Accounting Section - Doing Business
Explore a series of summaries providing an overview of useful accounting regulations, processes and accounting issues for doing business in Thailand.
Delay in effective date of TFRS for SMES
In November 2016, the Federation of Accounting Professions (“FAP”) announced that the effective date for applying the TFRS for SMEs has been postponed from 1 January 2017 to 1 January 2018, as FAP is in the process of translating and revising the TFRS for SMEs to comply with the IFRS for SMEs incorporates 2015 amendment.
Revised TSA to affect auditors’ reports
Under the new and revised Thai Standards on Auditing (“TSA”), auditors are required to communicate key audit matters in auditors’ reports for listed entities. The changes will increase transparency and enhance the value of information set out in financial reporting, which will be beneficial for both those using the reports and the general public.
Amortization of goodwill
Here is an example of goodwill: On 1 July 2016, Company A acquired Company Z with assets at a fair value of THB 1,500,000 million and liabilities totalling THB 850,000. Therefore, goodwill of THB 650,000 arose at the date of acquisition.
TFRS for SMEs requirements reduced
The FAP is aware that SMEs might incur additional costs upon the first-time adoption of TFRS for SMEs and the preparation of financial statements in accordance with these standards.