17 December 2015
The
International Accounting Standards Board (IASB) has postponed the date
when entities must change some aspects of how they account for
transactions between investors and associates or joint ventures.
The postponement applies to changes introduced by the IASB in 2014 through narrow-scope amendments to IFRS 10 Consolidated Financial Statements and IAS 28 Investments in Associates and Joint Ventures.
Those changes affect how an entity should determine any gain or loss it
recognises when assets are sold or contributed between the entity and
an associate or joint venture in which it invests. The changes do
not affect other aspects of how entities account for their investments
in associates and joint ventures.
Today's announcement removes the current requirement to make these particular changes by 2016.
The reason for making the decision to postpone the effective date is
that the IASB is planning a broader review that may result in the
simplification of accounting for such transactions and of other aspects
of accounting for associates and joint ventures.
End
Press enquiries:
Kirstina Reitan, Head of Communications, IFRS Foundation
Telephone: +44 (0)20 7246 6960
Email: kreitan@ifrs.org
Technical enquiries:
April Pitman, Senior Technical Manager, IASB
Telephone: +44 (0) 20 7246 6492
Email: apitman@ifrs.org