A practical guide to implementing IFRS 11 – Joint Arrangements
Clearly IFRS: A practical guide to implementing IFRS 11 – Joint Arrangements is a resource intended to assist you in kick-starting your International Financial Reporting Standard (IFRS) adoption efforts and implementation of the standard. Featured in the guide are tools such as steps to implementation designed to help your organization make your adoption of the standard a seamless and easy one.
With the IFRS adoption process fairly recently completed, Canadian entities may be surprised by the number of significant new IFRSs that are
effective in 2013. IFRS 11 is a new standard and supersedes IAS 31 Interests in Joint Ventures (“IAS 31”) and SIC-13 Jointly-Controlled Entities – Non-Monetary Contributions by Venturers (“SIC-13”).The primary goal behind the new standard was to arrive at an accounting treatment which accurately reflects the true nature of the economic interest held by an entity.
IFRS 11: learn about the changes
The existing policy choice under IAS 31 for jointly-controlled entities is replaced by a requirement to account for an interest depending on the nature of your rights and obligations under a joint arrangement. Under IFRS 11, the individual assets and liabilities within a jointly-controlled vehicle are not recognized in the financial statements of a party with joint control unless the rights and obligations for those assets and liabilities do in fact reside with the parties to the arrangement, rather than with the vehicle. For those entities previously using proportionate consolidation with joint arrangements that do not use a separate vehicle, the changes (and there are some) will be more limited.
To learn more, download the full guide.