Latest publications:

Issue 5/2008: IFRS 3 Business Combinations
IFRB Issue 5 2008 discusses the recent revision to IFRS 3 Business Combinations. This revision maintains the existing requirement to apply the 'purchase method'. However, there are changes that may be significant in some situations. For example, the way in which piecemeal acquisitions and partial disposals are accounted for is amended, and there is a new option to recognise the goodwill relating to a minority interest. More >>

Issue 6/2008: Proposals for determining the cost of an investment in a subsidiary
The transitional rules for the cost of a subsidiary in the separate accounts of the parent have caused problems for some companies by restricting the amount of 'post acquisition' dividends available for recognition as income. IFRB Issue 6 2008 discusses the proposed changes to this standard which would allow all dividends from a subsidiary to be recognised as income, but creates the new requirement to review the cost of an investment in a subsidiary for impairment after the payment of a dividend. More >>

Issue 7/2008: Committee of European Securities Regulators' (CESR) data base of enforcement decisions
CESR has established a database of enforcement decisions made by national enforcers within Europe (such as the UK's Financial Reporting Review Panel). IFRB Issue 7 2008 discusses a selection of important enforcement decisions made in 2007. More >>

Issue 8/2008: Reminders for December 2007 year-ends
IFRB Issue 8 2008 summarises the new standards that will be applicable to companies producing financial statements for years ending on or after 31 December 2007. It also looks forward to new standards that are in issue but which will not become effective until a future date. More >>

Issue 9/2008: IAS 32, puttable instruments, and obligations arising on liquidation
IAS 32 Financial Instruments: Presentation currently states that a financial instrument which gives the holder the right to put it back to the issuer for cash or another financial asset (‘a puttable instrument’) is a financial liability. IFRB Issue 9 2008 discusses the new amendments to IAS 32. Under these amendments, the following types of financial instruments will be classified as equity, provided they have particular features and meet specific conditions - (1) puttable financial instruments and (2) instruments that impose on the entity an obligation to deliver a pro rata share of the net assets of the entity only on liquidation. More >>

Issue 10/2008: Distributions of non-cash assets
IFRB Issue 10 2008 discusses proposals for recognising and measuring distributions of non-cash assets. More >>


To explore the archive, click on the links below:

• 2008

• 2007

• 2006

Issue 10/2008: Distributions of non-cash assets
IFRB Issue 10 2008 discusses proposals for recognising and measuring distributions of non-cash assets. More >>


Issue 1/2008: Improvements to International Financial Reporting Standards
The IASB has issued an exposure draft of sundry amendments and clarifications of accounting standards. This is intended to be an efficient way of dealing with miscellaneous, non-urgent, but necessary minor amendments to IFRSs. More >>

Issue2/2008: IFRIC Interpretation 13: Customer Loyalty Programmes
This IFRIC requires entities that grant "award credits" to their customers to account for these award credits as a separately identifiable element of revenue. The element apportioned to award credits is measured with reference to the fair value of those credits (ie the amount for which the credits could be sold separately). More >>

Issue 3/2008: IFRIC Interpretation 14: The Limit on a Defined Benefit Asset, Minimum Funding Requirements and their Interaction
This IFRIC addresses refunds and future reductions in contributions in respect of employee defined benefit schemes. It sets out how to measure these reductions and refunds when there may be legal requirements governing the level of funding in these schemes. More >>

Issue 4/ 2008: Amendment to IFRS 2 Share-based Payment - Vesting Conditions and Cancellations
This amendment will require a full IFRS 2 charge to be made when employees and others cancel their share based payment arrangements. More >>


































2007

IFRIC Interpretation 12: Service Concession Arrangements
IFRIC 12 was developed in response to widespread concern over the lack of accounting guidance for public to private service arrangements (such as Private Finance Initiative ('PFI') contracts) where typically a private sector entity (operator) constructs or upgrades the public sector infrastructure to be used and then operates and maintains that infrastructure for a specified period of time. IFRIC 12 gives guidance on the accounting by the operator. More >>

New and revised standards and interpretations and local endorsement
When new standards have been issued, but are not yet effective, there are additional disclosures to be made depending on whether the entity has, or has not, adopted the standards early. The IFRB gives guidance on and examples of the disclosures required. This IFRB updates and replaces Issue 5/2007 and is tailored to June 2007 balance sheet dates. More >>

New and revised standards and interpretations at 30 June 2007
New standards and interpretations may be adopted early, although that early adoption and its effect must be disclosed (see IAS 8.28). If a new accounting standard has been issued, but is not yet mandatory and has not been adopted early, then IAS 8.30 requires disclosure of this fact, and of the possible effects that its application might have on the financial statements. This IFRB summarises the new and revised standards and interpretations in issue as at 30 June 2007. This IFRB updates and replaces Issue 2/2007. More >>

