Beyond the GAAP no.98 - March 2016

As expected, these amendments provide clarification on the concept of distinct goods and services, agent versus principal considerations, accounting for licences of intellectual property, and implementing transition requirements. They do not change the fundamental principles of IFRS 15, and consequently few changes have been made to the body of the standard. The application guidance and illustrative examples have undergone more substantial changes and additions, and a further 40 pages have been added to the Basis for Conclusions.

As it will take some time to assess the full impact of these amendments, readers of Beyond the GAAP will have to wait until next month for an in-depth discussion of the issues. As a result, the IFRS highlights for this month primarily relate to decisions made by the IASB and IFRS IC, as reported in their respective Updates.