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Recognition of compensation when it 'becomes receivable'

IAS 16 Property, Plant and Equipment—recognition of compensation when it ‘becomes receivable’


 Narrow-scope amendments to IAS 16 Property, Plant and Equipment (Annual Improvements)

Recognition of compensation when it 'becomes receivable'

The IFRS Interpretations Committee received a request to clarify the timing of recognition of compensation for insured property plant and equipment (PPE) that has been impaired or lost (for example, as a result of a natural disaster). The recognition requirements for this type of compensation are in paragraph 65 of IAS 16 Property Plant and Equipment.

Project stages

Deliberations

Stage completed: November 2011