IFRS® Standards

Exposure Draft, Accounting Policies and Accounting Estimates (Proposed amendments to IAS 8)

Summary

The Accounting Standards Board (AcSB) proposes, subject to comments received following exposure, to incorporate into Part I of the CPA Canada Handbook – Accounting, amendments to IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors.

Staff Contact(s)

Rebecca Villmann, CPA, CA, CPA (Illinois)

Director, Reporting Initiatives and Research

Background

The International Accounting Standards Board (IASB) recently issued an Exposure Draft, Accounting Policies and Accounting Estimates (Proposed amendments to IAS 8, that is available on the IASB website at www.ifrs.org. The proposed amendments help to distinguish between accounting policies and accounting estimates by clarifying that accounting estimates are judgments and assumptions used in applying an accounting policy when an item cannot be measured with precision.

The IASB’s Exposure Draft includes proposed amendments to the guidance on implementing IAS 8, and a Basis for Conclusions, that are not part of this Exposure Draft. This material may provide useful information to stakeholders.