ACCOUNTING

IASB Consults on Clarifications to IFRS Standards

The International Accounting Standards Board has published proposed amendments to three Standards for public consultation as part of its annual improvements process.

The document contains proposed amendments to IAS 12 Income Taxes, IAS 23 Borrowing Costs and IAS 28 Investments in Associates and Joint Ventures.

The proposed amendments to IAS 12 clarify that an entity should account for all income tax consequences of dividends in the same way, regardless of how the tax arises.

The Board also proposes to amend IAS 23 to clarify which borrowing costs are eligible for capitalisation as part of the cost of an asset in particular circumstances.

The proposed amendments to IAS 28 clarify that an entity should apply IFRS 9 Financial Instruments to long-term interests in an associate or joint venture to which it does not apply the equity method.

Further information about the Exposure Draft, Annual Improvements to IFRS Standards 2015–2017 Cycle, can be accessed here.

The deadline for comments is 12 April 2017.

Related Articles

Despite the advantages of adopting sustainability reporting practices, many...
The concept of materiality is important in the preparation of financial...
The International Accounting Standards Board (IASB) has published an exposure...
The International Ethics Standards Board for Accountants (IESBA) has released...