Target

1 Purpose of this standard IAS 8 consists in establishing criteria for selection and change accounting policy, together with the procedure for accounting for and disclosing information about changes in accounting policies, changes in accounting estimates and error corrections. This standard aims to improve the quality financial reporting entity with respect to the relevance, reliability and comparability of those financial statements over time and with the financial statements of other entities.

2 Disclosure requirements for accounting policies, other than those relating to changes in accounting policies, are set out in IAS 1 "Presentation of Financial Statements".

Scope of application

3 This Standard shall be applied in selecting and applying accounting policies and accounting for changes in accounting policies, changes in accounting estimates and adjustments for prior period errors.

4 Tax implications adjustments for prior period errors and retrospective adjustments made to apply changes in accounting policies are accounted for and disclosed in accordance with IAS 12 "Income Taxes".

Definitions

5 In this standard IAS 8 the following terms are used with the meanings indicated:

Accounting policyare the specific principles, bases, conventions, rules and practices adopted by an entity for the preparation and presentation of financial statements.

Change in accounting estimate is an adjustment to the carrying amount of an asset or a liability, or the amount of periodic consumption of an asset, that results from an assessment of the current position of the assets and liabilities and the expected future benefits and responsibilities associated with the assets and liabilities. Changes in accounting estimates arise as a result of new information or developments and, accordingly, are not error corrections.

International Financial Reporting Standards (IFRS) are the standards and interpretations adopted by the Board of the International Accounting Standards Committee (IASB). They consist of:

• (a) International Financial Reporting Standards (IFRS);
  
• (b) International Financial Reporting Standards (IAS); And
• (c) Interpretations developed by the International Financial Reporting Interpretations Committee (IFRIC) or the formerly Standing Interpretations Committee (SIC).

Essential- Omissions or misstatements of items are considered material if, individually or in the aggregate, they could influence the economic decisions of users taken on the basis of the financial statements. Materiality depends on the size and nature of the omitted information or misstatement assessed in the context of the circumstances. The size or nature of the article, or a combination of the two, may be a determining factor.

Errors of previous periods are omissions or misstatements in an entity's financial statements for one or more periods that result from the failure to use or misuse of reliable information that

• (a) was available when the financial statements for those periods were authorized for issue; And
• (b) could reasonably be expected to be obtained and considered in the course of preparing and presenting these financial statements.

Such errors include the results of mathematical miscalculations, errors in the application of accounting policies, inattention or misinterpretation of facts, and fraud.

Retrospective application is to apply a new accounting policy to transactions, other events and conditions as if that accounting policy had always been used in the past.

Retrospective restatement is an adjustment to the recognition, measurement and disclosure of amounts in the financial statements as if the prior period error had never occurred.

Almost impossible. It is practically impossible to apply a requirement when an enterprise cannot apply it despite all realistic attempts to do so. For certain prior periods, it is practically impossible to apply a change in accounting policy retrospectively or to recalculate retrospectively to correct an error if:

• (a) the effect of retrospective application or retrospective restatement cannot be determined;
  
• (b) retrospective application or retrospective restatement requires assumptions about whether
  what were the intentions of the management in that period; or
  
• (c) retrospective application or retrospective restatement requires significant estimates and it is not possible to objectively identify information about those estimates that
  
  • (i) provides details of the conditions that existed at the date(s) on which those amounts are to be recognized, measured or disclosed; And
    
  • (ii) would have been available when the financial statements for that period were authorized for issue, from other information.

Promising application changes in accounting policies and recognizing the effect of changes in accounting estimates, respectively, are:

• (a) the application of the new accounting policy to transactions, other events and conditions,
  taking place after the date on which the policy changed; And
  
• (b) recognizing the effect of a change in accounting estimates in the current and future periods,
  affected by the change.

