19 May 2015
The IASB has today published for consultation a proposal to defer the
effective date of the revenue Standard, IFRS 15 Revenue from Contracts with
Customers, by one year to 1 January 2018.
The revenue Standard
was issued jointly with the US Financial Accounting Standards Board (FASB), in
May 2014, with an effective date of 1 January 2017.
The main reason for
the proposed deferral of the effective date is that the IASB is planning to
issue an Exposure Draft of targeted amendments to the Standard, which will
include clarifying some of its requirements and adding illustrative examples to
aid implementation. These targeted amendments arise from discussions of the
joint Transition Resource Group (TRG), established in conjunction with the FASB
to support the implementation of the Standard. The FASB is also currently
consulting on a proposal to defer the effective date of its revenue Standard by
one year.
Feedback on the Exposure Draft Effective
Date of IFRS 15 (Proposed amendments to IFRS 15) is required by 3 July
2015. The IASB will consider the feedback at its July meeting when it
expects to take a final decision on whether to change the effective date of the
revenue Standard.
Early application of the revenue Standard will continue
to be permitted.