BCZ283 The IASB decided to maintain the disclosure of income tax expense or benefit allocated to each component of other comprehensive income. Users of financial statements often requested further information on tax amounts relating to components of other comprehensive income, because tax rates often differed from those applied to profit or loss. The IASB also observed that an entity should have such tax information available and that a disclosure requirement would therefore not involve additional cost for preparers of financial statements.
BCZ284 In the 2010 Exposure Draft the IASB proposed requiring that income tax on items presented in other comprehensive income should be allocated between items that will not be subsequently reclassified to profit or loss and those that might be reclassified, if the items in other comprehensive income are presented before tax. Most respondents agreed with this proposal as this would be in line with the existing options in IAS 1 (retained in IFRS 18)
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