This 60-minute live IFRS webcast provides an overview of the impairment model under IAS 36 and consideration of each of the steps in the IFRS impairment test. of Professional Practice, KPMG US +1 212-954-6442 ‹ › Required fields. Improving impairment disclosures for non-financial assets 06 November 2019 In October 2019, the FRC published a thematic review of impairment disclosures provided by a sample of listed companies. applies to a variety of non-financial assets including property, plant and equipment, right-of-use assets, intangible assets and goodwill, investment properties measured at cost and investments in associates and joint ventures. Requirements for PPE Ind AS 36, Impairment of Assets is applied to the individual assets. Review the publication … Kevin Manson. This publication provides an overview of the implications and includes a list of helpful resources to support you as you navigate your impairment assessment. Impairment of Non-Financial Assets ; Public Sector Accounting Standards. 23 October 2020 (Friday), 9am. Updated: FAQs on the impairment of goodwill and long-lived assets as a result of COVID-19. Non-financial assets, often significant company assets, provide vital information on a range of company valuation and performance metrics for investors. Non-financial assets Impairment under IAS 36 Impairment of assets Many businesses will have to consider the potential impairment of non-financial assets. This webcast also highlights some of the key differences between IFRS and US GAAP related to impairment … Download now ‹ › Required fields. property, plant & equipment, investment properties, biological assets) be tested for impairment when there is an indication of impairment at the reporting date. Examples of such events are given in Appendix A to IFRS 9 in the definition of credit-impaired financial assets and include significant financial difficulty of the borrower and breach of contract terms (e.g. ASIC releases guidance on impairment of non-financial assets. A financial asset is credit-impaired when one or more events that have a detrimental impact on the estimated future cash flows of that financial asset have occurred. On April 28, 2020, the Accounting Standards Board (AcSB) released a publication on the implications of COVID-19 on the impairment of non-financial assets. The KPMG IFRS Institute is pleased to announce a webcast on Thursday, October 8, Refresh on Impairment of non-financial assets. 2 [IAS 36.2, 4] IAS 36 requires goodwill and indefinite-lived intangible assets to be tested for Email Me. Impairment can occur as the result of an unusual or one-time event, such as a change in legal or economic conditions, change in consumer demands, or damage that impacts an asset. Particularly where prior period cash flow … Currently, there is a lack of Canadian guidance on the impairment of non-financial assets that have service potential. Accounting for Impaired Assets . This webcast also highlights some of the key differences between IFRS and US GAAP related to impairment … If there is an indication of impairment, or at least annually, all indefinite life intangible assets and goodwill are assessed for impairment unless stated otherwise. Furthermore, an assessment is made at every balance sheet date to determine whether there are any indications that the asset could be impaired. The implications brought on by COVID-19 could have a significant impact on performance and future cashflow of business assets. ASPE - IFRS: A Comparison | Impairment of Non-Financial Assets 4 Under ASPE, testing for impairment is a two-step process: Compare the carrying value of the asset group to the expected undiscounted cash flows. Where there are indicators of impairment, an impairment review will be required. Intangible assets that have an indefinite useful life, such as goodwill, are not amortized on a scheduled basis, but are subjected to an annual impairment test. Furthermore, impairment continues to be an area of concern for regulators as they push for increased transparency in disclosures. Non-financial assets Impairment under AASB 136 Impairment of assets Many businesses will have to consider the potential impairment of non-financial assets. Assets … It has conducted a Thematic Review - Impairment of non-financial assets to look at compliance with the disclosure requirements in IFRS and commentary in the strategic report. Impairment of non-financial assets Apr 28, 2020. Nick Burgmeier. 10/14/2020 12 INTANGIBLE ASSETS • Cash flows and assumptions are reasonable having regard to matters such as historical cash flows, economic and market conditions, and funding costs. The review identified instances of better practice but also a number of common disclosure omissions and opportunities to clarify and enhance disclosures. Overview; Project Listing; Documents for Comment; Effective Dates for New Standards; Plain Language Resources; Back to projects Impairment of Non-Financial Assets Summary. Property, plant and equipment of $25,000 is made up of $12,000 which relates to the core Department which is the result of assets impaired through the physical stocktake and $13,000 for the TGA. For 30 June 2017 financial reports, directors and audit committees should be referring to ASIC’s Information Sheet 203 Impairment of non-financial assets: Materials for directors to assist when considering the value of non-financial assets in the company’s balance sheet.. 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