Progressing on the Strategies for Each Reporting Entity Category
Publicly accountable enterprises
This year, the IASB deliberated stakeholders’ feedback on many of its projects. We focused our efforts on gathering additional information that the IASB needed to advance discussions on key projects like Primary Financial Statements, Rate-regulated Activities, Extractives Activities, and various others related to financial instruments. The IASB also established its priorities for 2022-2026. Although a project on crypto assets was not identified as a priority, we continue to work closely with other national standard setters on this topic. We are conducting research to better understand and consider the accounting for crypto-asset activities with the objective of providing decision-useful information to financial statement users.
We made progress on many of our domestic projects, including completing the Cloud Computing Arrangements project. We issued an Exposure Draft for Related Party Combinations and completed the consultation phase this year. We also responded quickly to stakeholders’ concerns by deferring the revenue amendments related to upfront non-refundable fees or payments, allowing time to identify a comprehensive solution for private enterprises and NFPOs. Through our research, we advanced our understanding of the accounting for insurance contracts with cash surrender value so that we can develop proposals and consult stakeholders in 2023-2024. Our Private Enterprise Advisory Committee continues to play a vital role in the advancement of our projects.
We advanced our Contributions project to the next standard-setting phase and issued an Exposure Draft in March 2023. Our Not-for-Profit Advisory Committee contributed significantly towards the development of the proposals in our Exposure Draft. In the coming months, we will be providing educational material to highlight key aspects of the proposals. We are keen to hear stakeholders’ views, and therefore, outreach events are being held across Canada to ensure there are many opportunities for the NFPO sector to provide feedback. We also resumed our discussions on reporting of controlled and related entities, a project that was deferred in the past due to higher priority work.
We made improvements to Section 4600, Pension Plans this year by issuing amendments to clarify areas of ambiguity and provide new guidance to reduce diversity in practice. With the assistance from our Pension Plan Working Group, we started our research on other issues in Section 4600 relating to investment disclosures and presentation of investment fees. In 2023-2024, we will be developing proposals and look forward to consulting stakeholders on their views.
Change is here to stay, but the foundation laid out in our 2022-2027 Strategic Plan will help us navigate through a new era of reporting. Our stakeholder relationships are an important part of our effectiveness, and we will continue to foster them through the coming year.
In addition, the Independent Review Committee on Standard Setting in Canada issued its final report and we will be considering its recommendations to ensure Canadian standard setting continues to be independent and internationally recognized. We are specifically focused on the recommendations related to connecting with stakeholders, timeliness, and transparency.
Keep up to date on all our projects and activities throughout the year as we make progress on our Annual Plan.
Front row L-R: Howard Leung, Armand Capisciolto (Chair), Carol Rowe, Steve Fortin
Back row L-R: Guy Jones, Marc Joyal, Michel Charbonneau, Nancy Anderson, Chris Kovalchuk, Lawrence Smith
Absent: Charles Henaire
Front row L-R: Matthew Bishop, Davina Tam, Lauren Pennycook, Danielle MacLeod, Andrew White, Jean-Francois Trepanier (Vice-President)
Back row L-R: Mohamed Hassanali, Katherine Knowlton, Mark Squire, Jayshal Daya, Jamie Goodman, Amanda Winter, Grace Flis, Shalini Gupta, Jesse McLinton
Absent: Katharine Christopoulos (Director), Marta Kolodziejski, Susan Ryckman