The International Accounting Standards Board has proposed narrow‑scope amendments to IAS 16 Property, Plant and Equipment to reduce the diversity in application of the Standard.
IAS 16 establishes principles for recognising and measuring items of property, plant and equipment as assets.
The proposed amendments would prohibit deducting sales proceeds from the cost of an item of property, plant and equipment while that asset is being made available for use. Instead, the company would recognise those sales proceeds and related costs in profit or loss.
The proposed amendments are put forward following discussions of the IFRS Interpretations Committee on accounting for proceeds and costs of testing.
The Exposure Draft is open for comment until 19 October 2017.Login/register to submit a comment letter
All comment letters should be submitted via the online upload page. Please refrain from sending comment letters to IASB or IFRS Foundation individuals. Board and staff members have access to all comment letters submitted via the online upload page. You must be an eIFRS Basic user to submit a comment letter and registration is free.
All comment letters will be on the public record and posted on our website unless the respondent requests confidentiality. Such requests will not normally be granted unless supported by a good reason, for example, commercial confidence.
If you have any issues with the comment letter process, please contact us