IFRS IC discusses draft Interpretation Foreign Currency Transactions and Advance Consideration
The Interpretations Committee completed its discussion of the more significant matters raised in comment letters to the draft Interpretation Foreign Currency Transactions and Advance Consideration, and reviewed the due process steps taken in the development of the Interpretation.
The Interpretations Committee tentatively decided:
- the effective date of the Interpretation should be 1 January 2018, with earlier application permitted; and
- first-time adopters should be permitted to apply the Interpretation prospectively to all assets, expenses and income initially recognised on or after the date of transition to IFRS Standards.
The Interpretations Committee also tentatively decided that it has completed the necessary due process for the project and gave the staff permission to start the balloting process.
The staff will begin the balloting process for the Interpretation. The Board is expected to ratify the Interpretation in the fourth quarter of 2016.