I will be going through the exposure draft of the revised IAS 39 (AASB 139 in Australia) and the relevant Basis for Conclusions over the next day or so, but on first impressions it is a distinct improvement on the old, unduly complex, standard. Those who like their accounting updates a little shorter and sweeter, try the Snapshot version.
The cut in the number of categories from four (fair value through income statement, fair value through equity, held to maturity and amortised cost) to two (fair value through income statement and amortised cost) should reduce complexity. The use of the holder’s intent as the basis for accounting for the holding should also be a good step.
As they say, though, the devil is in the detail, so I will read through it. Unlike the old one (at close to 200 pages) this one is only short, at 37 pages plus the BC at 27, so I hope to have a measured response in a day or so.
1 comment
16 July, 2009 at 08:00
Andrew
One Impairment measurement would be interesting