Deloitte comment letter on IASB ED/2015/6 'Clarifications to IFRS 15'

Published on: 28 Oct 2015

Deloitte Touche Tohmatsu Limited has responded to the International Accounting Standards Board's (IASB) Exposure Draft ED/2015/6 Clarifications to IFRS 15.

In our comment letter, we welcome the Board’s initiative in addressing a number of issues that were likely to cause significant practical difficulties in the application of IFRS 15 and support the proposed amendments. Also, we provide general comments on the following:

  • Value of convergence — There is great value in having a converged standard as it optimizes costs to comply on a global basis. We urge the IASB and FASB to work together when updating the standard; however, when divergence occurs, to clearly explain that decision.
  • Clarity, stable platform and timing of further amendments — We support the Boards’ effort to clarify aspects of the Standard that are unclear through the proposed amendments. In addition, we believe that any subsequent changes should be issued with a later effective, but with early adoption.
  • Importance of drafting and updating the Standard itself — To reduce the risk of preparers arriving at divergent answers, we urge the Boards to use as much as the same wording as possible when updating the Standard. Also, we recommend that decisions made are reflected by amendments to the Standard itself rather than, as for certain issues addressed by the exposure draft, only in the Basis for Conclusions or Illustrative Examples.
  • Ongoing role of Transition Resource Group (TRG) — We believe that the TRG provides the preparers, auditors, and regulators an important forum to discuss matters of interpretation and application.

Please click to download the full comment letter below.


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