6 Assessing whether an omission or misstatement of information could influence the economic decisions of users of financial statements, and therefore be material, requires consideration of the characteristics of those users. Item 25 " Concepts for the preparation and presentation of financial statements» indicates that “users are expected to have sufficient knowledge of the business and economic activity, accounting and a desire to study information with due diligence.” Therefore, the assessment needs to take into account how reasonably it can be assumed that the economic decisions of users with such characteristics will be influenced.

Accounting policy

Selecting and applying accounting policies

7 When a particular IFRS applies to a transaction, other event or condition, the accounting policy, or provisions thereof, applicable to that item shall be determined by applying that IFRS.

8 IFRS sets out accounting policies that, in the opinion of the IASB, result in financial statements that contain relevant and reliable information about transactions, other events and the conditions to which they apply. In cases where the effect of applying an accounting policy is not significant, its application is not mandatory. However, it is not acceptable to allow immaterial deviations from International Financial Reporting Standards (IFRS) or to leave such deviations uncorrected for the purposes of presenting financial position, financial performance or movement. Money businesses in a certain way.

IFRS 9 is accompanied by guidance to help entities apply the requirements of those standards. All such guidance documents indicate whether it is an integral part of IFRS. Guidance, which is an integral part of IFRS, is mandatory. The guidance, which is not an integral part of IFRS, does not contain financial reporting requirements.

10 In the absence of a specific IFRS applicable to a transaction, other event or condition, management shall use its judgment in developing and applying accounting policies to generate information that

• (a) relevant to users when making economic decisions; And
• (b) reliable in that the financial statements:
  • (i) fairly represent the financial position, financial results and cash flows of the entity;
  • (ii) reflects the economic substance of transactions, other events and conditions, and not just their legal form;
  • (iii) is neutral, that is, free from bias; (iv) is conservative; And
  • (v) is complete in all material respects.

11 In making the judgment described in paragraph 10, management shall refer to and consider the applicability of the following sources, in descending order:

• (a) IFRS requirements that address similar and related matters;
• (b) the definitions, recognition criteria and measurement concepts of assets, liabilities, income and expenses presented in Concepts.

12 In making the judgment described in paragraph 10, management may also consider the most recent regulations of other standard-setting bodies that use a similar framework for developing accounting standards, other accounting literature and industry accepted practice, to the extent that they do not contradict the sources in paragraph 11.

The sequence of accounting policies

13 An entity shall select and apply accounting policies consistently for similar transactions, other events and conditions, unless an IFRS specifically requires or permits the classification of items into categories for which different accounting policies may be appropriate. If any IFRS requires or permits such categorization, then appropriate accounting policies should be selected for each categorization and applied consistently.

Changes in accounting policy

14 An entity shall make changes to an accounting policy only if the change:

• (a) required by any IFRS; or
• (b) will result in the financial statements providing reliable and more relevant information about the effect of transactions, other events or conditions on the entity's financial position, financial performance or cash flows.

15 Users of financial statements need to be able to compare an entity's financial statements from different periods in order to identify trends in its financial position, financial results and cash flows. Thus, the same accounting policy is applied during each period and from one period to the next, unless a change in accounting policy meets one of the criteria in paragraph 14.

16 The following are not changes in accounting policy:

• (a) the application of an accounting policy for transactions, other events or conditions that are different in substance from transactions, other events or conditions that occurred in the past; And
• (b) applying a new accounting policy to transactions, events or conditions that did not previously occur or were immaterial.

17 Initial application of the asset revaluation policy under IAS 16 "Fixed assets" or IAS 38 "Intangible assets" is a change in accounting policy that is treated as a revaluation in accordance with IAS 16 or IAS 38 rather than in accordance with this Standard.

18 Paragraphs 19–31 do not apply to the changes in accounting policies described in paragraph 17.

Applying changes to accounting policies

19 Except as provided in paragraph 23:

• (a) an entity shall account for changes in accounting policies that result from the initial application of an IFRS in accordance with the specific transitional provisions, if any, in that IFRS; And
• (b) when an entity changes an accounting policy upon initial application of IFRSs that do not prescribe specific transitional provisions that apply to that change, or voluntarily changes an accounting policy, it shall apply the change retrospectively.

