BC3 Before the Improvements to IFRSs issued in May 2008, IAS 41 used the term 'point‑of‑sale costs'. This term was not used elsewhere in IFRSs. The term 'costs to sell' is used in IFRS 5 Non‑current Assets Held for Sale and Discontinued Operations and IAS 36 Impairment of Assets. The Board decided that 'point‑of‑sale costs' and 'costs to sell' meant the same thing in the context of IAS 41. The word 'incremental' in the definition of 'costs to sell' excludes costs that are included in the fair value measurement of a biological asset, such as transport costs. It includes costs that are necessary for a sale to occur but that would not otherwise arise, such as commissions to brokers and dealers, levies by regulatory agencies and commodity exchanges, and transfer taxes and duties. Both terms relate to transaction costs arising at the point of sale.
BC4 Therefore, the Board decided to replace the terms 'point‑of‑sale costs' and 'estimated point‑of‑sale costs' with 'costs to
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