SEC 'Staff observations in the Review of IFRS Financial Statements'
On 2 July 2007 the US Securities and Exchange Commission (SEC) published a report entitled 'Staff Observations in the Review of IFRS Financial Statements'. The report notes the principal areas of comments and some more general observations on the application of IFRS made by the SEC staff as a result of their 2006 review of the annual financial statements of 'foreign private issuers' (FPIs). More >>

CESR publishes key information from its database of enforcement decisions taken by EU National Enforcers of financial information (IFRS)
The Committee of European Securities Regulators (CESR) has, as a source of information to foster appropriate application of IFRSs, developed a confidential database of enforcement decisions taken by EU National Enforcers participating in European Enforcers Co-ordination Sessions (EECS). More >>

IAS 8 Disclosures of standards and interpretations not yet adopted and the effect of EU endorsement
This article highlights the requirement in IAS 8:30 for entities to disclose information about new standards and interpretations that are in issue, but that are not yet mandatory and which they have not yet adopted. More >>

IAS 23 Borrowing costs
The current version of IAS 23 permits two approaches to borrowing costs. The benchmark treatment is to charge them as an expense in the period in which they are incurred, with an allowed alternative treatment being to add borrowing costs to the carrying value of qualifying assets. The latest revision to IAS 23 requires interest to be capitalised in certain circumstances. More >>

IASB issues proposals to amend IAS 24 'Related Party Disclosures'
As part of the IASB’s improvements project for IFRSs to be adopted for accounting periods commencing on or after 1 January 2005, state-controlled entities were brought within the scope of IAS 24 'Related Party Disclosures'. This has created problems for entities operating in jurisdictions where the state maintains significant influence or control over much of the economy. More >>

New and revised standards and interpretations in issue at 31 December 2006
A number of new standards are now in issue that were not part of the 'stable platform' used by companies adopting IFRS in 2005. Some of these new standards and interpretations must be adopted for annual periods commencing 1st January 2006, while others are not mandatory until 2008 or 2009. More >>

IFRS 8 'Operating segments'
IFRS 8 'Operating segments' replaces IAS 14 with a standard based on SFAS 131 'Disclosures about Segments of an Enterprise and Related Information' issued by the FASB. This is part of the convergence project between IFRS and US GAAP. More >>




















































2006

IFRIC 11 'Group and treasury share transactions'
IFRIC 11 provides guidance on applying IFRS 2 to share-based payment transactions where employees of a subsidiary are granted rights to equity instruments of its parent and where an entity’s employees are granted rights to equity instruments of the entity. More >>

Proposed amendments to IAS 1 'Presentation of financial statements'
The exposure draft (ED) of amendments to IAS 1 is the first phase (segment A) of the International Accounting Standard Board’s (IASB’s) performance reporting project. The proposed amendments in the ED would largely bring IAS 1 into line with the US standard – SFAS No. 130 'Reporting Comprehensive Income'. More >>

Proposed amendment to IFRS 2 'Share-based payments' - vesting conditions and cancellations
The amendment proposes that all cancellations, including those by parties other than the entity, of equity-settled share-based payments should be accounted for by the entity in the same way (i.e. by accelerating the recognition of the remaining expense). It also proposes to restrict IFRS 2 vesting conditions to service conditions and performance conditions only. More >>

IFRIC 8 Scope of IFRS 2 'Share-based payments'
IFRIC 8 confirms that IFRS 2 applies to all transactions in which an entity receives goods or services in return for share-based payments (whether settled in its own equity, instruments or cash). This includes transactions in which some or all of the goods or services received cannot be specifically identified. More >>

Amendments to IAS 21 'The effects of changes in foreign exchange rates' - net investment in a foreign operation
The amendments to IAS 21 address two concerns that were raised following the issue of the revised IAS 21, effective for periods beginning on/after 1 January 2005. The concerns were whether loans forming part of the net investment were limited to those directly between the investor (ultimate parent company) and the investee and were required by IAS 21 to be in the functional currency of the parent company or the foreign operation. More >>

Status of EU endorsed IFRSs
This article addresses which IFRSs have, and have not, been endorsed and considers whether endorsement has to have happened by the year-end or by the date on which the accounts are approved. More >>

Definition of control under IAS 27 'Consolidated and separate financial statements'
Questions have arisen over the guidance included within IAS 27, and its interpretation, in particular where an entity owns 50% or less of the voting rights in another entity, but where the other shares are held by a large number of other shareholders, none of whom own a significant proportion of the voting rights and are not anticipated to act together and cast an overall majority vote. The International Accounting Standards Board recently issued a public statement that is inconsistent with illustrative examples in IAS 27 and not wholly consistent with the contractual rights approach which many preparers of IFRS financial statements have followed to date. More >>