The IASB tentatively decided at the joint July board meeting to grant four transition reliefs on retrospective application of the new revenue standard. At this meeting the Board tentatively decided to add an exemption to IFRS 1 First-time Adoption of International Financial Reporting Standards to permit a first-time adopter to apply any one of three reliefs.
The three reliefs are that the entity:
- should not be required to apply the proposals to contracts that begin and end within the same annual periods prior to the first IFRS reporting period
- should be required to use hindsight in estimating variable consideration in the periods prior to the first IFRS reporting period
- should not be required to disclose the maturity analyses of remaining performance obligations for periods before the first IFRS reporting period.