BC90 In revising IAS 36, the Board considered the requirement in the previous version of IAS 36 for:
(a) income tax receipts and payments to be excluded from the estimates of future cash flows used to measure value in use; and
(b) the discount rate used to measure value in use to be a pre‑tax rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the future cash flow estimates have not been adjusted.
BC91 The Board had not considered these requirements when developing the Exposure Draft. However, some field visit participants and respondents to the Exposure Draft stated that using pre‑tax cash flows and pre‑tax discount rates would be a significant implementation issue for entities. This is because typically an entity’s accounting and strategic decision‑making systems are fully integrated and use post‑tax cash flows and post‑tax discount rates to arrive at present value measures.
BC92 In considering this issu
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