The IASB has issued Definition of Material, amendments to IAS 1 and IAS 8, effective from January 1, 2020 and to be applied prospectively, with early application permitted. The current definition in IAS 1 is as follows: “Omissions or misstatements of items are material if they could, individually or collectively, influence the economic decisions that…
As we discussed here, the IASB has issued an exposure draft Definition of Material, with comments to be received by January 15, 2018. As the comment period recently closed, we’ll take a quick look on what kind of reaction the proposal received. First, a reminder of the proposed revised definition and supporting language: Information is…
As we discussed previously, the IASB has issued an exposure draft Definition of Material, with comments to be received by January 15, 2018, and (in final form) Practice Statement 2 Making Materiality Judgments. We’ve already looked at the proposals in the exposure draft. Moving on, the practice statement is non-mandatory guidance developed by the IASB –…
The IASB has issued an exposure draft Definition of Material, with comments to be received by January 15, 2018, and (in final form) Practice Statement 2 Making Materiality Judgments. The IASB hopes through the practice statement, as the news release puts it, to encourage “companies to apply judgment instead of using IFRS requirements as a…
As we discussed here, the IASB has issued for comment an exposure draft of a proposed practice statement Application of Materiality to Financial Statements, with comments to be received by February 26, 2016. In the last three articles, we covered some areas where respondents to the exposure draft might possibly have concerns. Those concerns though…
As we discussed here, the IASB has issued for comment an exposure draft of a proposed practice statement Application of Materiality to Financial Statements, with comments to be received by February 26, 2016. Although the document’s primary purpose is to reduce unnecessary disclosures, it also sets out various instances where focusing on materiality might lead…
As we discussed here, the IASB has issued for comment an exposure draft of a proposed practice statement Application of Materiality to Financial Statements, with comments to be received by February 26, 2016. Here’s one aspect I didn’t touch on last time: “Sometimes a deliberate decision is made by management not to apply a requirement…
The IASB has issued for comment an exposure draft of a proposed practice statement Application of Materiality to Financial Statements, with comments to be received by February 26, 2016. Here’s how the accompanying news release summed this up: “The draft guidance, in the form of a draft Practice Statement, has been developed in response to…
The IASB has issued an exposure draft of proposed amendments to IAS 1 resulting from its Disclosure Initiative, with comments to be received by July 23, 2014. The proposed narrow-focus amendments “will clarify some of (the Standard’s) presentation and disclosure requirements to ensure entities are able to use judgment when applying that Standard… (responding) to…
From Australia comes another contribution to the seemingly endless debate about disclosure overload This is an Australian Accounting Standards Board staff paper titled “To Disclose or Not to Disclose: Materiality is the Question” (a Google search confirms my feeling that this Hamlet-derived formulation has been used far too often to be effective now, including in…
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