INHALT

Commission Regulation (EU) 2023/1803 of 13 August 2023 adopting certain international accounting standards in accordance with Regulation (EC) No 1606/2002 of the European Parliament and of the Council (Text with EEA relevance)

COMMISSION REGULATION (EU) 2023/1803
of 13 August 2023
adopting certain international accounting standards in accordance with Regulation (EC) No 1606/2002 of the European Parliament and of the Council
(Text with EEA relevance)
Article 1
Article 2
Article 3
Article 4
Article 5
ANNEX
INTERNATIONAL ACCOUNTING STANDARDS
INTERNATIONAL ACCOUNTING STANDARD 1
Presentation of Financial Statements
OBJECTIVE
SCOPE
DEFINITIONS
FINANCIAL STATEMENTS
Purpose of financial statements
Complete set of financial statements
General features
Fair presentation and compliance with IFRSs
Going concern
Accrual basis of accounting
Materiality and aggregation
Offsetting
Frequency of reporting
Comparative information
Minimum comparative information
Additional comparative information
Change in accounting policy, retrospective restatement or reclassification
Consistency of presentation
STRUCTURE AND CONTENT
Introduction
Identification of the financial statements
Statement of financial position
Information to be presented in the statement of financial position
Current/non-current distinction
Current assets
Current liabilities
Information to be presented either in the statement of financial position or in the notes
Statement of profit or loss and other comprehensive income
Information to be presented in the profit or loss section or the statement of profit or loss
Information to be presented in the other comprehensive income section
Profit or loss for the period
Other comprehensive income for the period
Information to be presented in the statement(s) of profit or loss and other comprehensive income or in the notes
Statement of changes in equity
Information to be presented in the statement of changes in equity
Information to be presented in the statement of changes in equity or in the notes
Statement of cash flows
Notes
Structure
Disclosure of accounting policies
Sources of estimation uncertainty
Capital
Puttable financial instruments classified as equity
Other disclosures
TRANSITION AND EFFECTIVE DATE
WITHDRAWAL OF IAS 1 (REVISED 2003)
INTERNATIONAL ACCOUNTING STANDARD 2
Inventories
OBJECTIVE
SCOPE
DEFINITIONS
MEASUREMENT OF INVENTORIES
Cost of inventories
Costs of purchase
Costs of conversion
Other costs
Cost of agricultural produce harvested from biological assets
Techniques for the measurement of cost
Cost formulas
Net realisable value
RECOGNITION AS AN EXPENSE
DISCLOSURE
EFFECTIVE DATE
WITHDRAWAL OF OTHER PRONOUNCEMENTS
INTERNATIONAL ACCOUNTING STANDARD 7
Statement of Cash Flows
(2)
OBJECTIVE
SCOPE
BENEFITS OF CASH FLOW INFORMATION
DEFINITIONS
Cash and cash equivalents
PRESENTATION OF A STATEMENT OF A CASH FLOWS
Operating activities
Investing activities
Financing activities
REPORTING CASH FLOWS FROM OPERATING ACTIVITIES
REPORTING CASH FLOWS FROM INVESTING AND FINANCING ACTIVITIES
REPORTING CASH FLOWS ON A NET BASIS
FOREIGN CURRENCY CASH FLOWS
INTEREST AND DIVIDENDS
TAXES ON INCOME
INVESTMENTS IN SUBSIDIARIES, ASSOCIATES AND JOINT VENTURES
CHANGES IN OWNERSHIP INTERESTS IN SUBSIDIARIES AND OTHER BUSINESSES
NON-CASH TRANSACTIONS
CHANGES IN LIABILITIES ARISING FROM FINANCING ACTIVITIES
COMPONENTS OF CASH AND CASH EQUIVALENTS
OTHER DISCLOSURES
EFFECTIVE DATE
INTERNATIONAL ACCOUNTING STANDARD 8
Accounting Policies, Changes in Accounting Estimates and Errors
OBJECTIVE
SCOPE
DEFINITIONS
ACCOUNTING POLICIES
Selection and application of accounting policies
Consistency of accounting policies
Changes in accounting policies
Applying changes in accounting policies
Retrospective application
Limitations on retrospective application
Disclosure
ACCOUNTING ESTIMATES
Changes in accounting estimates
Applying changes in accounting estimates
Disclosure
ERRORS
Limitations on retrospective restatement
Disclosure of prior period errors
IMPRACTICABILITY IN RESPECT OF RETROSPECTIVE APPLICATION AND RETROSPECTIVE RESTATEMENT
EFFECTIVE DATE AND TRANSITION
WITHDRAWAL OF OTHER PRONOUNCEMENTS
INTERNATIONAL ACCOUNTING STANDARD 10
Events after the Reporting Period
OBJECTIVE
SCOPE
DEFINITIONS
RECOGNITION AND MEASUREMENT
Adjusting events after the reporting period
Non-adjusting events after the reporting period
Dividends
GOING CONCERN
DISCLOSURE
Date of authorisation for issue
Updating disclosure about conditions at the end of the reporting period
Non-adjusting events after the reporting period
EFFECTIVE DATE
WITHDRAWAL OF IAS 10 (REVISED 1999)
INTERNATIONAL ACCOUNTING STANDARD 12
Income Taxes
OBJECTIVE
SCOPE
DEFINITIONS
Tax base
RECOGNITION OF CURRENT TAX LIABILITIES AND CURRENT TAX ASSETS
RECOGNITION OF DEFERRED TAX LIABILITIES AND DEFERRED TAX ASSETS
TAXABLE TEMPORARY DIFFERENCES
Business combinations
Assets carried at fair value
Goodwill
Initial recognition of an asset or liability
Deductible temporary differences
Goodwill
Initial recognition of an asset or liability
Unused tax losses and unused tax credits
Reassessment of unrecognised deferred tax assets
Investments in subsidiaries, branches and associates and interests in joint arrangements
MEASUREMENT
RECOGNITION OF CURRENT AND DEFERRED TAX
Items recognised in profit or loss
Items recognised outside profit or loss
Deferred tax arising from a business combination
Current and deferred tax arising from share-based payment transactions
PRESENTATION
Tax assets and tax liabilities
Offset
Tax expense
Tax expense (income) related to profit or loss from ordinary activities
Exchange differences on deferred foreign tax liabilities or assets
DISCLOSURE
EFFECTIVE DATE
WITHDRAWAL OF SIC-21
INTERNATIONAL ACCOUNTING STANDARD 16
Property, Plant and Equipment
OBJECTIVE
SCOPE
DEFINITIONS
RECOGNITION
Initial costs
Subsequent costs
MEASUREMENT AT RECOGNITION
Elements of cost
Measurement of cost
MEASUREMENT AFTER RECOGNITION
Cost model
Revaluation model
Depreciation
Depreciable amount and depreciation period
Depreciation method
Impairment
Compensation for impairment
DERECOGNITION
DISCLOSURE
TRANSITIONAL PROVISIONS
EFFECTIVE DATE
WITHDRAWAL OF OTHER PRONOUNCEMENTS
INTERNATIONAL ACCOUNTING STANDARD 19
Employee Benefits
OBJECTIVE
SCOPE
DEFINITIONS
SHORT-TERM EMPLOYEE BENEFITS
Recognition and measurement
All short-term employee benefits
Short-term paid absences
Profit-sharing and bonus plans
Disclosure
POST-EMPLOYMENT BENEFITS: DISTINCTION BETWEEN DEFINED CONTRIBUTION PLANS AND DEFINED BENEFIT PLANS
Multi-employer plans
Defined benefit plans that share risks between entities under common control
State plans
Insured benefits
POST-EMPLOYMENT BENEFITS: DEFINED CONTRIBUTION PLANS
Recognition and measurement
Disclosure
POST-EMPLOYMENT BENEFITS: DEFINED BENEFIT PLANS
Recognition and measurement
Accounting for the constructive obligation
Statement of financial position
Recognition and measurement: present value of defined benefit obligations and current service cost
Actuarial valuation method
Attributing benefit to periods of service
Actuarial assumptions
Actuarial assumptions: mortality
Actuarial assumptions: discount rate
Actuarial assumptions: salaries, benefits and medical costs
Past service cost and gains and losses on settlement
Past service cost
Gains and losses on settlement
Recognition and measurement: plan assets
Fair value of plan assets
Reimbursements
Components of defined benefit cost
Current service cost
Net interest on the net defined benefit liability (asset)
Remeasurements of the net defined benefit liability (asset)
Presentation
Offset
Current/non-current distinction
Components of defined benefit cost
Disclosure
Characteristics of defined benefit plans and risks associated with them
Explanation of amounts in the financial statements
Amount, timing and uncertainty of future cash flows
Multi-employer plans
Defined benefit plans that share risks between entities under common control
Disclosure requirements in other IFRSs
OTHER LONG-TERM EMPLOYEE BENEFITS
Recognition and measurement
