Take This Quiz & Predict Your Score in the coming CA CS or CMA Exam!
IFRS Disclosure standards
IFRS Disclosure standards :The objective of this research project is to improve existing guidance in IFRS Standards that helps entities determine the basic structure and content of a complete set of financial statements.
The focus is on reviewing the general disclosure guidance in IAS 1 Presentation of Financial Statements and IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors. The aim is to develop a Disclosure Standard that improves and brings together the principles for determining the basic structure and content of the financial statements, in particular the notes.
This research project is informed by the Discussion Forum on Financial Reporting Disclosure and a variety of publications by other organisations. The research activities will also consider the feedback received for the presentation and disclosure section of the Conceptual Framework Discussion Paper.
This project will not consider the removal or addition of specific disclosure requirements in other Standards. In addition, the work that the UK FRC has undertaken on the statement of cash flows is currently monitored by the Primary Financial Statements project.
IFRS Disclosure standards
IFRS Disclosure standards: Disclosure Initiative
Objective
The Board is undertaking a broad-based initiative to explore how disclosures in IFRS financial reporting can be improved
This initiative has been informed by a Discussion Forum on Disclosure in Financial Reporting that was held in January 2013. In conjunction with this, the IASB staff also conducted a survey. A Feedback Statement on these events was published in May 2013.
The Disclosure Initiative is made up of a number of implementation and research projects. The projects are shown below.
IFRS Disclosure standards: Implementation projects
Materiality Practice Statement
In this project the Board is considering how materiality is applied in practice in IFRS financial statements. The Board has tentatively decided to provide guidance on the application of materiality, which will take the form of a Practice Statement.
Current step: In December 2016, the Board completed its redeliberations of the comments received on the Exposure Draft and asked the staff to start balloting the final Practice Statement.
IFRS Disclosure standards: Definition of Materiality
The project objective is to refine the definition of materiality and clarify its characteristics (proposed clarifications). The proposed clarifications were originally discussed during the development of the Principles of Disclosure Discussion Paper.
In December 2016, the Board decided to separately publish the proposed clarifications in an Exposure Draft. Consequently, the Definition of Materiality project is now separate from the Principles of Disclosure project.
IFRS Disclosure standards: Research projects
Principles of Disclosure
The objective of this research project is to identify and develop a set of principles for disclosure that could form the basis of a Standards-level project. The focus is on reviewing the general requirements in IAS 1 Presentation of Financial Statements, and considering how they may be revised.
Standards-level review of disclosures
The objective of this project is to develop a drafting guide for the Board to use when setting disclosure requirements in new and amended Standards. The project may also identify targeted improvements to disclosure requirements in existing Standards.
Next steps: the Board will discuss this project in its meetings. This project will also be partially informed by the principles being developed in the Principles of Disclosure (PoD) project. As a first step the Board is planning to include, as an Appendix to the PoD Discussion Paper, an example of how two existing Standards could be re-drafted. The purpose of this example is to demonstrate and obtain feedback on how a set of principles could be used to draft disclosures requirements.
IFRS Disclosure standards
Amendments to IAS 1
In December 2014 the IASB published the final Standard Disclosure Initiative (Amendments to IAS 1). These amendments to IAS 1 Presentation of Financial Statements address some of the concerns expressed about existing presentation and disclosure requirements and ensure that entities are able to use judgement when applying IAS 1.
The final Standard Disclosure Initiative (Amendments to IAS 1) is effective for annual periods beginning on or after 1 January 2016 with earlier application permitted.
Amendments to IAS 7
In January 2016 the IASB published the final Standard Disclosure Initiative (Amendments to IAS 7—2016).These amendments to IAS 7 Statement of Cash Flows require a disclosure of changes in liabilities arising from financing activities, including changes arising from cash flows and non-cash changes. The final Standard Disclosure Initiative (Amendments to IAS 7) is effective for annual periods beginning on or after 1 January 2017.
IFRS Disclosure standards
Disclosure requirements of IFRS 7
IFRS requires certain disclosures to be presented by category of instrument based on the IAS 39 measurement categories. Certain other disclosures are required by class of financial instrument. For those disclosures an entity must group its financial instruments into classes of similar instruments as appropriate to the nature of the information presented.
The two main categories of disclosures required by IFRS 7 are:
information about the significance of financial instruments. information about the nature and extent of risks arising from financial instruments
IFRS Disclosure standards: History
| Date | Development |
|---|---|
| 22 July 2004 | Exposure Draft ED 7 Financial Instruments: Disclosures published |
| 18 August 2005 | IFRS 7 Financial Instruments: Disclosures issued |
| 22 May 2008 | Amended by Improvements to IFRSs |
| 13 October 2008 | Reclassification of Financial Assets issued |
| 23 December 2008 | Exposure Draft Investments in Debt Instruments published |
| 5 March 2009 | Improving Disclosures about Financial Instruments issued |
| 6 May 2010 | Amended by Improvements to IFRSs |
| 7 October 2010 | Disclosures – Transfers of Financial Assets issued |
| 16 December 2011 | Disclosures — Offsetting Financial Assets and Financial Liabilities issued |
| 16 December 2011 | Mandatory Effective Date and Transition Disclosures issued |
| 19 November 2013 | IFRS 9 Financial Instruments issued, implementing additional disclosures resulting from the introduction of the hedge accounting chapter in IFRS 9 |
| 25 September 2014 | Amended by Improvements to IFRSs 2014. |
IFRS Disclosure standards
For other details you can follow our official website cakart.in you can get all your required information from cakart blog. Cakart is providing the quality items for your study and leading you to success. You want to know about other exams you can get in cakart, free books, video courses etc. All your need related to exams end her. www.cakart.in
IFRS Disclosure standards
Cakart.in provides India’s top IFRS faculty video classes – online & in Pen Drive/ DVD – at very cost effective rates. Get IFRS Video classes from www.cakart.in to do a great preparation for primary Student.
