IAS Plus newsletter — Business combinations: IASB revises IFRS 3 and IAS 27
On 10 January 2008, the International Accounting Standards Board (IASB) issued IFRS 3 Business Combinations (revised 2008) and IAS 27 Consolidated and Separate Financial Statements (revised 2008).
The revised Standards are mandatory for business combinations in annual financial statements beginning on or after 1 July 2009, although limited earlier application is permitted.
The revisions will result in a high degree of convergence between International Financial Reporting Standards (IFRSs) and US Generally Accepted Accounting Principles (GAAP), although some inconsistencies remain, which may result in significantly different financial reporting.