Disclosure
TERMINATION BENEFITS
Recognition
Measurement
Disclosure
TRANSITION AND EFFECTIVE DATE
Appendix A
Application Guidance
INTERNATIONAL ACCOUNTING STANDARD 20
Accounting for Government Grants and Disclosure of Government Assistance
(9)
SCOPE
DEFINITIONS
GOVERNMENT GRANTS
Non-monetary government grants
Presentation of grants related to assets
Presentation of grants related to income
Repayment of government grants
GOVERNMENT ASSISTANCE
DISCLOSURE
TRANSITIONAL PROVISIONS
EFFECTIVE DATE
INTERNATIONAL ACCOUNTING STANDARD 21
The Effects of Changes in Foreign Exchange Rates
OBJECTIVE
SCOPE
DEFINITIONS
Elaboration on the definitions
Functional currency
Net investment in a foreign operation
Monetary items
SUMMARY OF THE APPROACH REQUIRED BY THIS STANDARD
REPORTING FOREIGN CURRENCY TRANSACTIONS IN THE FUNCTIONAL CURRENCY
Initial recognition
Reporting at the ends of subsequent reporting periods
Recognition of exchange differences
Change in functional currency
USE OF A PRESENTATION CURRENCY OTHER THAN THE FUNCTIONAL CURRENCY
Translation to the presentation currency
Translation of a foreign operation
Disposal or partial disposal of a foreign operation
TAX EFFECTS OF ALL EXCHANGE DIFFERENCES
DISCLOSURE
EFFECTIVE DATE AND TRANSITION
WITHDRAWAL OF OTHER PRONOUNCEMENTS
INTERNATIONAL ACCOUNTING STANDARD 23
Borrowing Costs
CORE PRINCIPLE
SCOPE
DEFINITIONS
RECOGNITION
Borrowing costs eligible for capitalisation
Excess of the carrying amount of the qualifying asset over recoverable amount
Commencement of capitalisation
Suspension of capitalisation
Cessation of capitalisation
DISCLOSURE
TRANSITIONAL PROVISIONS
EFFECTIVE DATE
WITHDRAWAL OF IAS 23 (REVISED 1993)
INTERNATIONAL ACCOUNTING STANDARD 24
Related Party Disclosures
OBJECTIVE
SCOPE
PURPOSE OF RELATED PARTY DISCLOSURES
DEFINITIONS
DISCLOSURES
All entities
Government-related entities
EFFECTIVE DATE AND TRANSITION
WITHDRAWAL OF IAS 24 (2003)
INTERNATIONAL ACCOUNTING STANDARD 26
Accounting and Reporting by Retirement Benefit Plans
SCOPE
DEFINITIONS
DEFINED CONTRIBUTION PLANS
DEFINED BENEFIT PLANS
Actuarial present value of promised retirement benefits
Frequency of actuarial valuations
Financial statement content
ALL PLANS
Valuation of plan assets
Disclosure
EFFECTIVE DATE
INTERNATIONAL ACCOUNTING STANDARD 27
Separate Financial Statements
OBJECTIVE
SCOPE
DEFINITIONS
PREPARATION OF SEPARATE FINANCIAL STATEMENTS
DISCLOSURE
EFFECTIVE DATE AND TRANSITION
References to IFRS 9
WITHDRAWAL OF IAS 27 (2008)
INTERNATIONAL ACCOUNTING STANDARD 28
Investments in Associates and Joint Ventures
OBJECTIVE
SCOPE
DEFINITIONS
SIGNIFICANT INFLUENCE
EQUITY METHOD
APPLICATION OF THE EQUITY METHOD
Exemptions from applying the equity method
Classification as held for sale
Discontinuing the use of the equity method
Changes in ownership interest
Equity method procedures
Impairment losses
SEPARATE FINANCIAL STATEMENTS
EFFECTIVE DATE AND TRANSITION
References to IFRS 9
WITHDRAWAL OF IAS 28 (2003)
INTERNATIONAL ACCOUNTING STANDARD 29
Financial Reporting in Hyperinflationary Economies
(13)
SCOPE
THE RESTATEMENT OF FINANCIAL STATEMENTS
Historical cost financial statements
Statement of financial position
Statement of comprehensive income
Gain or loss on net monetary position
Current cost financial statements
Statement of financial position
Statement of comprehensive income
Gain or loss on net monetary position
Taxes
Statement of cash flows
Corresponding figures
Consolidated financial statements
Selection and use of the general price index
ECONOMIES CEASING TO BE HYPERINFLATIONARY
DISCLOSURES
EFFECTIVE DATE
INTERNATIONAL ACCOUNTING STANDARD 32
Financial Instruments: Presentation
OBJECTIVE
SCOPE
DEFINITIONS (SEE ALSO PARAGRAPHS AG3-AG23)
PRESENTATION
Liabilities and equity (see also paragraphs AG13-AG14J and AG25–AG29A)
Puttable instruments
Instruments, or components of instruments, that impose on the entity an obligation to deliver to another party a pro rata share of the net assets of the entity only on liquidation
Reclassification of puttable instruments and instruments that impose on the entity an obligation to deliver to another party a pro rata share of the net assets of the entity only on liquidation
No contractual obligation to deliver cash or another financial asset (paragraph 16(a))
Settlement in the entity's own equity instruments (paragraph 16(b))
Contingent settlement provisions
Settlement options
Compound financial instruments (see also paragraphs AG30-AG35 and Illustrative Examples 9-12)
Treasury shares (see also paragraph AG36)
Interest, dividends, losses and gains (see also paragraph AG37)
Offsetting a financial asset and a financial liability (see also paragraphs AG38A–AG38F and AG39)
EFFECTIVE DATE AND TRANSITION
WITHDRAWAL OF OTHER PRONOUNCEMENTS
Appendix
APPLICATION GUIDANCE
IAS 32 Financial Instruments: Presentation
DEFINITIONS (PARAGRAPHS 11-14)
Financial assets and financial liabilities
Equity instruments
The class of instruments that is subordinate to all other classes (paragraphs 16A(b) and 16C(b))
Total expected cash flows attributable to the instrument over the life of the instrument (paragraph 16A(e))
Transactions entered into by an instrument holder other than as owner of the entity (paragraphs 16A and 16C)
No other financial instrument or contract with total cash flows that substantially fixes or restricts the residual return to the instrument holder (paragraphs 16B and 16D)
Derivative financial instruments
Contracts to buy or sell non-financial items (paragraphs 8-10)
PRESENTATION
Liabilities and equity (paragraphs 15-27)
No contractual obligation to deliver cash or another financial asset (paragraphs 17-20)
Settlement in the entity's own equity instruments (paragraphs 21-24)
Contingent settlement provisions (paragraph 25)
Treatment in consolidated financial statements
Compound financial instruments (paragraphs 28-32)
Treasury shares (paragraphs 33 and 34)
Interest, dividends, losses and gains (paragraphs 35-41)
Offsetting a financial asset and a financial liability (paragraphs 42-50)
Criterion that an entity ‘currently has a legally enforceable right to set off the recognised amounts’ (paragraph 42(a))
Criterion that an entity ‘intends either to settle on a net basis, or to realise the asset and settle the liability simultaneously’ (paragraph 42(b))
INTERNATIONAL ACCOUNTING STANDARD 33
Earnings per Share
OBJECTIVE
SCOPE
DEFINITIONS
MEASUREMENT
Basic earnings per share
Earnings
Shares
Diluted earnings per share
Earnings
Shares
Dilutive potential ordinary shares
Options, warants and their equivalents
Convertible instruments
Contingently issuable shares
Contracts that may be settled in ordinary shares or cash
Purchased options
Written put options
RETROSPECTIVE ADJUSTMENTS
PRESENTATION
DISCLOSURE
EFFECTIVE DATE
WITHDRAWAL OF OTHER PRONOUNCEMENTS
Appendix A
APPLICATION GUIDANCE
Profit or loss attributable to the parent entity
Rights issues
Control number
Average market price of ordinary shares
Options, warrants and their equivalents
Written put options
Instruments of subsidiaries, joint ventures or associates
Participating equity instruments and two-class ordinary shares
Partly paid shares
INTERNATIONAL ACCOUNTING STANDARD 34
Interim Financial Reporting
OBJECTIVE
SCOPE
DEFINITIONS
CONTENT OF AN INTERIM FINANCIAL REPORT
Minimum components of an interim financial report
Form and content of interim financial statements
Significant events and transactions
Other disclosures
Disclosure of compliance with IFRSs
Periods for which interim financial statements are required to be presented
Materiality
DISCLOSURE IN ANNUAL FINANCIAL STATEMENTS
RECOGNITION AND MEASUREMENT
Same accounting policies as annual
Revenues received seasonally, cyclically, or occasionally
Costs incurred unevenly during the financial year
Applying the recognition and measurement principles
Use of estimates
RESTATEMENT OF PREVIOUSLY REPORTED INTERIM PERIODS
EFFECTIVE DATE
INTERNATIONAL ACCOUNTING STANDARD 36
Impairment of Assets
OBJECTIVE
SCOPE
For impairment of other financial assets, refer to IFRS 9.
