IFRS 2 — Vesting conditions and cancellations


This project began as a project of the International Financial Reporting Interpretations Committee (IFRIC).   However, the IFRIC was subsequently unable to reach a consensus and the issues were referred to the IASB.

The issues relate to IFRS 2 Share-based Payment:

  • IFRS 2 describes vesting conditions as including service conditions and performance conditions but is silent on whether other features of a share-based payment transaction are considered vesting conditions
  • IFRS 2 specifies the accounting treatment when an entity cancels a grant of equity instruments but does not state how to account for cancellations by a party other than the entity.


Current status of the project

This project has been completed.  The IASB issued Vesting Conditions and Cancellations (Amendments to IFRS 2) on 17 January 2008.


Project milestones

2 February 2006 Exposure Draft Vesting Conditions and Cancellations published Comment deadline 2 June 2006
17 January 2008 Vesting Conditions and Cancellations (Amendments to IFRS 2) issued Effective for annual periods beginning on or after 1 January 2009

Correction list for hyphenation

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