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IFRS® Accounting Standards

Equity Method


The Accounting Standards Board (AcSB) is participating in the International Accounting Standards Board’s (IASB) Equity Method project, which aims to develop answers to application questions about the equity method, as set out in IAS 28 Investments in Associates and Joint Ventures, using the principles derived from IAS 28.

With this project, the IASB’s objective is not to change the basis for the recognition of investments in associates and joint ventures or replace the equity method with another method of accounting.

The AcSB’s due process includes ensuring that Canadian entities’ financial reporting needs are considered by the IASB and issuing the AcSB’s own exposure draft on each IASB proposal. Subject to the responses to the AcSB’s exposure draft on whether the IASB’s proposals are appropriate for application in Canada, the AcSB expects that the amendments will be incorporated into Canadian GAAP in accordance with the AcSB’s strategy of adopting IFRS® Accounting Standards for publicly accountable enterprises.

Staff Contact(s)

Matthew Bishop, CPA, CA Principal, Accounting Standards Board

Dominique Hamel, MSc, CPA Principal, Accounting Standards

Project Status

  • Information gathering

    Research activities to inform the scope of the project were completed in April 2022

    Information gathering activities to inform this project remain ongoing

  • Approving project

    The IASB moved its Equity Method project from its research programme to the standard-setting work plan in May 2023

    The IASB plans to publish an exposure draft of proposed amendments in the second half of 2024

  • Engaging Communities
  • Deliberating feedback
  • Final pronouncement

This project summary has been prepared for information purposes only. Decisions reported are tentative and reflect only the current status of discussions on this project, which may change after further Board deliberations. Decisions to publish Handbook material are final only after a formal voting process.