The IFRS for SMEs Update is a staff summary of news, events and other information about the IFRS for SMEs® Standard and related SME activities. The staff summary has not been reviewed by the International Accounting Standards Board (Board).
This edition includes:
The SME Implementation Group (SMEIG) met on 4–5 February 2021 to discuss the feedback from stakeholders on the Request for Information published in January 2020. The SMEIG developed recommendations to enable the Board to decide on the next steps to be taken in its Second Comprehensive Review of the IFRS for SMEs Standard.
Read the report summarising the SMEIG’s recommendations.
At its February 2021 meeting, the Board discussed the next steps to be taken in its Second Comprehensive Review of the IFRS for SMEs Standard. The Board decided to develop amendments to the IFRS for SMEs Standard using the approach which it had consulted on in its Request for Information. This approach treats alignment with IFRS Standards as the starting point and applies the principles of relevance to SMEs, simplicity, and faithful representation, including the assessment of costs and benefits, in determining whether and how that alignment should take place.
In the coming months, the Board will discuss the specific sections of the IFRS for SMEs Standard that could be amended to reflect new requirements in IFRS Standards that are not currently incorporated in the IFRS for SMEs Standard. Any amendments that the Board decides to propose will be included in an exposure draft.
Staff has been conducting virtual meetings with SME preparers to discuss their views on financial reporting requirements for small and medium-sized entities. Meeting slots are available until the end of next month (April 2021) and the representative of a small or medium-sized entity who would like to participate in this outreach initiative should contact the staff at firstname.lastname@example.org.
The Board and the SMEIG provide educational materials to support the adoption and implementation of the IFRS for SMEs Standard. These materials are available on the Supporting materials for the IFRS for SMEs Standard section of the site and include:
The IFRS Foundation has also made available a package of 35 supporting modules to help anyone who wants to learn more about the IFRS for SMEs Standard, particularly those who apply the Standard or read financial statements that were prepared in accordance with it.