DEFINITIONS
IDENTIFYING AN ASSET THAT MAY BE IMPAIRED
MEASURING RECOVERABLE AMOUNT
Measuring the recoverable amount of an intangible asset with an indefinite useful life
Fair value less costs of disposal
Value in use
Basis for estimates of future cash flows
Composition of estimates of future cash flows
Foreign currency future cash flows
Discount rate
RECOGNISING AND MEASURING AN IMPAIRMENT LOSS
CASH-GENERATING UNITS AND GOODWILL
Identifying the cash-generating unit to which an asset belongs
Recoverable amount and carrying amount of a cash-generating unit
Goodwill
Allocating goodwill to cash - generating units
Testing cash - generating units with goodwill for impairmént
Timing of impairment tests
Corporate assets
Impairment loss for a cash-generating unit
REVERSING AN IMPAIRMENT LOSS
Reversing an impairment loss for an individual asset
Reversing an impairment loss for a cash-generating unit
Reversing an impairment loss for goodwill
DISCLOSURE
TRANSITIONAL PROVISIONS AND EFFECTIVE DATE
WITHDRAWAL OF IAS 36 (ISSUED 1998)
Appendix A
USING PRESENT VALUE TECHNIQUES TO MEASURE VALUE IN USE
The components of a present value measurement
General principles
Traditional and expected cash flow approaches to present value
Traditional approach
Expected cash flow approach
Discount rate
Appendix C
IMPAIRMENT TESTNG CASH-GENERATING UNITS WITH GOODWILL AND NON-CONTROLLING INTERESTS
Allocation of goodwill
Testing for impairment
Allocating an impairment loss
INTERNATIONAL ACCOUNTING STANDARD 37
Provisions, Contingent Liabilities and Contingent Assets
OBJECTIVE
SCOPE
DEFINITIONS
Provisions and other liabilities
Relationship between provisions and contingent liabilities
RECOGNITION
Provisions
Present obligation
Past event
Probable outflow of resources embodying economic benefits
Reliable estimate of the obligation
Contingent liabilities
Contingent assets
MEASUREMENT
Best estimate
Risks and uncertainties
Present value
Future events
Expected disposal of assets
REIMBURSEMENTS
CHANGES IN PROVISIONS
USE OF PROVISIONS
APPLICATION OF THE RECOGNITION AND MEASUREMENT RULES
Future operating losses
Onerous contracts
Restructuring
DISCLOSURE
Comparative information is not required.
TRANSITIONAL PROVISIONS
EFFECTIVE DATE
INTERNATIONAL ACCOUNTING STANDARD 38
Intangible Assets
OBJECTIVE
SCOPE
DEFINITIONS
Intangible assets
Identifiability
Control
Future economic benefits
RECOGNITION AND MEASUREMENT
Separate acquisition
Acquisition as part of a business combination
Intangible asset acquired in a business combination
Subsequent expenditure on an acquired in-process research and development project
Acquisition by way of a government grant
Exchanges of assets
Internally generated goodwill
Internally generated intangible assets
Research phase
Development phase
Cost of an internally generated intangible asset
RECOGNITION OF AN EXPENSE
Past expenses not to be recognised as an asset
MEASUREMENT AFTER RECOGNITION
Cost model
Revaluation model
USEFUL LIFE
INTANGIBLE ASSETS WITH FINITE USEFUL LIVES
Amortisation period and amortisation method
Residual value
Review of amortisation period and amortisation method
INTANGIBLE ASSETS WITH INDEFINITE USEFUL LIVES
Review of useful life assessment
RECOVERABILITY OF THE CARRYING AMOUNT — IMPAIRMENT LOSSES
RETIREMENTS AND DISPOSALS
DISCLOSURE
General
Intangible assets measured after recognition using the revaluation model
Research and development expenditure
Other information
TRANSITIONAL PROVISIONS AND EFFECTIVE DATE
Exchanges of similar assets
Early application
WITHDRAWAL OF IAS 38 (ISSUED 1998)
INTERNATIONAL ACCOUNTING STANDARD 39
Financial Instruments: Recognition and Measurement
SCOPE
DEFINITIONS
HEDGING
Hedging instruments
Qualifying instruments
Designation of hedging instruments
Hedged items
Qualifying items
Designation of financial items as hedged items
Designation of non-financial items as hedged items
Designation of groups of items as hedged items
Hedge accounting
Fair value hedges
Cash flow hedges
Hedges of a net investment
Temporary exceptions from applying specific hedge accounting requirements
Highly probable requirement for cash flow hedges
Reclassifying the cumulative gain or loss recognised in other comprehensive income
Effectiveness assessment
Designating financial items as hedged items
End of application
Additional temporary exceptions arising from interest rate benchmark reform
Hedge accounting
Accounting for qualifying hedging relationships
Retrospective effectiveness assessment
Cash flow hedges
Groups of items
Designating financial items as hedged items
EFFECTIVE DATE AND TRANSITION
WITHDRAWAL OF OTHER PRONOUNCEMENTS
Appendix A
Application guidance
HEDGING (paragraphs 71-102)
Hedging instruments (paragraphs 72-77)
Qualifying instruments (paragraphs 72 and 73)
Hedged items (paragraphs 78-84)
Qualifying items (paragraphs 78-80)
Designation of financial items as hedged items (paragraphs 81 and 81A)
Designation of non-financial items as hedged items (paragraph 82)
Designation of groups of items as hedged items (paragraphs 83 and 84)
Hedge accounting (paragraphs 85-102)
Assessing hedge effectiveness
Fair value hedge accounting for a portfolio hedge of interest rate risk
TRANSITION (paragraphs 103–108C)
INTERNATIONAL ACCOUNTING STANDARD 40
Investment Property
OBJECTIVE
SCOPE
DEFINITIONS
CLASSIFICATION OF PROPERTY AS INVESTMENT PROPERTY OR OWNER-OCCUPIED PROPERTY
RECOGNITION
MEASUREMENT AT RECOGNITION
MEASUREMENT AFTER RECOGNITION
Accounting policy
Fair value model
Inability to measure fair value reliably
Cost model
TRANSFERS
DISPOSALS
DISCLOSURE
Fair value model and cost model
Fair value model
Cost model
TRANSITIONAL PROVISIONS
Fair value model
Cost model
Business Combinations
IFRS 16
Transfers of Investment property
EFFECTIVE DATE
WITHDRAWAL OF IAS 40 (2000)
INTERNATIONAL ACCOUNTING STANDARD 41
Agriculture
OBJECTIVE
SCOPE
DEFINITIONS
Agriculture-related definitions
General definitions
RECOGNITION AND MEASUREMENT
Gains and losses
Inability to measure fair value reliably
GOVERNMENT GRANTS
DISCLOSURE
General
Additional disclosures for biological assets where fair value cannot be measured reliably
Government grants
EFFECTIVE DATE AND TRANSITION
INTERNATIONAL FINANCIAL REPORTING STANDARD 1
First-time Adoption of International Financial Reporting Standards
OBJECTIVE
SCOPE
RECOGNITION AND MEASUREMENT
Opening IFRS statement of financial position
Accounting policies
Exceptions to the retrospective application of other IFRSs
Estimates
Exemptions from other IFRSs
PRESENTATION AND DISCLOSURE
Comparative information
Non-IFRS comparative information and historical summaries
Explanation of transition to IFRSs
Reconciliations
Designation of financial assets or financial liabilities
Use of fair value as deemed cost
Use of deemed cost for investments in subsidiaries, joint ventures and associates
Use of deemed cost for oil and gas assets
Use of deemed cost for operations subject to rate regulation
Use of deemed cost after severe hyperinflation
Interim financial reports
EFFECTIVE DATE
WITHDRAWAL OF IFRS 1 (ISSUED 2003)
Appendix A
Defined terms
Appendix B
Exceptions to the retrospective application of other IFRSs
Derecognition of financial assets and financial liabilities
Hedge accounting
Non-controlling interests
Classification and measurement of financial instruments
Impairment of financial assets
Embedded derivatives
Government loans
Insurance contracts
Deferred tax related to leases and decommissioning, restoration and similar liabilities
Appendix C
Exemptions for business combinations
Appendix D
Exemptions from other IFRSs
Share-based payment transactions
Deemed cost
Leases
Cumulative translation differences
Investments in subsidiaries, joint ventures and associates
Assets and liabilities of subsidiaries, associates and joint ventures
Compound financial instruments
Designation of previously recognised financial instruments
Fair value measurement of financial assets or financial liabilities at initial recognition
Decommissioning liabilities included in the cost of property, plant and equipment
Financial assets or intangible assets accounted for in accordance with IFRIC 12
Borrowing costs
Extinguishing financial liabilities with equity instruments
Severe hyperinflation
Joint arrangements
Stripping costs in the production phase of a surface mine
Designation of contracts to buy or sell a non-financial item
Revenue
Foreign Currency Transactions and Advance Consideration
Appendix E
Short-term exemptions from IFRSs
Exemption from the requirement to restate comparative information for IFRS 9
Uncertainty over income tax treatments
INTERNATIONAL FINANCIAL REPORTING STANDARD 2
Share-based Payment
OBJECTIVE
SCOPE
RECOGNITION
EQUITY-SETTLED SHARE-BASED PAYMENT TRANSACTIONS
Overview
Transactions in which services are received
Transactions measured by reference to the fair value of the equity instruments granted
