IASB published a revised Conceptual Framework

On 29 March 2018, the IASB published a revised Conceptual Framework and accompanying material.

The revised Conceptual Framework primarily serves the IASB as the conceptual basis for developing IFRS Standards and Interpretations. The revised Conceptual Framework should also assist preparers of IFRS financial statements in developing accounting policies when no IFRS Standard or Interpretation applies to a particular transaction.

The revision of the Conceptual Framework mainly focused on a new chapter on measurement of assets and liabilities, guidance on reporting financial performance, revised definitions of an asset and a liability, and clarifications of the role of stewardship and the concept of prudence in context of the objective of IFRS general purpose financial reporting.

Because some IFRS Standards and Interpretations contain cross-references directly to the Conceptual Framework, the IASB also published an update of those cross-references. However, the IASB did not update all cross-references to the revised Concept Framework in existing IFRS Standards and Interpretations mainly for the reason that the IASB did not intend to make significant changes to the requirements of existing IFRS Standards containing those cross-references. Therefore some IFRS Standards refer to the revised Conceptual Framework while other IFRS Standards retain cross-reference to the prior version of the Conceptual Framework.

The updated cross-references in IFRS-Standards and Interpretations shall be applied for annual periods beginning on or after 1 January 2020. Earlier application is permitted if amendments to all cross-references are applied at the same time.