Ifrs Update

Only available on StudyMode
  • Download(s) : 87
  • Published : December 3, 2012
Open Document
Text Preview
Ernst & Young IFRS Core Tools
October 2011

IFRS Update for
ÔfYf[aYd q]Yj ]f\af_
+) JK ) af l`] Õjkl q]Yj g^ Yhhda[Ylagf&
To achieve this, the transitional provisions in IFRS 7 were
amended to clarify that the disclosures need not be provided for:  Annual or interim periods, including any statement of
ÕfYf[aYd hgkalagf$ hj]k]fl]\ oal` Yf YffmYd [gehYjYlan]
h]jag\ ]f\af_ Z]^gj] +) JA; )1 oadd j]kmdl af Y _Yaf j][g_fak]\ af hjgÕl or loss as the fair value of the equity issued will often be less than the carrying value of the liability. Determining the fair value g^ l`] ]imalq eYq Z] \a^Õ[mdl a^ l`] k`Yj]k Yj] fgl Y[lan]dq traded. As the interpretation is applied retrospectively,

\]l]jeafaf_ hYkl ^Yaj nYdm]k eYq Z] hYjla[mdYjdq \a^Õ[mdl&
When these transactions occur within the same group, entities will need to develop an appropriate accounting policy as common
control transactions are scoped out of the interpretation.
Gl`]j =jfkl  Qgmf_ hmZda[Ylagfk
Supplement to IFRS Outlook Akkm] .*2 =plaf_mak`af_ ÕfYf[aYd liabilities with equity instruments (November 2009)
EYG no. AU0405

The interpretation does not apply when the creditor is acting in the capacity of a shareholder, in common control transactions, or when the issue of equity shares was part of the original terms of the liability.

LjYfkalagf
This interpretation is applied retrospectively, in accordance with IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors from the beginning of the earliest comparative period presented if the amendment results in a change in accounting policy. Earlier application is permitted and must be disclosed.

6

A>JK Mh\Yl] ^gj ÔfYf[aYd q]Yj ]f\af_ +) JK ) Y^l]j al `Yk hmZdak`]\ Yf afl]jae ÕfYf[aYd j]hgjl af Y[[gj\Yf[] oal` A9K +, Interim Financial Reporting, it must explain those changes and update the reconciliations between previous GAAP and IFRS.

 Applicable to annual periods beginning on or after 1 January 2011. Earlier application is permitted

and must be disclosed.
IFRS 1 First-time
Adoption of
International Financial
Reporting Standards

Revaluation basis as ‘deemed cost’
 L`] Ye]f\e]fl Yddgok Õjkl%lae] Y\ghl]jk lg mk] Yf ]n]fl%\jan]f ^Yaj nYdm] Yk Ë\]]e]\ [gklÌ$ ]n]f a^

l`] ]n]fl g[[mjk Y^l]j l`] \Yl] g^ ljYfkalagf$ Zml Z]^gj] l`] Õjkl A>JK ÕfYf[aYd klYl]e]flk Yj] akkm]\& When such re-measurement occurs after the date of transition to IFRS, but during the period covered Zq alk Õjkl A>JK ÕfYf[aYd klYl]e]flk$ l`] Y\bmkle]fl ak j][g_fak]\ \aj][ldq af j]lYaf]\ ]Yjfaf_k gj a^ appropriate, another category of equity).

 Applicable to annual periods beginning on or after 1 January 2011. Entities that adopted IFRS in

hj]nagmk h]jag\k Yj] h]jeall]\ lg Yhhdq l`] Ye]f\e]fl j]ljgkh][lan]dq af l`] Õjkl YffmYd h]jag\ after the amendment is effective, with disclosure of such fact. IFRS 1 First-time
Adoption of
International Financial
Reporting Standards

Use of ‘deemed cost’ for operations subject to rate regulation  The amendment expands the scope of ‘deemed cost’ for property, plant and equipment or intangible

assets to include items subject to rate regulated activities. The exemption will be applied on an item-by-item basis. All assets to which the deemed cost exemption is applied will also need to be tested for impairment at the date of transition.

 The amendment allows entities with rate-regulated activities to use the carrying amount of their

property, plant and equipment and intangible balances from their previous GAAP as their deemed cost upon transition to IFRS. These balances may include amounts that would not be permitted ^gj [YhalYdakYlagf mf\]j A9K ). Property, Plant and Equipment$ A9K *+ Borrowing Costs and A9K +0 Intangible Assets.

 Applicable to annual periods beginning on or after 1 January 2011. Earlier application is permitted

and must be disclosed.

A>JK Mh\Yl] ^gj ÔfYf[aYd q]Yj ]f\af_ +) JK + Business
Combinations

Transition requirements for...
tracking img