Determining the fair value of equity instruments granted
Treatment of vesting conditions
Treatment of non-vesting conditions
Treatment of a reload feature
After vesting date
If the fair value of the equity instruments cannot be estimated reliably
Modifications to the terms and conditions on which equity instruments were granted, including cancellations and settlements
CASH-SETTLED SHARE-BASED PAYMENT TRANSACTIONS
Treatment of vesting and non-vesting conditions
SHARE-BASED PAYMENT TRANSACTIONS WITH A NET SETTLEMENT FEATURE FOR WITHHOLDING TAX OBLIGATIONS
SHARE-BASED PAYMENT TRANSACTIONS WITH CASH ALTERNATIVES
Share-based payment transactions in which the terms of the arrangement provide the counterparty with a choice of settlement
Share-based payment transactions in which the terms of the arrangement provide the entity with a choice of settlement
SHARE-BASED PAYMENT TRANSACTIONS AMONG GROUP ENTITIES (2009 AMENDMENTS)
DISCLOSURES
TRANSITIONAL PROVISIONS
EFFECTIVE DATE
WITHDRAWAL OF INTERPRETATIONS
Appendix A
Defined terms
Appendix B
Application Guidance
Estimating the fair value of equity instruments granted
Shares
Share options
Inputs to option pricing models
Expected early exercise
Expected volatility
Newly listed entities
Unlisted entities
Expected dividends
Risk-free interest rate
Capital structure effects
Modifications to equity-settled share-based payment arrangements
Accounting for a modification of a share-based payment transaction that changes its classification from cash-settled to equity-settled
Share-based payment transactions among group entities (2009 amendments)
Share-based payment arrangements involving an entity’s own equity instruments
Share-based payment arrangements involving equity instruments of the parent
Aparent grantsrights to its equity instruments to the employees of its subsidiary (paragraph B52 (a))
A subsidiary grants rights to equity instruments of its parent to its employees (paragraph B52 (b))
Share-based payment arrangements involving cash-settled payments to employees
Transfer of employees between group entities
INTERNATIONAL FINANCIAL REPORTING STANDARD 3
Business Combinations
OBJECTIVE
SCOPE
IDENTIFYING A BUSINESS COMBINATION
THE ACQUISITION METHOD
Identifying the acquirer
Determining the acquisition date
Recognising and measuring the identifiable assets acquired, the liabilities assumed and any non-controlling interest in the acquiree
Recognition principle
Recognition conditions
Classifying or designating identifiable assets acquired and liabilities assumed in a business combination
Measurement principle
Exceptions to the recognition or measurement principles
Exceptions to the recognition principle
Liabilities and contingent
liabilities within the scope of IAS 37 or IFRIC 21
Contingent liabilities and contingent assets
Exceptions to both the recognition and measurement principles
Income taxes
Employee benefits
Indemnification assets
Leases in which the acquiree is the lessee
Exceptions to the measurement principle
Reacquired rights
Share–based payment transactions
Assets held for sale
Insurance contracts
Recognising and measuring goodwill or a gain from a bargain purchase
Bargain purchases
Consideration transferred
Contingent consideration
Additional guidance for applying the acquisition method to particular types of business combinations
A business combination achieved in stages
A business combination achieved without the transfer of consideration
Measurement period
Determining what is part of the business combination transaction
Acquisition-related costs
SUBSEQUENT MEASUREMENT AND ACCOUNTING
Reacquired rights
Contingent liabilities
Indemnification assets
Contingent consideration
DISCLOSURES
EFFECTIVE DATE AND TRANSITION
Effective date
Transition
Income taxes
REFERENCE TO IFRS 9
WITHDRAWAL OF IFRS 3 (2004)
Appendix A
Defined terms
Appendix B
Application guidance
BUSINESS COMBINATIONS OF ENTITIES UNDER COMMON CONTROL (APPLICATION OF PARAGRAPH 2(c))
IDENTIFYING A BUSINESS COMBINATION (APPLICATION OF PARAGRAPH 3)
DEFINITION OF A BUSINESS (APPLICATION OF PARAGRAPH 3)
Optional test to identify concentration of fair value
Elements of a business
Assessing whether an acquired process is substantive
IDENTIFYING THE ACQUIRER (APPLICATION OF PARAGRAPHS 6 AND 7)
REVERSE ACQUISITIONS
Measuring the consideration transferred
Preparation and presentation of consolidated financial statements
Non-controlling interest
Earnings per share
RECOGNISING PARTICULAR ASSETS ACQUIRED AND LIABILITIES ASSUMED (APPLICATION OF PARAGRAPHS 10–13)
Intangible assets
Reacquired rights
Assembled workforce and other items that are not identifiable
MEASURING THE FAIR VALUE OF PARTICULAR IDENTIFIABLE ASSETS AND A NON-CONTROLLING INTEREST IN AN ACQUIREE (APPLICATION OF PARAGRAPHS 18 AND 19)
Assets with uncertain cash flows (valuation allowances)
Assets subject to operating leases in which the acquiree is the lessor
Assets that the acquirer intends not to use or to use in a way that is different from the way other market participants would use them
Non-controlling interest in an acquiree
MEASURING GOODWILL OR A GAIN FROM A BARGAIN PURCHASE
Measuring the acquisition-date fair value of the acquirer’s interest in the acquiree using valuation techniques (application of paragraph 33)
Special considerations in applying the acquisition method to combinations of mutual entities (application of paragraph 33)
DETERMINING WHAT IS PART OF THE BUSINESS COMBINATION TRANSACTION (APPLICATION OF PARAGRAPHS 51 AND 52)
Effective settlement of a pre-existing relationship between the acquirer and acquiree in a business combination (application of paragraph 52(a))
Arrangements for contingent payments to employees or selling shareholders (application of paragraph 52(b))
Acquirer share-based payment awards exchanged for awards held by the acquiree’s employees (application of paragraph 52(b))
Equity-settled share-based payment transactions of the acquiree
OTHER IFRSS THAT PROVIDE GUIDANCE ON SUBSEQUENT MEASUREMENT AND ACCOUNTING (APPLICATION OF PARAGRAPH 54)
DISCLOSURES (APPLICATION OF PARAGRAPHS 59 AND 61)
TRANSITIONAL PROVISIONS FOR BUSINESS COMBINATIONS INVOLVING ONLY MUTUAL ENTITIES OR BY CONTRACT ALONE (APPLICATION OF PARAGRAPH 66)
INTERNATIONAL FINANCIAL REPORTING STANDARD 5
Non-current Assets Held for Sale and Discontinued Operations
OBJECTIVE
SCOPE
CLASSIFICATION OF NON-CURRENT ASSETS (OR DISPOSAL GROUPS) AS HELD FOR SALE OR AS HELD FOR DISTRIBUTION TO OWNERS
Non-current assets that are to be abandoned
MEASUREMENT OF NON-CURRENT ASSETS (OR DISPOSAL GROUPS) CLASSIFIED AS HELD FOR SALE
Measurement of a non-current asset (or disposal group)
Recognition of impairment losses and reversals
Changes to a plan of sale or to a plan of distribution to owners
PRESENTATION AND DISCLOSURE
Presenting discontinued operations
Gains or losses relating to continuing operations
Presentation of a non-current asset or disposal group classified as held for sale
Additional disclosures
TRANSITIONAL PROVISIONS
EFFECTIVE DATE
WITHDRAWAL OF IAS 35
Appendix A
Defined terms
Appendix B
Application supplement
EXTENSION OF THE PERIOD REQUIRED TO COMPLETE A SALE
INTERNATIONAL FINANCIAL REPORTING STANDARD 6
Exploration for and Evaluation of Mineral Resources
OBJECTIVE
SCOPE
RECOGNITION OF EXPLORATION AND EVALUATION ASSETS
Temporary exemption from IAS 8 paragraphs 11 and 12
MEASUREMENT OF EXPLORATION AND EVALUATION ASSETS
Measurement at recognition
Elements of cost of exploration and evaluation assets
Measurement after recognition
Changes in accounting policies
PRESENTATION
Classification of exploration and evaluation assets
Reclassification of exploration and evaluation assets
IMPAIRMENT
Recognition and measurement
Specifying the level at which exploration and evaluation assets are assessed for impairment
DISCLOSURE
EFFECTIVE DATE
TRANSITIONAL PROVISIONS
Appendix A
Defined terms
INTERNATIONAL FINANCIAL REPORTING STANDARD 7
Financial Instruments: Disclosures
OBJECTIVE
SCOPE
CLASSES OF FINANCIAL INSTRUMENTS AND LEVEL OF DISCLOSURE
SIGNIFICANCE OF FINANCIAL INSTRUMENTS FOR FINANCIAL POSITION AND PERFORMANCE
Statement of financial position
Categories of financial assets and financial liabilities
Financial assets or financial liabilities at fair value through profit or loss
Investments in equity instruments designated at fair value through other comprehensive income
Reclassification
Offsetting financial assets and financial liabilities
Collateral
Allowance account for credit losses
Compound financial instruments with multiple embedded derivatives
Defaults and breaches
Statement of comprehensive income
Items of income, expense, gains or losses
Other disclosures
Accounting policies
Hedge accounting
The risk management strategy
The amount, timing and uncertainty of future cash flows
The effects of hedge accounting on financial position and performance
