The IASB published an exposure draft addressing proposed amendments to its newest standard, IFRS 19, Subsidiaries Without Public Accountability: Disclosures, issued in May, a news release said.
“The proposals would reduce disclosure requirements from new IFRS accounting standards and amendments issued between February 2021 and May 2024,” the release said. “The IASB is now consulting on whether and how to reduce these requirements with the aim that any amendments to the requirements will be effective at the same time as IFRS 19 itself.”
These amendments look to reduce or simplify the disclosure requirements related to:
- Lack of exchangeability (amendments to IAS 21, The Effects of Changes in Foreign Exchange Rates);
- International tax reform — Pillar Two Model Rules (amendments to IAS 12, Income Taxes);
- Supplier finance arrangements (amendments to IAS 7, Statement of Cash Flows, and IFRS 7, Financial Instruments: Disclosures);
- Primary financial statements (IFRS 18, Presentation and Disclosure in Financial Statements); and
- Noncurrent liabilities with covenants (amendments to IAS 1, Presentation of Financial Statements).
The IASB seeks feedback on the proposals until 27 November, the release said. The board will analyse the feedback and make the necessary changes before finalising the amendments to IFRS 19.
Comments can be submitted online or by email to commentletters@ifrs.org.
FCA seeks comment on measures to promote market growth
New proposed rules from the UK Financial Conduct Authority (FCA) aim to establish the new Public Offers and Admissions to Trading Regime (POATRs), which will replace the existing UK Prospectus Regulation, a news release said.
Under the proposals, companies will still be required to publish a prospectus when first admitting securities to public markets, the release said. However, a prospectus would not be required when a company raises further capital except in limited circumstances.
“The FCA is also consulting on proposals for a new activity of operating a public offer platform,” the release said. “These platforms will offer an alternative route for companies to raise capital outside public markets including from retail investors.”
The regulator also confirmed new rules that give asset managers greater freedom in how they pay for investment research, by allowing the “bundling” of payments for research and trade execution, the release said, in line with the rules in other jurisdictions, making it easier for asset managers to buy research across borders.
“The final part of the package is a consultation outlining proposals for the derivatives trading obligations to help improve the regulation of secondary markets, [reducing] systemic risk and disruption to firms,” the release said.
The feedback period on the proposals for the derivatives of trading consultation is open until 30 September, and comments on the proposals for the POATRs and the public offer platforms should be sent to the FCA by 18 October, the release said.
UKEB issues final response to IASB exposure draft
The UK Endorsement Board (UKEB) published its final comment letter and feedback statement on the IASB’s proposed amendments to Business Combinations — Disclosures, Goodwill and Impairment, a publication said.
The board is “broadly supportive” of the package of proposed amendments to the disclosure requirements in IFRS 3, Business Combinations, and the impairment test in IAS 36, Impairment of Assets, the publication said.
In the final comment letter, the UKEB highlights some areas where improvements could be made from the IASB.
IPSASB draft addresses measurement of public sector assets
The International Public Sector Accounting Standards Board is seeking public comments on Exposure Draft (ED) 90, Amendments to IPSAS as a Result of the Application of IPSAS 46, Measurement.
“ED 90 builds upon the important work accomplished in IPSAS 46, Measurement released last year which provides an integrated approach to valuation to help entities measure public sector assets,” IPSASB Chair Ian Carruthers said in a news release. “These amendments will provide users of public sector general purpose financial statements with more relevant and faithfully representative measurement information through the potential application of public sector specific guidance across a broader range of situations.”
Comments are being accepted through 29 November.
IFRS issues taxonomy guide for regulators
The IFRS Foundation published a guide for regulators implementing the IFRS digital taxonomies in a digital filing system, a news release said.
The guide aims to assist regulators and others when comparing and analysing digital information prepared using IFRS standards, the release said.
IASB publishes guidance on climate-related reporting
A consultation document from the IASB provides companies with eight illustrative examples to improve climate-related reporting, a news release said, arising from stakeholder and investor concerns around inconsistent and insufficient information in financial statements.
To respond to these concerns, the IASB’s proposed examples aim to:
- Improve transparency of information in financial statements; and
- Strengthen the connection between financial statements and other parts of a company’s reporting, such as sustainability disclosures.
“The eight illustrative examples focus on areas such as materiality judgements, disclosures about assumptions and estimation uncertainties, and disaggregation of information,” the release said. They do not add or change the requirements in IFRS accounting standards.
The IASB invites all stakeholders to provide feedback on the exposure draft by 28 November.
Comments can be submitted online or by email to commentletters@ifrs.org.
New report looks to make biodiversity reporting easier
A joint interoperability mapping resource from the Global Reporting Initiative (GRI) and the Taskforce on Nature-Related Financial Disclosures (TNFD) gives a detailed overview of alignment between the TNFD disclosure recommendations and metrics and the GRI standards, a news release said.
“Responding to feedback from market participants, the TNFD and GRI have developed a guidance document and correspondence table to help GRI’s 14,000 reporters globally align with the TNFD recommendations,” the release said, “and assist TNFD adopters in their sustainability reporting according to GRI standards.”
The mapping underscores the high level of alignment achieved between the TNFD and the GRI’s reporting requirements and datapoints, the release said.
— To comment on this article or to suggest an idea for another article, contact Steph Brown at Stephanie.Brown@aicpa-cima.com.