, IFRS 17 and IAS 36 and IAS 37, exploring some of the main points applied to traditional financial instruments and how they could potentially help organisations disclose climate-related risks and opportunities within their mainstream reports.

Please click to access the full report on the CDSB website.

The Board is seeking candidates who have:

1. a deep understanding of the information that existing and potential investors, lenders and other creditors need from management commentary and of areas of current practice where those needs are, or are not, being met; or
2. expertise in developing or implementing management commentary regimes designed to meet those needs.

The Board expects to hold at least four consultative group meetings during the course of the project.

Please see the press release on the IASB website for more information. The deadline for applications is 20 April 2018.

The IPTF's discussion document for the 21 November 2017 meeting is now available and states the following view of the Task Force:

Countries with three-year cumulative inflation rates exceeding 100%:

• South Sudan
• Suriname
• Venezuela

Countries with projected three-year cumulative inflation rates exceeding 100%:

• Angola
• Libya
• Argentina

Countries where the three-year cumulative inflation rates had exceeded 100% in recent years:

• Sudan

Countries with recent three-year cumulative inflation rates exceeding 100% after a spike in inflation in a discrete period:

• Ukraine

Countries with projected three-year cumulative inflation rates between 70% and 100% or with a significant (25% or more) increase in inflation during the current period

• Democratic Republic of Kongo
• Egypt
• Yemen

The full list, including exact numbers, detailed explanations of the calculation of the numbers, and observations of the Task Force are available on the CAQ website. We also offer an overview of the IPTF's assessment of hyperinflationary jurisdictions at the end of our summary of IAS 29.

As regards accounting, the action plan includes the following points:

• Fitness check of EU legislation on public corporate reporting, including theNon-Financial Reporting Directive, to assess whether public reporting requirements for listed and non-listed companies are fit for purpose;
• by Q2 2019, revision of the guidelines on non-financial information to provide further guidance to companies on how to disclose climate-related information, in line with the recommendations of the Financial Stability Board's Task Force on Climate-related Financial Disclosure (TCFD);
• by Q3 2018, creation of a European Corporate Reporting Lab as part of the European Financial Reporting Advisory Group (EFRAG);
• request EFRAG, where appropriate, to assess the impact of new or revised IFRSs on sustainable investments; and
• as part of the fitness check, evaluation of relevant aspects of the International Accounting Standards Regulation focusing in particular on how the adoption process of IFRSs can allow for specific adjustments to standards where they are not conducive to the European public good.

Please click for the full text of the action plan on the EC website. Additional documents such as FAQs and a factsheet are available here.

This webcast is part of a series to support the implementation of IFRS 17.

For more information, see the press release on the IASB’s website. In addition, earlier webcasts and webinars on IFRS 17 are available through an archive.