Option to designate a credit exposure as measured at fair value through profit or loss
Uncertainty arising from interest rate benchark reform
Additional disclosures related to interest rate benchmark reform
Fair value
NATURE AND EXTENT OF RISKS ARISING FROM FINANCIAL INSTRUMENTS
Qualitative disclosures
Quantitative disclosures
Credit risk
Scope and objectives
The credit risk management practices
Quantitative and qualitative Information about amounts arising from expected credit losses
Credit risk exposure
Collateral and other credit enhancements obtained
Liquidity risk
Market risk
Sensitivity analysis
Other market risk disciosures
TRANSFERS OF FINANCIAL ASSETS
Transferred financial assets that are not derecognised in their entirety
Transferred financial assets that are derecognised in their entirety
Supplementary information
INITIAL APPLICATION OF IFRS 9
EFFECTIVE DATE AND TRANSITION
WITHDRAWAL OF IAS 30
Appendix A
Defined terms
Appendix B
Application Guidance
CLASSES OF FINANCIAL INSTRUMENTS AND LEVEL OF DISCLOSURE (PARAGRAPH 6)
Other disclosure — accounting policies (paragraph 21)
NATURE AND EXTENT OF RISKS ARISING FROM FINANCIAL INSTRUMENTS (PARAGRAPHS 31-42)
Quantitative disclosures (paragraph 34)
Credit risk management practices (paragraphs 35F–35G)
Changes in the loss allowance (paragraph 35H)
Collateral (paragraph 35K)
Credit risk exposure (paragraphs 35M–35N)
Maximum credit risk exposure (paragraph 36(a))
Quantitative liquidity risk disclosures (paragraphs 34(a) and 39(a) and (b))
Market risk — sensitivity analysis (paragraphs 40 and 41)
Interest rate risk
Currency risk
Other price risk
DERECOGNITION (PARAGRAPHS 42C–42H)
Continuing involvement (paragraph 42C)
Transferred financial assets that are not derecognised in their entirety (paragraph 42D)
Types of continuing involvement (paragraphs 42E–42H)
Maturity analysis for undiscounted cash outflows to repurchase transferred assets (paragraph 42E(e))
Qualitative information (paragraph 42E(f))
Gain or loss on derecognition (paragraph 42G(a))
Supplementary information (paragraph 42H)
Offsetting financial assets and financial liabilities (paragraphs 13A–13F)
Scope (paragraph 13A)
Disclosure of quantitative information for recognised financial assets and recognised financial liabilities within the scope of paragraph 13A (paragraph 13C)
Disclosure of the gross amounts of recognised financial assets and recognised financial liabilities within the scope of paragraph 13A (paragraph 13C(a))
Disclosure of the amounts that are set off in accordance with the criteria in paragraph 42 of IAS 32 (paragraph 13C(b))
Disclosure of the net amounts presented in the statement of financial position (paragraph 13C(c))
Disclosure of the amounts subject to an enforceable master netting arrangement or similar agreement that are not otherwise included in paragraph 13C(b) (paragraph 13C(d))
Limits on the amounts disclosed in paragraph 13C(d) (paragraph 13D)
Description of the rights of set-off subject to enforceable master netting arrangements and similar agreements (paragraph 13E)
Disclosure by type of financial instrument or by counterparty
Other
INTERNATIONAL FINANCIAL REPORTING STANDARD 8
Operating Segments
CORE PRINCIPLE
SCOPE
OPERATING SEGMENTS
REPORTABLE SEGMENTS
Aggregation criteria
Quantitative thresholds
DISCLOSURE
General information
Information about profit or loss, assets and liabilities
MEASUREMENT
Reconciliations
Restatement of previously reported information
ENTITY-WIDE DISCLOSURES
Information about products and services
Information about geographical areas
Information about major customers
TRANSITION AND EFFECTIVE DATE
WITHDRAWAL OF IAS 14
Appendix A
Defined term
INTERNATIONAL FINANCIAL REPORTING STANDARD 9
Financial Instruments
CHAPTER 1
Objective
CHAPTER 2
Scope
CHAPTER 3
Recognition and derecognition
3.1 INITIAL RECOGNITION
Regular way purchase or sale of financial assets
3.2 DERECOGNITION OF FINANCIAL ASSETS
Transfers that qualify for derecognition
Transfers that do not qualify for derecognition
Continuing involvement in transferred assets
All transfers
3.3 DERECOGNITION OF FINANCIAL LIABILITIES
CHAPTER 4
Classification
4.1 CLASSIFICATION OF FINANCIAL ASSETS
Option to designate a financial asset at fair value through profit or loss
4.2 CLASSIFICATION OF FINANCIAL LIABILITIES
Option to designate a financial liability at fair value through profit or loss
4.3 EMBEDDED DERIVATIVES
Hybrid contracts with financial asset hosts
Other hybrid contracts
4.4 RECLASSIFICATION
CHAPTER 5
Measurement
5.1 INITIAL MEASUREMENT
5.2 SUBSEQUENT MEASUREMENT OF FINANCIAL ASSETS
5.3 SUBSEQUENT MEASUREMENT OF FINANCIAL LIABILITIES
5.4 AMORTISED COST MEASUREMENT
Financial assets
Effective interest method
Modification of contractual cash flows
Write-off
5.5 IMPAIRMENT
Recognition of expected credit losses
General approach
Determining significant increases in credit risk
Modified financial assets
Purchased or originated credit-impaired financial assets
Simplified approach for trade receivables, contract assets and lease receivables
Measurement of expected credit losses
5.6 RECLASSIFICATION OF FINANCIAL ASSETS
5.7 GAINS AND LOSSES
Investments in equity instruments
Liabilities designated as at fair value through profit or loss
Assets measured at fair value through other comprehensive income
CHAPTER 6
Hedge accounting
6.1 OBJECTIVE AND SCOPE OF HEDGE ACCOUNTING
6.2 HEDGING INSTRUMENTS
Qualifying instruments
Designation of hedging instruments
6.3 HEDGED ITEMS
Qualifying items
Designation of hedged items
6.4 QUALIFYING CRITERIA FOR HEDGE ACCOUNTING
6.5 ACCOUNTING FOR QUALIFYING HEDGING RELATIONSHIPS
Fair value hedges
Cash flow hedges
Hedges of a net investment in a foreign operation
Accounting for the time value of options
Accounting for the forward element of forward contracts and foreign currency basis spreads of financial instruments
6.6 HEDGES OF A GROUP OF ITEMS
Eligibility of a group of items as the hedged item
Designation of a component of a nominal amount
Presentation
Nil net positions
6.7 OPTION TO DESIGNATE A CREDIT EXPOSURE AS MEASURED AT FAIR VALUE THROUGH PROFIT OR LOSS
Eligibility of credit exposures for designation at fair value through profit or loss
Accounting for credit exposures designated at fair value through profit or loss
6.8 TEMPORARY EXCEPTIONS FROM APPLYING SPECIFIC HEDGE ACCOUNTING REQUIREMENTS
Highly probable requirement for cash flow hedges
Reclassifying the amount accumulated in the cash flow hedge reserve
Assessing the economic relationship between the hedged item and the hedging instrument
Designating a component of an item as a hedged item
End of application
6.9 ADDITIONAL TEMPORARY EXCEPTIONS ARISING FROM INTEREST RATE BENCHMARK REFORM
Accounting for qualifying hedging relationships
Cash flow hedges
Groups of items
Designation of risk components
CHAPTER 7
Effective date and transition
7.1 EFFECTIVE DATE
7.2 TRANSITION
Transition for classification and measurement (Chapters 4 and 5)
Impairment (Section 5.5)
Transition for hedge accounting (Chapter 6)
Entities that have applied IFRS 9 (2009), IFRS 9 (2010) or IFRS 9 (2013) early
Transition for Prepayment Features with Negative Compensation
Transition for Annual Improvements to IFRS Standards
Transition for IFRS 17 as amended in June 2020
Transition for Interest Rate Benchmark Reform – Phase 2
7.3 WITHDRAWAL OF IFRIC 9, IFRS 9 (2009), IFRS 9 (2010) AND IFRS 9 (2013)
Appendix A
Defined terms
Appendix B
Application guidance
SCOPE (CHAPTER 2)
RECOGNITION AND DERECOGNITION (CHAPTER 3)
Initial recognition (Section 3.1)
Regular way purchase or sale of financial assets
Derecognition of financial assets (Section 3.2)
Arrangements under which an entity retains the contractual rights to receive the cash flows of a financial asset, but assumes a contractual obligation to pay the cash flows to one or more recipients (paragraph 3.2.4(b))
Evaluation of the transfer of risks and rewards of ownership (paragraph 3.2.6)
Evaluation of the transfer of control
Transfers that qualify for derecognition
Transfers that do not qualify for derecognition
Continuing involvement in transferred assets
All assets
Assets measured at amortised cost
Assets measured at fair value
All transfers
Examples
Derecognition of financial liabilities (Section 3.3)
CLASSIFICATION (CHAPTER 4)
Classification of financial assets (Section 4.1)
The entity's business model for managing financial assets
Abusiness model whose objective is to hold assets in order to collect contractual cash flows
Abusiness model whose objective is achieved by both collecting contractual cash flows and selling financial assets
Other business models
Contractual cash flows that are solely payments of principal and interest on the principal amount outstanding
Consideration for the time value of money
Contractual terms that change the timing or amount of contractual cash flows
Contractually linked instruments
