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Version date: 12 May 2020 - onwards
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Scope (paras. BC18-BC19)

(paragraph 68A)

BC18 Some respondents to the Board’s draft amendments asked the Board to expand the scope of the project to clarify other aspects of the onerous contract requirements in IAS 37, such as:

(a) measuring onerous contracts - whether an entity would consider the same costs in measuring a provision for an onerous contract as it would consider in assessing whether that contract is onerous.

(b) selecting a unit of account - whether, and if so when, an entity should combine groups of similar contracts or segment contracts into components when applying the onerous contract requirements.

BC19 The Board decided not to consider other aspects of the onerous contract requirements in IAS 37 because doing so would have prolonged the project, delaying the issue of amendments regarded as urgent (see paragraph BC1(b)). The amendments therefore do not change the requirements in IAS 37 beyond clarifying the costs an entity is required to include in assessing whether a contract is onerous.

Comparing proposed amendment...