IFRS 15 impacts for the construction industry
Entities in the construction industry have previously followed their own standard (IAS 11 Construction Contracts) that contained specific guidance for the recognition of revenue from construction contracts. This has now been replaced by a generic revenue standard called IFRS 15 Revenue from Contracts with Customers. The new revenue standard will likely bring about additional complexities for accountants who prepare financial reports for construction entities in addition to potentially changing the pattern of revenue recognition.
Our series of articles below on what IFRS 15 will mean for the construction industry addresses some of the common impacts we expect to see when the new standard is first adopted: