Accounting policies comprise of the specific principles, bases, conventions, rules and practices that an entity applies to prepare and present its financial statements. Entities must disclose their accounting policies in their financial statements. The format and...
IFRS requires entities to consider and account for the impairment of assets. This ensures that their carrying amounts do not exceed the economic benefits expected from the asset. Some accounting standards contain specific impairment requirements for assets...
Intuitively, accountants tend to treat shares issued by a company as equity based on their legal form. The classification of the shares by the issuer in terms of IFRS, however, requires a more detailed analysis of their terms. Shares that, in substance, have the...
The OECD/G20 developed Global Anti-Base Erosion (‘GloBE’) model rules in Pillar Two of BEPS 2.0 to address shortcomings in the current international tax system. These rules essentially aim to tax the profits of large multinationals at a minimum rate. The...
The topic of Supply chain financing (‘SCF’) has been on various IFRS Interpretations Committee (‘IFRIC’) and IASB agendas during the past three years. This article outlines some key accounting considerations regarding these arrangements and an amendment emerging from...
In October 2022 the IFRS Interpretations Committee (“IFRIC’) published an agenda decision on accounting for rent concession involving forgiveness. This article briefly considers their decision. Rent forgiveness arrangement The lessor accounted for the lease in...