20 For the purposes of this Standard, early adoption of IFRSs is not a voluntary change in accounting policy.

21 In the absence of a specific IFRS that applies to a transaction, other event or condition, management may, in accordance with paragraph 12, apply the accounting policies from the most recent regulations of other standard-setting bodies that use a similar framework to develop accounting standards. If, following a change in such normative document, the entity decides to change an accounting policy, the change is accounted for and disclosed as a voluntary change in accounting policy.

Retrospective application

22 Except as required by paragraph 23, when a change in accounting policy is applied retrospectively in accordance with paragraph 19(a) or (b), an entity shall adjust the opening balance of each component of equity affected by the change for the earliest period presented and other comparatives disclosed for each prior period presented, as if the new accounting policy had always been applied.

Restrictions on retrospective application

23 When retrospective application is required by paragraph 19(a) or (b), a change in accounting policy shall be applied retrospectively, unless it is impracticable to determine the period-specific or cumulative effect of the change.

24 When it is impracticable to determine the effect of a change in accounting policy relating to a particular period on the comparative information of one or more prior periods presented, an entity shall apply the new accounting policy to the carrying amounts of assets or liabilities at the beginning of the earliest period for which retrospective application is practicable. and which may be the current period, and make appropriate adjustments to the opening balance of each affected component of equity for that period.

25 When it is impracticable to determine the cumulative effect at the beginning of the current period from the application of a new accounting policy to all prior periods, an entity shall adjust comparative information to apply prospectively the new accounting policy from the earliest date that application is practicable.

26 When an entity applies a new accounting policy retrospectively, it applies it to comparative information for prior periods as far back as practicable. Retrospective application to a prior period is practically impossible unless the determination of the cumulative effect on the amounts in the statement of financial position both at the beginning and at the end of the period is not practicable. The amount of the adjustment relating to periods before those presented in the financial statements is credited to the opening balance of each affected component of equity in the earliest period presented. Usually retained earnings are adjusted. However, the adjustment may also relate to another component of equity (for example, to comply with the requirements of an IFRS). Any other information about prior periods, such as summaries of financial information for prior periods, is also adjusted back as many periods as is practicable.

27 When it is impracticable for an entity to apply a new accounting policy retrospectively because it cannot determine the cumulative effect of applying an accounting policy over all prior periods, in accordance with paragraph 25 the entity applies the new accounting policy prospectively from the earliest period from which the application would be practicable. . Therefore, the entity does not account for the portion of the cumulative adjustment to assets, liabilities and equity that arises before that date. A change in accounting policy is permitted even if the prospective application of the policy for any prior period is impracticable. When applying the new accounting policy to one or more prior periods is impracticable, the provisions of paragraphs 50–53 apply.

Information disclosure

28 If the initial application of an IFRS has an impact on the current or prior period, would have such an impact, except where it is impracticable to determine the amount of the adjustment, or could have an impact on future periods, an entity shall disclose:

• (a) the title of that IFRS;
• (b) where applicable, the fact that changes in accounting policies are made in accordance with the transitional provisions of this IFRS;
• (c) the nature of the change in accounting policy;
• (d) where applicable, a description of the transitional provisions;
• (e) where applicable, transitional provisions that may have an impact on future periods;
• (f) the amount of the adjustment for the current period and for each period presented, to the extent practicable:
  • (ii) for basic and diluted earnings per share if IAS 33 "Earnings per share" applies to the enterprise;
• (g) the amount of the adjustment relating to periods prior to those presented, to the extent practicable; And
• (h) if the retrospective application required by paragraph 19(a) or (b) is impracticable for a particular prior period or periods before those presented, the circumstances that led to the existence of such a condition and a description of how and from when the change was applied in accounting policies.

