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financial statements 2011
which part of the carrying amount of an asset that
has been valued at fair value in the balance sheet
can be recovered from continuous use (such as
rental income) and which part from the sale of the
asset. According to the amendment, the premise
is that the carrying amount of certain assets that
have been valued at fair value is assumed to be
recovered from the sale of the asset. This assump-
tion is applicable to deferred taxes that arise on
investment properties, tangible fixed assets and
intangible assets valued using the fair value model
or the revaluation model. The amendment has not
been approved for application in the eu.
– Amendment to ias 1
Financial Statement Presenta-
tion
(effective for financial periods beginning on or
after July 1, 2012). The main change is a require-
ment upon entities to group items presented in
“other comprehensive income” (oci) on the basis
of whether they are potentially subsequently
reclassifiable to profit or loss, provided that certain
conditions are fulfilled. The amendment has not yet
been approved for application in the eu.
– Amendment to ias 19
Employee Benefits
(effective
for financial periods beginning on or after January
1, 2013). The changes mean that in the future, all
actuarial gains and losses should be recognized im-
mediately in the other items of the comprehensive
income statement, in other words: the corridor
approach should be eliminated and finance costs
should be calculated on a net funding basis. The
amendment has not yet been approved for applica-
tion in the eu.
– ifrs 9
Financial Instruments
(effective date still
open). ifrs 9 is the first standard issued as part of a
wider project to replace ias 39. It retains different
measurement methods but simplifies them. On
the basis of their measurement, financial assets are
divided into two main categories: those measured
on the basis of amortized cost and those measured
on the basis of fair value. The classification basis
depends on the company’s business model and the
characteristics of the agreed cash flows. The guid-
ance in ias 39 on impairment and hedge accounting
continues to apply. According to the new standard,
recognition and measurement of financial liabilities
should remain as they currently are, apart from
those financial liabilities to which the so-called fair
value option is applied. The standard has not yet
been approved for application in the eu.
– ifrs 10
Consolidated Financial Statements
(effective
for financial periods beginning on or after January 1,
2013). Following the existing principles, the standard
establishes control as the key factor when decid-
ing whether an entity should be included in the
consolidated financial statements. Furthermore, the
standard provides additional guidance on defining
control in cases in which it is difficult to assess. The
standard has not yet been approved for application
in the eu.
– ifrs 11
Joint Arrangements
(effective for financial
periods beginning on or after January 1, 2013). The
standard emphasizes the rights and obligations of
joint arrangements rather than their legal form in
the accounting procedures of joint arrangements.
There are two types of joint arrangement: joint op-
erations and joint ventures. In addition, the stand-
ard requires a single method, the equity method,
to be applied to the reporting in relation to joint
ventures, and the previously used proportional
consolidation is no longer allowed. The standard
has not yet been approved for application in the eu.
– ifrs 12
Disclosures of Interests in Other Entities
(effective for financial periods beginning on or
after January 1, 2013). The standard includes the
disclosure requirements for various forms of
interests in other entities, including associates, joint
arrangements, special purpose vehicles and other
off-balance sheet vehicles. The standard has not yet
been approved for application in the eu.
– ifrs 13
Fair Value Measurement
(effective for financial
periods beginning on or after January 1, 2013). The
standard aims to improve consistency and reduce
complexity by providing a precise definition of fair
value and a single source for fair value measure-
ment and disclosure requirements. The use of fair
value is not extended but the standard provides
guidance on how fair value should be applied
where its use is already required or permitted by
other standards. The standard has not been ap-
proved for application in the eu.
– ias 27 (revised 2011)
Separate Financial Statements
(effective for financial periods beginning on or after
January 1, 2013). The revised standard includes the
provisions on separate financial statements that are
left after the control provisions of ias 27 have been
included in the new ifrs 10. The revised standard
has not yet been approved for application in the eu.
– ias 28 (revised 2011)
Associates and Joint Ventures
(effective for financial periods beginning on or after
January 1, 2013). The revised standard includes the
requirements for joint ventures, as well as associ-
ates, to be equity accounted following the issue
of ifrs 11. The revised standard has not yet been
approved for application in the eu.