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.
The AcSB will respond to change and reprioritize when necessary, ensuring we can address implementation challenges and provide the information users may need in these unique circumstances.
The AcSB values input and feedback from interested and affected parties and can be reached anytime through our online form.
IFRS® Accounting Standards
IFRIC® Tentative Agenda Decision: Classification of a Foreign Exchange Difference from an Intragroup Monetary Liability (or Asset) (IFRS 18)
The AcSB discussed its draft response to the IFRS Interpretations Committee’s Tentative Agenda Decision, Classification of a Foreign Exchange Difference from an Intragroup Monetary Liability (or Asset) (IFRS 18). Responses are due to the Committee by November 25, 2025. In developing its response, the Board considered feedback from its IFRS Interpretations Committee Member Support Group and 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 IFRS Foundation’s website.
Standards for Private Enterprises
Revenue – Control Model
The AcSB received an education session on the revised Section 23, Revenue from Contracts with Customers, issued in the third edition of the IFRS for SMEs Accounting Standard in February 2025. The revised Section 23 introduces a new revenue recognition model, which is a simplified version of the five-step model in IFRS 15 Revenue from Contracts with Customers.
The AcSB considered input from its Private Enterprise Advisory Committee, Not-for-Profit Advisory Committee, and Medium and Small Practitioners Advisory Committee, and discussed whether a similar recognition model in Part II of the CPA Canada Handbook – Accounting Standards for Private Enterprises (ASPE) would result in decision-useful information. The Board tentatively decided to add a research project to its future work plan to better understand the benefits and costs of a revised recognition model.
The AcSB will consider when to start this research project as part of its annual planning process.
Guidance Framework: Equity Method
The AcSB discussed and considered input from its Medium and Small Practitioners Advisory Committee and Private Enterprise Advisory Committee on a question raised regarding the application of the equity method to account for an interest in a jointly controlled enterprise in two different scenarios in accordance with Part II of the Handbook.
In the scenarios discussed, the parent, which is the reporting entity, uses the equity method to account for its interest in the jointly controlled enterprise. The jointly controlled enterprise is structured as a holding company with a fully owned subsidiary that holds the operations. In one scenario, the parent also has other subsidiaries that are consolidated, and in the second scenario, the parent has no other subsidiaries.
The question was whether the parent's application of the equity method to account for its interest in the jointly controlled enterprise requires the jointly controlled enterprise to consolidate its subsidiary. The Board considered the Committees’ feedback that they are not observing diversity in practice in these scenarios when applying the guidance in Section 3051, Investments.
Based on the Committees’ feedback, the AcSB concluded that the issue did not meet the criteria in the Guidance Framework; therefore, no further guidance is needed at this time to address the application question raised.
Standards for Not-for-Profit Organizations
Contributions
The AcSB discussed results of field-testing the preliminary proposals being considered as part of the Contributions – Revenue Recognition and Related Matters project. Overall, the Board received 23 responses from a variety of participants across Canada. The Board also discussed feedback from its Not-for-Profit Advisory Committee and made tentative decisions on the key issues identified through field-testing including:
- information conveyed by each recognition method and its purpose;
- classification of contributions toward an organization’s general mandate versus contributions designated for a specific purpose;
- recognition criteria for restricted contributions under the restricted fund method;
- repayable amounts of restricted and unrestricted contributions;
- issues that require professional judgment; and
- feedback that is out of scope.
The AcSB will discuss additional issues identified through field-testing with the Not-for-Profit Advisory Committee at a future meeting.
Standards for Private Enterprises and Not-for-Profit Organizations
Guidance Framework: Going Concern
The AcSB discussed and considered input from its Private Enterprise Advisory Committee, Not-for-Profit Advisory Committee, and Medium and Small Practitioners Advisory Committee regarding the implications of the revised Canadian Auditing Standard (CAS) 570, Going Concern, issued by the Auditing and Assurance Standards Board (AASB) in June 2025, to Parts II and III of the Handbook. The revised auditing standard requires auditors to request that management extend its going concern assessment period to at least 12 months from the date of approval of the financial statements.
To support consistent understanding, staff of the AcSB, AASB, and Public Sector Accounting Standards Board (PSAB) jointly issued a publication in June 2025 to alert management and auditors to the changes to the auditor’s expectation for management’s going concern assessment timeline.
Based on the Committees’ feedback, the AcSB assessed whether the criteria in its Guidance Framework were met to determine if additional guidance or standard setting is needed. The Board concluded that the issue did not meet the criteria and therefore no further action is needed at this time. However, it will continue to monitor developments following the effective date of the revised CAS 570 (periods beginning on or after December 15, 2026) and may revisit the need for additional guidance if circumstances change.
Governance
AcSB’s Annual Plan
As part of its annual planning process, the AcSB discussed a risk assessment and key risks it faces. The Board will continue discussions in December 2025 to develop its 2026-2027 Annual Plan, including evaluating its work plan for the upcoming fiscal year beginning on April 1, 2026.
AcSB’s Strategic Plan
The AcSB discussed a preliminary draft of its next strategic plan and directed staff to seek input from specific advisory committees on its potential strategies.
The AcSB will consider its advisory committees’ input and continue discussing an updated draft at its January 2026 meeting. 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
Agriculture Advisory Group
The AcSB received an update on the October 30, 2025, Agriculture Advisory Group meeting. At its meeting, the Group discussed issues raised through the Guidance Framework, including determining when there would be a change to the carrying amount of productive biological assets managed on a collective basis, measurement basis of productive biological assets, disclosure of productive biological assets, and certain application issues.
Not-for-Profit Advisory Committee
The AcSB received an update on the October 22, 2025, Not-for-Profit Advisory Committee meeting. At its meeting, the Committee discussed contributions, a Guidance Framework issue related to going Concern, financial statement concepts, and amendments to frameworks in other jurisdictions.
Private Enterprise Advisory Committee
The AcSB received an update on the October 28, 2025, Private Enterprise Advisory Committee meeting. At its meeting the Committee discussed financial statement concepts, a Guidance Framework issue related to the equity method, and amendments to frameworks in other jurisdictions.
User Advisory Committee and Academic Advisory Committee Joint Meeting
The AcSB received an update on the October 23, 2025, joint meeting of the User Advisory Committee and Academic Advisory Committee. At their meeting, the Committees discussed research on intangible assets; human capital disclosures and analyst forecasts; Segment Reporting: Research Findings and User Relevance; academic research on segment reporting; the International Accounting Standards Board's (IASB) Interim Project Prioritization, and the audit expectation gap related to the IASB’s Business Combinations – Disclosures, Goodwill and Intangibles project.