SOCPA Shares its Comments with the IASB on Proposed Amendment to IFRS 17
The International Accounting Standards Board (IASB) published an Exposure Draft titled (Initial Application of IFRS 17 and IFRS 9— Comparative Information, Proposed amendment to IFRS 17) concerning entities that will transition to the two standards, IFRS 17 and IFRS 9, together starting in 2023.
The proposed amendment relates to financial assets and allows the resubmission of the comparative figures of financial assets that were prohibited by IFRS 9
SOCPA, represented by the Accounting Standards Committee, expressed its comments on this draft. In its letter to IASB, SOCPA expressed its support for the board in allowing the option to resubmit the comparative figures for financial assets that would not have been allowed by IFRS 9 if it had been applied at a different time than IFRS 17, which requires entities to resubmit the comparative figures for the year preceding the year of the application of the standard.
However, SOCPA believes that the proposed amendment which allows entities to apply the amendment to whatever financial assets they chose instead of applying it on all applicable financial assets, may create a case of biased preferential application. Therefore, the SOCPA proposed to IASB that the board reviews the amendment project to eliminate the risk of biased preferential application.
You can read IASB proposed amendment here
For SOCPA's comments, click here