IASB ED/2021/3 

A new approach to disclosure requirements 

The International Accounting Standards Board has developed a new approach to developing disclosure requirements. The revised approach  has been developed in response to concerns that notes to the financial statements sometimes include too little relevant information, too much irrelevant information or ineffective communication. The new approach is intended to help entities in making decisions about what information to disclose rather than using a ‘checklist’ or ‘boilerplate’ approach.  

ED/2021/3 Disclosure Requirements in IFRS Standards—A Pilot Approach seeks feedback on the new approach and the application of new approach to the disclosure requirements in IAS 19 Employee Benefits and IFRS 13 Fair Value Measurement. The IASB wants to know if the new approach would help improve the usefulness of information disclosed 

The new requirments aim to: 

  • enhance investor engagement, to ensure the IASB has an in-depth understanding of investors’ information needs and clearly explains those needs in standards; 
  • give greater prominence to the objective of disclosure requirements, requiring entities to apply judgement and provide information to meet the described investor needs; and 
  • minimise requirements to disclose particular items of information, and instead to help entities focus on disclosing material information only. 

We encourage you to read the Exposure Draft and to comment on the proposals. 

The XRB Board is committed to adopting international standards in the for-profit sector. Generally, once a standard has been issued by the IASB, the XRB then issues the New Zealand equivalent standard without further consultation. The XRB will consult separately on any proposed disclosure concessions for Tier 2 for-profit entities. 


In this short video, Board Member Nick Anderson introduces the Board’s proposals set out in the Exposure Draft

IASB Video on Disclosure Requirements

XRB event: The Disclosure Dilemma

Our panel discussion on 5 August explored the proposals from a preparer, regulator and auditor perspective.

Access the recording here

Passcode: d72sZqG+

IFRS Webinars

The IFRS Foundation has held two webinars to discuss the proposals in this Exposure Draft.

The first (on 19 May) provided an overview of the proposals and a Q&A session at the end of the presentation.

Download the slides

Disclosure Requirements in IFRS Standards video cover page

The second webinar featured a question and answer session with Board Members Tadeu Cendon and Tom Scott.

It also included discussion of the Board’s views on particular aspects of the proposed approach, such as the application of judgement, comparability, auditability and enforceability and digital reporting.

Webinar 2 Disclosure Requirements

Download the slides

Commenting on the Proposals

This is your opportunity to comment.

The deadline for comments to the NZASB is 4 October 2021 and to the IASB is 12 January 2022.

Send your comments—both formal and informal—to the NZASB using the upload form below.

We also encourage you to send comments directly to the IASB, with a copy to the NZASB. Your comments can be made electronically to the IASB website by clicking on the following link https://www.ifrs.org/projects/open-for-comment/. First-time users must register to submit electronically.

We intend on publishing all comments on the XRB website, unless they may be defamatory. If you have any objection to this, we will not publish them. However, they will remain subject to the Official Information Act 1982 and, therefore, may be released in part or in full. The Privacy Act 2020 also applies.