Background
BCZ26 The IASB was informed at the Discussion Forum on Financial Reporting Disclosure it hosted in January 2013, through feedback on the amendments to IAS 1 in the 2014 Exposure Draft Disclosure Initiative, the 2017 Discussion Paper Disclosure Initiative - Principles of Disclosure, and from other sources, that entities experience difficulties in making materiality judgements when preparing financial statements.
BCZ27 The feedback indicated that difficulties in making materiality judgements are generally behavioural rather than related to the definition of 'material'. That feedback indicated that some entities apply the disclosure requirements in IFRS Accounting Standards mechanically, using them as a checklist for disclosures in their financial statements, rather than applying their judgement to determine what information is material. Some entities have said that it is easier to use a checklist approach than to apply judgement because of management resource constraints, and
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