“Investors Worry Revenue Rules Will Allow Earnings Manipulation” announces a recent article on the Bloomberg BNA website. Here are some extracts from the article, written by Steve Burkholder: Some investors worry that revenue accounting rules that public companies must begin using in January will yield inconsistent reporting and allow earnings manipulation, according to Bloomberg BNA…
A European example of challenges in applying one of the more complex aspects of IAS 39 Here’s another of the issues arising from extracts of enforcement decisions issued in the past by the European Securities and Markets Authority (ESMA) (for more background see here); this is from their 19th edition: “The entity has entered into several…
Should deferred tax be abandoned, basically? It’s not uncommon of course to come across complaints that the concepts underlying deferred tax balances are hard to follow, that the resulting assets and liabilities don’t mean much to users, and so forth. I suppose I’ve always taken a fairly standard view towards that issue, as I put…
IFRIC has issued IFRIC 23, Uncertainty over Income Tax Treatments. It took a while – I wrote about the draft version over a year and a half ago. An uncertain tax treatment for purposes of the interpretation is one “for which there is uncertainty over whether the relevant taxation authority will accept the tax treatment…
I wouldn’t ever have watched Ben Affleck’s film The Accountant… …except that I thought it might provide some material for a blog post (given my self-imposed pace of a new 800-word update every five days, I’m always looking for material). After all, as has been observed in the past, accountants are only minimally represented in Hollywood…
Thoughts on a recent speech by IASB Chair Hans Hoogervorst Titled The IASB and Integrated Reporting, it didn’t initially make much impact on me. But then a recent column by Robert Bruce made me think again. Here’s part of what Bruce says: Fifteen years ago it was felt…that the concepts of management commentary were not central…
We recently touched on CSA Consultation Paper 51-404 Considerations for Reducing Regulatory Burden for Non-Investment Fund Reporting Issuers, seeking “comments on potential options for reducing regulatory burden for non-investment fund reporting issuers in the public markets.” I noted before that the very choice of the term “reducing regulatory burden” suggests a predisposition to find burdensome things that can…
A European issue with going concern disclosures in interim statements Here’s another of the issues arising from extracts of enforcement decisions issued in the past by the European Securities and Markets Authority (ESMA) (for more background see here); this is from their 18th edition: “Significant doubts were cast upon an issuer’s ability to continue operating…
The strange, self-contained world of pro forma financial statements… We recently discussed the CSA’s current consultation paper on reducing the “regulatory burden” on reporting issuers. Among much else, the paper floats the possibility of removing the requirement to prepare pro forma statements as part of a business acquisition report filed under Canadian securities regulations. Well, in…
As we’ve discussed in many previous articles, IFRS 15 Revenue from Contracts with Customers becomes effective on January 1, 2018. By now, companies for whom the new standard will have a material effect should surely have clearly disclosed that fact, and in many cases should have provided some quantified information about the anticipated effect as…
John Hughes IFRS Blog 