This summary of Accounting Standards Board (AcSB) decisions has been prepared for information purposes only. Decisions reported are tentative and reflect only the current status of discussion on projects, which may change after further deliberations by the Board. Decisions to publish Handbook material are final only after a formal ballot process.
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IFRS® Accounting Standards
December 2025 IFRS Accounting Standards Discussion Group Recommendations
The AcSB discussed a recommendation that its IFRS Accounting Standards Discussion Group (the Group) made during its December 2025 meeting regarding the agenda paper on the Classification of Income and Expenses that Arise from Liabilities under IFRS 18 Presentation and Disclosure in Financial Statements. One of the issues is whether debt acquired in a business combination meets the definition in IFRS 18 of a liability that arises from a transaction that involves only the raising of finance (commonly referred to as a Type 1 liability). Group members highlighted some guidance in the standard and the Basis for Conclusions to support the view that this is a Type 1 liability and noted that this classification would result in more consistent and relevant information. However, they could not preclude the view that the liability acquired is a Type 2 liability based on a narrow interpretation of the words in paragraph B50 of IFRS 18. They noted that similar debt obtained directly by the parent entity would be classified as a Type 1 liability. Therefore, classifying the acquired debt as a Type 2 liability could result in the entity classifying income and expenses from two similar liabilities into different categories.
The Group recommended that the AcSB be made aware of this issue and discuss if any further actions, such as discussions with International Accounting Standards Board (IASB) staff, are required.
The AcSB discussed the Group’s recommendation and decided to raise the issue with IASB staff. Board members plan to discuss how the IASB intended for entities to classify these types of liabilities. The Board also recommended that these discussions include an analysis of whether a general principle could be applied more broadly than the fact pattern in the agenda paper (e.g., acquisition of assets and liabilities rather than acquisition of an entity). The Board decided not to take any further action beyond its discussions with IASB staff. Board staff will share the results of these discussions during the opening remarks at a future Group meeting.
National Instrument 52-112, Non-GAAP and Other Financial Measures Disclosure
The AcSB discussed its draft response letter to the Canadian Securities Administrators’ (CSA) Proposed Amendments to National Instrument 52-112 on Non-GAAP and Other Financial Measures Disclosure. Responses are due to the CSA by February 11, 2026. In developing its response, the Board considered feedback from its IFRS Accounting Standards Discussion Group. The Board delegated final edits and approval of the response letter to the Chair. The Board’s response will be posted on the CSA’s website: Comment Letters for CSA Notice and Request for Comment – Proposed Amendments to National Instrument 52-112 Non-GAAP and Other Financial Measures Disclosure | OSC
Standards for Not-for-Profit Organizations
Contributions
The AcSB continued discussing issues identified through field-testing the preliminary proposals in their Contributions – Revenue Recognition and Related Matters project. The Board also considered feedback from its Not-for-Profit Advisory Committee on the field-testing results and tentatively decided to:
- not provide authoritative guidance on revenue recognition matters related to the disposal, impairment, or the residual value of capital asset contributions;
- include a description of each recognition method in the proposals;
- not include authoritative guidance on membership fees and explore the topic through an illustrative example;
- scope out reciprocal contributions received from any source and expand the definition of a contribution to clarify “non-reciprocal”; and
- provide modified retrospective transition relief in addition to allowing full retrospective application.
The AcSB also began discussions on illustrative examples and transition provisions. These topics will be further discussed with the Not-for-Profit Advisory Committee and at future Board meetings. The Board plans to issue an exposure draft in the second half of 2026.
Governance
AcSB’s Annual Plan
The AcSB discussed a revised draft of its annual plan for the year beginning on April 1, 2026, and continued discussions regarding its priorities for the 2026-2027 fiscal year.
The AcSB will present its draft annual plan to the Reporting & Assurance Standards Oversight Council in February 2026. After considering the Council’s input, the Board will approve the annual plan in March 2026.
AcSB’s Strategic Plan
The AcSB discussed the feedback from specific advisory committees on its potential strategies and a revised draft of its next strategic plan.
The AcSB will present its draft strategic plan to the Reporting & Assurance Standards Oversight Council in February 2026. After considering the Council’s input, the Board expects to issue its draft strategic plan for comment in the second quarter of 2026.
Due Process
AcSB’s Advisory Committees and Working Groups
Canadian Private Enterprise User Advisory Committee
The AcSB received an update on the January 15, 2026, Canadian Private Enterprise User Advisory Committee meeting. At this meeting the Committee discussed the Board’s Exposure Draft - Relief from Recognition of Acquired Intangible Assets and Amortization of Goodwill.