Comments sought on exposure drafts

At BDO, we provide comments locally to the Australian Accounting Standards Board (AASB) and internationally to the International Accounting Standards Board (IASB). We welcome any client comments on exposure drafts that are currently available for comment. If you would like to provide any comments please contact Aletta Boshoff at [email protected]mailto:



Comments due to AASB by

Comments due to IASB by

ED 298 General Presentation and Disclosures

The ED proposes a new structure for the statement of profit or loss that is more prescriptive and aligns with the presentation in the cash flow statement.

Proposals include that income and expenses be classified and included in profit or loss in the following categories:

  • Operating
  • Investing
  • Financing
  • Integral associates and joint ventures
  • Income tax
  • Discontinued operations.

In addition, the ED proposes the following new subtotals in the statement of profit or loss:

  • Operating profit
  • Operating profit or loss and income and expenses from integral associates and joint ventures, and
  • Profit or loss before financing and income tax.

The prescriptive nature of the proposals is intended to improve comparability between entities and industries by requiring specific items to be included in the various subtotals.

The ED also proposes that all management performance measures (same measures used in public announcements), be disclosed and reconciled in a single note to the financial statements.

15 August 2020

30 September 2020

ED 299 Interest Rate Benchmark Reform – Phase 2

Proposes amendments to IFRS 9 Financial Instruments, IAS 39 Financial Instruments: Recognition and Measurement, IFRS 7 Financial Instruments: Disclosures, IFRS 4 Insurance Contracts and IFRS 16 Leases.

The Exposure Draft is the next phase of the project for the International Accounting Standards Board (Board) to consider, as a priority, the effects of interest rate benchmark reform on an entity’s financial statements that arise when interest rate benchmarks are replaced with alternative, nearly risk-free interest rates that are based, to a greater extent, on transaction data (alternative benchmark rates).

15 May 2020

25 May 2020

ED 301 Classification of Liabilities as Current or Non-current – Deferral of Effective Date

Due to the COVID-19 pandemic, the exposure draft proposes to defer the effective date by one year to annual periods beginning on or after 1 January 2023.

22 May 2020

3 June 2020

Discussion Paper Business Combinations – Disclosures, Goodwill and Impairment

The IASB is carrying out a research project on goodwill and impairment to consider issues identified in the post-implementation review of IFRS 3 Business Combinations including:

  • Disclosing information about acquisitions
  • Testing goodwill for impairment – effectiveness and cost
  • Whether to reintroduce amortisation of goodwill
  • Recognising intangibles separately from goodwill.

2 October 2020

31 December 2020