Option to designate a financial asset or financial liability as at fair value through profit or loss (Sections 4.1 and 4.2)
Designation eliminates or significantly reduces an accounting mismatch
A group of financial liabilities or financial assets and financial liabilities is managed and its performance is evaluated on a fair value basis
Embedded derivatives (Section 4.3)
Instruments containing embedded derivatives
Reassessment of embedded derivatives
Reclassification of financial assets (Section 4.4)
Reclassification of financial assets
MEASUREMENT (CHAPTER 5)
Initial measurement (Section 5.1)
Subsequent measurement (Sections 5.2 and 5.3)
Investments in equity instruments and contracts on those investments
Amortised cost measurement (Section 5.4)
Effective interest method
Transaction costs
Write-off
Impairment (Section 5.5)
Collective and individual assessment basis
Timing of recognising lifetime expected credit losses
Determining whether credit risk has increased significantly since initial recognition
More than 30 days past due rebuttable presumption
Financial instruments that have low credit risk at the reporting date
Modifications
Measurement of expected credit losses
Expected credit losses
Definition of default
Period over which to estimate expected credit losses
Probability-weighted outcome
Time value of money
Reasonable and supportable information
Collateral
Reclassification of financial assets (Section 5.6)
Gains and losses (Section 5.7)
Liabilities designated as at fair value through profit or loss
The meaning of ‘credit risk’ (paragraphs 5.7.7 and 5.7.8)
Determining the effects of changes in credit risk
HEDGE ACCOUNTING (CHAPTER 6)
Hedging instruments (Section 6.2)
Qualifying instruments
Written options
Designation of hedging instruments
Hedged items (Section 6.3)
Qualifying items
Designation of hedged items
Risk components
Components of a nominal amount
Relationship between components and the total cash flows of an item
Qualifying criteria for hedge accounting (Section 6.4)
Hedge effectiveness
Economic relationship between the hedged item and the hedging instrument
The effect of credit risk
Hedge ratio
Frequency of assessing whether the hedge effectiveness requirements are met
Methods for assessing whether the hedge effectiveness requirements are met
Accounting for qualifying hedging relationships (Section 6.5)
Measurement of hedge ineffectiveness
Rebalancing the hedging relationship and changes to the hedge ratio
Discontinuation of hedge accounting
Accounting for the time value of options
Accounting for the forward element of forward contracts and foreign currency basis spreads of financial instruments
Hedge of a group of items (Section 6.6)
Hedge of a net position
Eligibility for hedge accounting and designation of a net position
Application of the hedge effectiveness requirements to a hedge of a net p o s i t i on
Cash flow hedges that constitute a net position
Layers of groups of items designated as the hedged item
Presentation of hedging instrument gains or losses
EFFECTIVE DATE AND TRANSITION (CHAPTER 7)
Transition (Section 7.2)
Financial assets held for trading
Impairment
DEFINITIONS (APPENDIX A)
Derivatives
Financial assets and liabilities held for trading
INTERNATIONAL FINANCIAL REPORTING STANDARD 10
Consolidated Financial Statements
OBJECTIVE
Meeting the objective
SCOPE
CONTROL
Power
Returns
Link between power and returns
ACCOUNTING REQUIREMENTS
Non-controlling interests
Loss of control
DETERMINING WHETHER AN ENTITY IS AN INVESTMENT ENTITY
Paragraphs B85A–B85M provide related application guidance.
INVESTMENT ENTITIES: EXCEPTION TO CONSOLIDATION
Appendix A
Defined terms
Appendix B
Application guidance
ASSESSING CONTROL
Purpose and design of an investee
Power
Relevant activities and direction of relevant activities
Rights that give an investor power over an investee
Substantive rights
Protective rights
Franchises
Voting rights
Power with a majority of the voting rights
Majority of the voting rights but no power
Power without a majority of the voting rights
Contractual arrangement with other vote holders
Rights from other contractual arrangements
The investor’s voting rights
Potential voting rights
Power when voting or similar rights do not have a significant effect on the investee’s returns
Exposure, or rights, to variable returns from an investee
Link between power and returns
Delegated power
The scope of the decision-making authority
Rights held by other parties
Remuneration
Exposure to variability of returns from other interests
Relationship with other parties
Control of specified assets
Continuous assessment
DETERMINING WHETHER AN ENTITY IS AN INVESTMENT ENTITY
Business purpose
Exit strategies
Earnings from investments
Fair value measurement
Typical characteristics of an investment entity
More than one investment
More than one investor
Unrelated investors
Ownership interests
ACCOUNTING REQUIREMENTS
Consolidation procedures
Uniform accounting policies
Measurement
Potential voting rights
Reporting date
Non-controlling interests
Changes in the proportion held by non-controlling interests
Loss of control
ACCOUNTING FOR A CHANGE IN INVESTMENT ENTITY STATUS
Appendix C
Effective date and transition
EFFECTIVE DATE
TRANSITION
References to the ‘immediately preceding period’
References to IFRS 9
WITHDRAWAL OF OTHER IFRSs
INTERNATIONAL FINANCIAL REPORTING STANDARD 11
Joint Arrangements
OBJECTIVE
Meeting the objective
SCOPE
JOINT ARRANGEMENTS
Joint control
Types of joint arrangement
FINANCIAL STATEMENTS OF PARTIES TO A JOINT ARRANGEMENT
Joint operations
Joint ventures
SEPARATE FINANCIAL STATEMENTS
Appendix A
Defined terms
Appendix B
Application guidance
JOINT ARRANGEMENTS
Contractual arrangement (paragraph 5)
Joint control (paragraphs 7–13)
Assessing joint control
TYPES OF JOINT ARRANGEMENT (PARAGRAPHS 14–19)
Classification of a joint arrangement
Structure of the joint arrangement
Joint arrangements not structured through a separate vehicle
Joint arrangements structured through a separate vehicle
Classification of a joint arrangement: assessment of the parties’ rights and obligations arising from the arrangement
The legal form of the separate vehicle
Assessing the terms of the contractual arrangement
Assessing other facts and circumstances
Classification of a joint arrangement structured through a separate vehicle
FINANCIAL STATEMENTS OF PARTIES TO A JOINT ARRANGEMENT (PARAGRAPHS 21A–22)
Accounting for acquisitions of interests in joint operations
Accounting for sales or contributions of assets to a joint operation
Accounting for purchases of assets from a joint operation
Appendix C
Effective date, transition and withdrawal of other IFRSs
EFFECTIVE DATE
Transition
Joint ventures—transition from proportionate consolidation to the equity method
Joint operations—transition from the equity method to accounting for assets and liabilities
Transition provisions in an entity’s separate financial statements
References to the ‘immediately preceding period’
References to IFRS 9
Accounting for acquisitions of interests in joint operations
WITHDRAWAL OF OTHER IFRSS
INTERNATIONAL FINANCIAL REPORTING STANDARD 12
Disclosure of Interests in Other Entities
OBJECTIVE
Meeting the objective
SCOPE
SIGNIFICANT JUDGEMENTS AND ASSUMPTIONS
Investment entity status
INTERESTS IN SUBSIDIARIES
The interest that non-controlling interests have in the group’s activities and cash flows
The nature and extent of significant restrictions
Nature of the risks associated with an entity’s interests in consolidated structured entities
Consequences of changes in a parent’s ownership interest in a subsidiary that do not result in a loss of control
Consequences of losing control of a subsidiary during the reporting period
INTERESTS IN UNCONSOLIDATED SUBSIDIARIES (INVESTMENT ENTITIES)
INTERESTS IN JOINT ARRANGEMENTS AND ASSOCIATES
Nature, extent and financial effects of an entity’s interests in joint arrangements and associates
Risks associated with an entity’s interests in joint ventures and associates
INTERESTS IN UNCONSOLIDATED STRUCTURED ENTITIES
Nature of interests
Nature of risks
Appendix A
Defined terms
Appendix B
Application guidance
AGGREGATION (PARAGRAPH 4)
INTERESTS IN OTHER ENTITIES
SUMMARISED FINANCIAL INFORMATION FOR SUBSIDIARIES, JOINT VENTURES AND ASSOCIATES (PARAGRAPHS 12 AND 21)
COMMITMENTS FOR JOINT VENTURES (PARAGRAPH 23(a))
INTERESTS IN UNCONSOLIDATED STRUCTURED ENTITIES (PARAGRAPHS 24–31)
Structured entities
Nature of risks from interests in unconsolidated structured entities (paragraphs 29–31)
Appendix C
Effective date and transition
EFFECTIVE DATE AND TRANSITION
REFERENCES TO IFRS 9
INTERNATIONAL FINANCIAL REPORTING STANDARD 13
Fair Value Measurement
OBJECTIVE
SCOPE
MEASUREMENT
Definition of fair value
The asset or liability
The transaction
Market participants
The price
Application to non-financial assets
Highest and best use for non-financial assets
Valuation premise for non-financial assets
Application to liabilities and an entity’s own equity instruments
General principles
Liabilities and equity instruments held by other parties as assets
Liabilities and equity instruments not held by other parties as assets
Non-performance risk
Restriction preventing the transfer of a liability or an entity’s own equity instrument
Financial liability with a demand feature
Application to financial assets and financial liabilities with offsetting positions in market risks or counterparty credit risk
Exposure to market risks
Exposure to the credit risk of a particular counterparty
Fair value at initial recognition
Valuation techniques
Inputs to valuation techniques
General principles
Inputs based on bid and ask prices
Fair value hierarchy
Level 1 inputs
Level 2 inputs
Level 3 inputs
DISCLOSURE
Appendix A
Defined terms
Appendix B
Application guidance
THE FAIR VALUE MEASUREMENT APPROACH
VALUATION PREMISE FOR NON-FINANCIAL ASSETS (PARAGRAPHS 31–33)
FAIR VALUE AT INITIAL RECOGNITION (PARAGRAPHS 57–60)
VALUATION TECHNIQUES (PARAGRAPHS 61–66)
Market approach
Cost approach
Income approach
Present value techniques
The components of a present value measurement
General principles
Risk and uncertainty
Discount rate adjustment technique
Expected present value technique
APPLYING PRESENT VALUE TECHNIQUES TO LIABILITIES AND AN ENTITY’S OWN EQUITY INSTRUMENTS NOT HELD BY OTHER PARTIES AS ASSETS (PARAGRAPHS 40 AND 41)
INPUTS TO VALUATION TECHNIQUES (PARAGRAPHS 67–71)
FAIR VALUE HIERARCHY (PARAGRAPHS 72–90)
Level 2 inputs (paragraphs 81–85)
Level 3 inputs (paragraphs 86–90)
MEASURING FAIR VALUE WHEN THE VOLUME OR LEVEL OF ACTIVITY FOR AN ASSET OR A LIABILITY HAS SIGNIFICANTLY DECREASED
Identifying transactions that are not orderly
Using quoted prices provided by third parties
Appendix C
Effective date and transition
INTERNATIONAL FINANCIAL REPORTING STANDARD 15
Revenue from Contracts with Customers
OBJECTIVE
Meeting the objective
SCOPE
RECOGNITION
Identifying the contract
Combination of contracts
Contract modifications
Identifying performance obligations
Promises in contracts with customers
Distinct goods or services
Satisfaction of performance obligations
Performance obligations satisfied over time
Performance obligations satisfied at a point in time
Measuring progress towards complete satisfaction of a performance obligation
Methods for measuring progress
Reasonable measures of progress
MEASUREMENT
Determining the transaction price
Variable consideration
Refund liabilities
Constraining estimates of variable consideration
Reassessment of variable consideration
The existence of a significant financing component in the contract
Non-cash consideration
Consideration payable to a customer
Allocating the transaction price to performance obligations
Allocation based on stand-alone selling prices
Allocation of a discount
Allocation of variable consideration
Changes in the transaction price
CONTRACT COSTS
Incremental costs of obtaining a contract
Costs to fulfil a contract
Amortisation and impairment
PRESENTATION
DISCLOSURE
Contracts with customers
Disaggregation of revenue
Contract balances
Performance obligations
Transaction price allocated to the remaining performance obligations
Significant judgements in the application of this Standard
Determining the timing of satisfaction of performance obligations
Determining the transaction price and the amounts allocated to performance obligations
Assets recognised from the costs to obtain or fulfil a contract with a customer
Practical expedients
Appendix A
Defined terms
Appendix B
Application Guidance
Performance obligations satisfied over time
Simultaneous receipt and consumption of the benefits of the entity's performance (paragraph 35(a))
Customer controls the asset as it is created or enhanced (paragraph 35(b))
Entity's performance does not create an asset with an alternative use (paragraph 35(c))
Right to payment for performance completed to date (paragraph 35(c))
Methods for measuring progress towards complete satisfaction of a performance obligation
Output methods
Input methods
Sale with a right of return
Warranties
Principal versus agent considerations
Customer options for additional goods or services
Customers' unexercised rights
Non-refundable upfront fees (and some related costs)
Licensing
Determining the nature of the entity's promise
Sales-based or usage-based royalties
Repurchase agreements
A forward or a call option
A put option
Consignment arrangements
Bill-and-hold arrangements
Customer acceptance
Disclosure of disaggregated revenue
Appendix C
Effective date and transition
EFFECTIVE DATE
TRANSITION
References to IFRS 9
WITHDRAWAL OF OTHER STANDARDS
INTERNATIONAL FINANCIAL REPORTING STANDARD 16
Leases
OBJECTIVE
SCOPE
RECOGNITION EXEMPTIONS (PARAGRAPHS B3–B8)
IDENTIFYING A LEASE (PARAGRAPHS B9–B33)
Separating components of a contract
Lessee
Lessor
LEASE TERM (PARAGRAPHS B34–B41)
LESSEE
Recognition
Measurement
Initial measurement
Initial measurement of the right-of-use asset
Initial measurement of the lease liability
Subsequent measurement
Subsequent measurement of the right-of-use asset
Cost model
Other measurement models
Subsequent measurement of the lease liability
Reassessment of the lease liability
Lease modifications
Presentation
Disclosure
LESSOR
Classification of leases (paragraphs B53–B58)
Finance leases
Recognition and measurement
Initial measurement
Initial measurement of the lease payments included in the net investment in the lease
Manufacturer or dealer lessors
Subsequent measurement
Lease modifications
Operating leases
Recognition and measurement
Lease modifications
Presentation
Disclosure
Finance leases
Operating leases
SALE AND LEASEBACK TRANSACTIONS
Assessing whether the transfer of the asset is a sale
Transfer of the asset is a sale
Transfer of the asset is not a sale
TEMPORARY EXCEPTION ARISING FROM INTEREST RATE BENCHMARK REFORM
Appendix A
Defined terms
Terms defined in other Standards and used in this Standard with the same meaning
Appendix B
Application guidance
Portfolio application
Combination of contracts
Recognition exemption: leases for which the underlying asset is of low value (paragraphs 5–8)
Identifying a lease (paragraphs 9–11)
Identified asset
Substantive substitution rights
Portions of assets
Right to obtain economic benefits from use
Right to direct the use
How and for what purpose the asset is used
Decisions determined during and before the period of use
Protective rights
Separating components of a contract (paragraphs 12–17)
Lease term (paragraphs 18–21)
In-substance fixed lease payments (paragraphs 27(a), 36(c) and 70(a))
Lessee involvement with the underlying asset before the commencement date
Costs of the lessee relating to the construction or design of the underlying asset
Legal title to the underlying asset
Lessee disclosures (paragraph 59)
Lessor lease classification (paragraphs 61–66)
Sublease classification
Appendix C
Effective date and transition
EFFECTIVE DATE
TRANSITION
Definition of a lease
Lessees
Leases previously classified as operating leases
Leases previously classified as finance leases
Disclosure
Lessors
Sale and leaseback transactions before the date of initial application
Amounts previously recognised in respect of business combinations
References to IFRS 9
Covid-19-related rent concessions for lessees
Interest Rate Benchmark Reform – Phase 2
WITHDRAWAL OF OTHER STANDARDS
Appendix D
Amendments to other Standards
INTERNATIONAL FINANCIAL REPORTING STANDARD 17
Insurance Contracts
OBJECTIVE
SCOPE
Combination of insurance contracts
Separating components from an insurance contract (paragraphs B31–B35)
LEVEL OF AGGREGATION ON INSURANCE CONTRACTS
RECOGNITION
Insurance acquisition cash flows (paragraphs B35A–B35D)
MEASUREMENT (PARAGRAPHS B36–B119F)
Measurement on initial recognition (paragraphs B36–B95F)
Estimates of future cash flows (paragraphs B36–B71)
Discount rates (paragraphs B72–B85)
Risk adjustment for non-financial risk (paragraphs B86–B92)
Contractual service margin
Subsequent measurement
Contractual service margin (paragraphs B96–B119B)
Onerous contracts
Premium allocation approach
Reinsurance contracts held
Recognition
Measurement
Premium allocation approach for reinsurance contracts held
Investment contracts with discretionary participation features
MODIFICATION AND DERECOGNITION
Modification of an insurance contract
Derecognition
PRESENTATION IN THE STATEMENT OF FINANCIAL POSITION
RECOGNITION AND PRESENTATION IN THE STATEMENT(S) OF FINANCIAL PERFORMANCE (PARAGRAPHS B120–B136)
Insurance service result
Insurance finance income or expenses (see paragraphs B128–B136)
DISCLOSURE
Explanation of recognised amounts
Insurance finance income or expenses
Transition amounts
Significant judgements in applying IFRS 17
Nature and extent of risks that arise from contracts within the scope of IFRS 17
