IASB ED/2014/1 Disclosure Initiative (Proposed amendments to IAS 1)

The IASB has published for public comment an Exposure Draft proposing amendments to IAS 1 Presentation of Financial Statements. The proposed amendments are the result of a short-term project under the IASB’s Disclosure Initiative.

The Exposure Draft proposes some narrow scope amendments to IAS 1 to clarify the current presentation and disclosure requirements, and to allow the preparers to use more judgement to improve the understandability of their entity’s financial statements.

The proposed amendments include:

  • clarifying materiality;
  • allowing for the disaggregation of line items in the financial statements;
  • specifying how subtotals should be presented in the financial statements;
  • allowing for flexibility in the order of presentation of the notes; and
  • clarifying guidance around significant accounting policies.

The New Zealand Accounting Standards Board (NZASB) encourages you to read the exposure draft, consider how the proposed amendments in the exposure draft will affect the presentation of financial statements, and comment on the proposed amendments.

Comments are due to the NZASB by 28 June 2014 and to the IASB by 23 July 2014.

Please submit comments to the NZASB, addressed to the Chief Executive, External Reporting Board, PO Box 11250, Manners Street Central, Wellington 6142, or email them to submissions@xrb.govt.nz. Comments can also be submitted to the IASB electronically through its website (www.ifrs.org), using the ‘Comment on a proposal’ page. If you comment directly to the IASB, please send us a copy.

We would appreciate you sending us your comments in electronic form (PDF and Microsoft Word formats) as that helps us to efficiently collate and analyse comments. We will publish all submissions on the XRB website, unless you advise that you wish your comments to remain confidential.

Click here for the Exposure Draft.

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