As we covered here, the IASB has issued Risk Mitigation Accounting, an exposure draft of proposed amendments to IFRS 9 and IFRS 7, open for comment until November 30, 2026 (extended from the original date). The premise underlying the exposure draft is this: If entities do not apply risk mitigation accounting, the use of derivatives…
One could devote an entire blog nowadays to AI-related financial reporting matters… Well, no doubt plenty of people are already doing that. A big source of content for them the foreseeable future will be this, as reported here in the New York Times: Anthropic, a five-year-old company whose artificial intelligence tools have made it a…
The International Sustainability Standards Board (ISSB) has published the Exposure Draft IFRS Sustainability Disclosure Practice Statement 1 Nature-related Disclosures, open for comment until February 19, 2027. Here’s some of what the news release had to say: The proposals have been developed to help companies provide material information to investors about nature-related risks and opportunities. Companies…
A startling recent New York Times article revealed How Meta Uses A.I. Data Centers to Avoid Billions in Federal Taxes. It’s written by Kashmir Hill, Jesse Drucker, Eli Tan and Mike Isaac. Some extracts: Mark Zuckerberg says Meta’s A.I. push is a tremendous success. “Our investments in A.I. are accelerating every major part of our…
IFRS S2 Climate-related disclosures requires that an entity disclose its absolute gross greenhouse gas emissions generated during the reporting period, expressed as metric tonnes of CO2 equivalent, and that these be measured “in accordance with the Greenhouse Gas Protocol: A Corporate Accounting and Reporting Standard (2004) unless the entity is required, in whole or in…
Canadian Accountant recently ran an interesting article titled: Why you should live your life like an accountant — and how you probably already do. It’s written by Jack Campbell, a PhD candidate in accounting and accountability at Dublin City University in Ireland. Here are some extracts: WHEN asked to think about accounting, most people imagine…
IFRIC recently received a submission from the European Securities and Markets Authority (ESMA), cited in this blog in the past (most recently here) for its periodic publications of extracts from its database of enforcement decisions. Here’s the fact pattern behind the resulting tentative agenda decision issued by IFRIC: an entity manufactures cars and leases them…
In 2017, I watched the Ben Affleck film The Accountant, only because I thought it might provide material for a blog post: it wasn’t easy, but I did it (capsule takeaway: “To me the film feels largely cluttered and unilluminating, but at least it allows that an accountant might be defined by more than simply…
Here’s a stimulating LinkedIn commentary from internal audit professional John Johnson: Something interesting is happening in the auditing profession right now. 1. Regulators are pulling back on formal mandates. Some examples: – The NYSE proposed extending the internal audit function requirement for newly listed companies from one year to five.– The SEC proposed raising the…
In its September meeting, the ISSB received an update on its human capital project. The staff paper noted the following as an area where more research is required: the importance of emerging workforce-related risks and opportunities, particularly those related to AI— AI deployment has advanced significantly over the course of the project and our discussions…
Between all the work done by regulators and standard-setters, striking examples of potentially misleading “non-GAAP measures” aren’t as easy to come by as they used to be. The AI company Anthropic recently provided a good one though, albeit falling into somewhat of a “hearsay” category as the company is privately held and doesn’t yet report…
Canadian securities regulators decline to oversee sports, entertainment contracts for prediction markets, announced a recent Globe and Mail headline Here’s some of what the article had to say: The Canadian Securities Administrators, an umbrella organization made up of provincial and territorial securities regulators, and the Canadian Investment Regulatory Organization, or CIRO, issued a joint statement…
Let’s return to the IFRS 18 concept of management-defined performance measures. You’ll recall that the new standard defines such a measure as ‘a subtotal of income and expenses that an entity uses in public communications outside financial statements; to communicate to users of financial statements management’s view of an aspect of the financial performance of…
As we’ve covered before, the KPMG Australia has put whistleblowers in the spotlight. And it appears it may not be over yet: SYDNEY, Aug 14 (Reuters) – “Many, many more” whistleblowers have come forward with reports of misconduct at KPMG Australia, a parliamentary committee probing alleged client data leaks at the firm heard on Friday,…
And now for something completely different – Didrik Thrane-Nielsen, Project Director at European Financial Reporting Advisory Group, recently set out to “trigger some thinking on the basic building blocks in IFRS” by providing new proposed definitions for assets and liabilities, and issuing a challenge: “Please come up with one or more practical example(s) where the…