All types of risk—concentrations of risk
Insurance and market risks—sensitivity analysis
Insurance risk—claims development
Credit risk—other information
Liquidity risk—other information
Appendix A
Defined terms
Appendix B
Application guidance
DEFINITION OF AN INSURANCE CONTRACT (APPENDIX A)
Uncertain future event
Payments in kind
The distinction between insurance risk and other risks
Significant insurance risk
Changes in the level of insurance risk
Examples of insurance contracts
SEPARATING COMPONENTS FROM AN INSURANCE CONTRACT (PARAGRAPHS 10–13)
Investment components (paragraph 11(b))
Promises to transfer distinct goods or services other than insurance contract services (paragraph 12)
INSURANCE ACQUISITION CASH FLOWS (PARAGRAPHS 28A–28F)
MEASUREMENT (PARAGRAPHS 29–71)
Estimates of future cash flows (paragraphs 33–35)
Unbiased use of all reasonable and supportable information available without undue cost or effort (paragraph 33(a))
Market variables and non-market variables
Market variables (paragraph 33(b))
Non – market variables
Using current estimates (paragraph 33(c))
Cash flows within the contract boundary (paragraph 34)
Contracts with cash flows that affect or are affected by cash flows to polIcy holders of other contracts
Discount rates (paragraph 36)
Risk adjustment for non-financial risk (paragraph 37)
Initial recognition of transfers of insurance contracts and business combinations (paragraph 39)
Asset for insurance acquisition cash flows
Changes in the carrying amount of the contractual service margin for insurance contracts without direct participation features (paragraph 44)
Changes in the carrying amount of the contractual service margin for insurance contracts with direct participation features (paragraph 45)
Risk mitigation
Recognition of the contractual service margin in profit or loss
Reinsurance contracts held—recognition of recovery of losses on underlying insurance contracts (paragraphs 66A – 66B)
INSURANCE REVENUE (PARAGRAPHS 83 AND 85)
INSURANCE FINANCE INCOME OR EXPENSES (PARAGRAPHS 87–92)
THE EFFECT OF ACCOUNTING ESTIMATES MADE IN INTERIM FINANCIAL STATEMENTS
Appendix C
Effective date and transition
EFFECTIVE DATE
TRANSITION
Modified retrospective approach
Assessments at inception or initial recognition
Determining the contractual service margin or loss component for groups of insurance contracts without direct participation features
Determining the contractual service margin or loss component for groups of insurance contracts with direct participation features
Insurance finance income or expenses
Fair value approach
Asset for insurance acquisition cash flows
Comparative information
Entities that first apply IFRS 17 and IFRS 9 at the same time
Redesignation of financial assets
WITHDRAWAL OF OTHER IFRS STANDARDS
IFRIC INTERPRETATION 1
Changes in Existing Decommissioning, Restoration and Similar Liabilities
REFERENCES
BACKGROUND
SCOPE
ISSUE
CONSENSUS
EFFECTIVE DATE
TRANSITION
IFRIC INTERPRETATION 2
Members' Shares in Cooperative Entities and Similar Instruments
REFERENCES
BACKGROUND
SCOPE
ISSUE
CONSENSUS
DISCLOSURE
EFFECTIVE DATE
Appendix
Examples of application of the consensus
UNCONDITIONAL RIGHT TO REFUSE REDEMPTION (paragraph 7)
Example 1
Facts
Classification
Example 2
Facts
Classification
PROHIBITIONS AGAINST REDEMPTION (paragraphs 8 and 9)
Example 3
Facts
Classification
Before the governing charter is amended
After the governing charter is amended
Example 4
Facts
Classification
Example 5
Facts
Classification
Example 6
Facts
Classification
Example 7
Facts
Classification
IFRIC INTERPRETATION 5
Rights to Interests arising from Decommissioning, Restoration and Environmental Rehabilitation Funds
REFERENCES
BACKGROUND
SCOPE
ISSUES
CONSENSUS
Accounting for an interest in a fund
Accounting for obligations to make additional contributions
Disclosure
EFFECTIVE DATE
TRANSITION
IFRIC INTERPRETATION 6
Liabilities arising from Participating in a Specific Market — Waste Electrical and Electronic Equipment
REFERENCES
BACKGROUND
SCOPE
ISSUE
CONSENSUS
EFFECTIVE DATE
TRANSITION
IFRIC INTERPRETATION 7
Applying the Restatement Approach under IAS 29 Financial Reporting in Hyperinflationary Economies
REFERENCES
BACKGROUND
ISSUES
CONSENSUS
EFFECTIVE DATE
IFRIC INTERPRETATION 10
Interim Financial Reporting and Impairment
REFERENCES
BACKGROUND
ISSUE
CONSENSUS
EFFECTIVE DATE AND TRANSITION
IFRIC INTERPRETATION 12
Service Concession Arrangements
REFERENCES
BACKGROUND
SCOPE
ISSUES
CONSENSUS
Treatment of the operator’s rights over the infrastructure
Recognition and measurement of arrangement consideration
Construction or upgrade services
Consideration given by the grantor to the operator
Operation services
Contractual obligations to restore the infrastructure to a specified level of serviceability
Borrowing costs incurred by the operator
Financial asset
Intangible asset
Items provided to the operator by the grantor
EFFECTIVE DATE
TRANSITION
Appendix A
Application Guidance
SCOPE (paragraph 5)
IFRIC INTERPRETATION 14
IAS 19 — The Limit on a Defined Benefit Asset, Minimum Funding Requirements and their Interaction
REFERENCES
BACKGROUND
SCOPE
ISSUES
CONSENSUS
Availability of a refund or reduction in future contributions
The economic benefit available as a refund
The right to a refund
Measurement of the economic benefit
The economic benefit available as a contribution reduction
The effect of a minimum funding requirement on the economic benefit available as a reduction in future contributions
When a minimum funding requirement may give rise to a liability
EFFECTIVE DATE
TRANSITION
IFRIC INTERPRETATION 16
Hedges of a Net Investment in a Foreign Operation
REFERENCES
BACKGROUND
SCOPE
ISSUES
CONSENSUS
Nature of the hedged risk and amount of the hedged item for which a hedging relationship may be designated
Where the hedging instrument can be held
Disposal of a hedged foreign operation
EFFECTIVE DATE
TRANSITION
Appendix
Application guidance
Nature of hedged risk for which a hedging relationship may be designated (paragraphs 10-13)
Amount of hedged item for which a hedging relationship may be designated (paragraphs 10-13)
Where in a group can the hedging instrument be held (paragraphs 14 and 15)?
Amounts reclassified to profit or loss on disposal of a foreign operation (paragraphs 16 and 17)
Hedging more than one foreign operation (paragraphs 11, 13 and 15)
Parent holds both USD and GBP hedging instruments
Subsidiary B holds the USD hedging instrument
IFRIC INTERPRETATION 17
Distributions of Non-cash Assets to Owners
REFERENCES
BACKGROUND
SCOPE
ISSUES
CONSENSUS
When to recognise a dividend payable
Measurement of a dividend payable
Accounting for any difference between the carrying amount of the assets distributed and the carrying amount of the dividend payable when an entity settles the dividend payable
Presentation and disclosures
EFFECTIVE DATE
IFRIC INTERPRETATION 19
Extinguishing Financial Liabilities with Equity Instruments
REFERENCES
BACKGROUND
SCOPE
ISSUES
CONSENSUS
EFFECTIVE DATE AND TRANSITION
IFRIC INTERPRETATION 20
Stripping Costs in the Production Phase of a Surface Mine
REFERENCES
BACKGROUND
SCOPE
ISSUES
CONSENSUS
Recognition of production stripping costs as an asset
Initial measurement of the stripping activity asset
Subsequent measurement of the stripping activity asset
Appendix A
Effective date and transition
IFRIC INTERPRETATION 21
Levies
REFERENCES
BACKGROUND
SCOPE
ISSUES
CONSENSUS
Appendix A
Effective date and transition
IFRIC INTERPRETATION 22
Foreign Currency Transactions and Advance Consideration
REFERENCES
BACKGROUND
SCOPE
ISSUE
CONSENSUS
Appendix A
Effective date and transition
EFFECTIVE DATE
TRANSITION
Appendix B
IFRIC INTERPRETATION 23
Uncertainty over Income Tax Treatments
REFERENCES
BACKGROUND
SCOPE
ISSUES
CONSENSUS
Whether an entity considers uncertain tax treatments separately
Examination by taxation authorities
Determination of taxable profit (tax loss), tax bases, unused tax losses, unused tax credits and tax rates
Changes in facts and circumstances
Appendix A
Application Guidance
CHANGES IN FACTS AND CIRCUMSTANCES (PARAGRAPH 13)
DISCLOSURE
Appendix B
Effective date and transition
EFFECTIVE DATE
TRANSITION
SIC INTERPRETATION 7
Introduction of the Euro
REFERENCES
ISSUE
CONSENSUS
DATE OF CONSENSUS
EFFECTIVE DATE
SIC INTERPRETATION 10
Government Assistance — No Specific Relation to Operating Activities
REFERENCES
ISSUE
CONSENSUS
DATE OF CONSENSUS
EFFECTIVE DATE
SIC INTERPRETATION 25
Income Taxes — Changes in the Tax Status of an Entity or its Shareholders
REFERENCES
ISSUE
CONSENSUS
DATE OF CONSENSUS
EFFECTIVE DATE
SIC INTERPRETATION 29
Service Concession Arrangements: Disclosures
REFERENCES
ISSUE
CONSENSUS
DATE OF CONSENSUS
EFFECTIVE DATE
SIC INTERPRETATION 32
Intangible Assets — Web Site Costs
REFERENCES
ISSUE
CONSENSUS
DATE OF CONSENSUS
EFFECTIVE DATE