Improvements to IFRSs – 2012-2014 Cycle

Keywords: Mazars, Thailand, IFRS, IAS, IASB, HQCB

12 November 2014

The five definitive amendments, which concern four standards, are as follows:

• IFRS 5 – Non-current Assets Held for Sale and Discontinued Operations. The addition of guidance where an entity changes its method of disposal and reclassifies an asset held for sale as an asset held for distribution, or vice versa.
• IFRS 7 – Financial Instruments: Disclosures. Additional guidance to clarify whether a servicing contract is continuing involvement in a transferred asset for the purpose of applying the disclosures required.
• IFRS 7 – Financial instruments: Disclosures. Clarification on the applicability of the offsetting amendments to IFRS 7 offsetting amendment to condensed interim financial statements.
• IAS 19 - Employee benefits: establishes that the depth of the market for High Quality Corporate Bonds (‘HQCB’) used to determine discount rates for post-employment benefits shall be assessed at the currency level (and therefore not necessarily at a country level, for example in the euro area).
• IAS 34 – Interim Financial Reporting. Clarifies the meaning of the phrase “elsewhere in the interim financial report”.

These amendments are effective for annual periods beginning on or after 1 January 2016. Early application is authorised.