IREIT Global
annual report 2014
For the reporting period from 1 November 2013 (date of constitution) to 31 December 2014
Notes to the
Financial Statements
2.
SIGNIFICANT ACCOUNTING POLICIES
(Continued)
(a) Basis of preparation of financial statements
(Continued)
NEW AND REVISED INTERNATIONAL FINANCIAL REPORTING STANDARDS
(Continued)
IFRS 15 Revenue from Contracts with Customers
(Continued)
Under IFRS 15, an entity recognises revenue when (or as) a performance obligation is
satisfied, i.e. when “control” of the goods or services underlying the particular performance
obligation is transferred to the customer. Far more prescriptive guidance has been added
in IFRS 15 to deal with specific scenarios. Furthermore, extensive disclosures are required
by IFRS 15. The management is currently evaluating the impact of IFRS 15.
Amendments to IAS 1 Disclosure Initiatives
The International Accounting Standards Board (IASB) has published ‘Disclosure Initiative
(Amendments to IAS 1)’. The amendments aim at clarifying IAS 1 to address perceived
impediments to preparers exercising their judgement in presenting their financial reports.
They are effective for annual periods beginning on or after 1 January 2016, with earlier
application being permitted. The Disclosure Initiative makes the following changes:
•
Materiality
: The amendments clarify that information should not be obscured
by aggregating or by providing immaterial information, as well as materiality
considerations apply to all parts of the financial statements, and even when a standard
requires a specific disclosure, materiality considerations do apply.
•
Statement of financial position and statement of profit or loss and other
comprehensive income
: The amendments introduce a clarification that the list of
line items to be presented in these statements can be disaggregated and aggregated
as relevant and additional guidance on subtotals in these statements and clarify that
an entity’s share of Other Comprehensive Income of equity- accounted associates and
joint ventures should be presented in aggregate as single line item based on whether
or not it will subsequently be reclassified to profit or loss.
The amendments add additional examples of possible ways of ordering the notes to clarify
that understandability and comparability should be considered when determining the order
of the notes and to demonstrate that the notes need not be presented in the order so far
listed in paragraph 114 of IAS 1.