29 If a voluntary change in accounting policy affects the current period or a prior period, would have an effect in that period, except to the extent that it is impracticable to determine the amount of the adjustment, or could have an effect in future periods, an entity shall disclose:

• (a) the nature of the change in accounting policy;
• (b) the reasons why applying the new accounting policy provides reliable and more relevant information;
• (c) the amount of the adjustment for the current period and for each period presented, to the extent practicable:
  • (i) for each financial statement item affected by the error; And
• (d) the amount of the adjustment relating to periods before those presented, to the extent practicable; And
• (e) if retrospective application is impracticable for a particular prior period or periods before those presented, the circumstances that led to the existence of that condition and a description of how and from when the change in accounting policy was applied.

This disclosure is not required to be repeated in the financial statements of subsequent periods.

30 Where an entity has not started applying a new IFRS that has been issued but is not yet effective, it shall disclose:

• (a) that fact; And
• (b) known or reasonably estimable information that is relevant to assessing the likely effect of applying the new IFRS on the entity's financial statements in the period of initial application.

31 Paragraph 30 requires an entity to consider disclosing:

• (a) the name of the new IFRS;
• (b) the nature of the forthcoming change or changes in accounting policies;
• (c) the date from which the application of IFRSs is required;
• (d) the date from which the entity plans to initially apply IFRSs; And
• (e) do one of two things:
  • (i) discussing the expected impact of the initial application of IFRSs on the entity's financial statements; or
  • (ii) statements that such impact is unknown or cannot reasonably be estimated.

Changes in accounting estimates

32 As a result of uncertainties inherent in economic activity, many financial statement items cannot be measured accurately, but can only be estimated on the basis of a calculation. Estimates involve judgments based on the most recent, available and reliable information. For example, estimates may be required:

• (a) bad debts;
• (b) inventory obsolescence;
• (c) fair value financial assets or financial obligations;
• (d) the useful lives or expected pattern of consumption of future economic benefits embodied in depreciable assets; And
• (e) warranties.

33 The use of sound accounting estimates is an important part of the preparation of financial statements and does not reduce their reliability.

34 An estimate may need to be revised if the circumstances on which it was based change or as a result of new information or experience. By its nature, the revision of an accounting estimate is irrelevant to prior periods and does not constitute an adjustment to an error.

35 The applied change in the basis of measurement is a change in accounting policy and not a change in an accounting estimate. When it is difficult to distinguish a change in accounting policy from a change in an accounting estimate, it is treated as a change in an accounting estimate.

36 The effect of a change in an accounting estimate, other than a change to which paragraph 37 applies, shall be recognized prospectively by including in profit or loss:

• (a) the period in which the change took place, if it only affects that period; or
• (b) the period in which the change took place and future periods if it affects both that period and future periods.

37 To the extent that changes in accounting estimates cause changes in assets and liabilities or relate to an equity item, changes in accounting estimates shall be recognized by adjusting the carrying amount of the related asset, liability or equity item in the period of change.

38 Prospective recognition of the effect of a change in an accounting estimate means that the change is applied to transactions, other events and conditions from the date of the change in the estimate. A change in an accounting estimate can only affect profit or loss in the current period or current and future periods. For example, a change in an estimated amount of bad debts affects profit or loss in the current period only and is therefore recognized in the current period. However, a change in the estimated useful life or the expected pattern of consumption of the economic benefits embodied in a depreciable asset affects the depreciation expense in the current period and in each future period of the asset's remaining useful life. In both cases, the effect of the change relating to the current period is recognized as income or expense in the current period. The effect of the change on future periods, if any, is recognized as income or expense in those future periods.

Information disclosure

39 An entity shall disclose the nature and amount of changes in accounting estimates that have an effect in the current period, or those that are expected to have an effect in future periods, except to disclose the effect for future periods when it is impracticable to estimate the effect.

40 If the magnitude of the impact on future periods is not disclosed because the estimate is not practicable, an entity shall disclose that fact.

Mistakes

41 Errors can occur in recognizing, measuring, presenting or disclosing elements of financial statements. Financial statements do not comply with International Financial Reporting Standards (IFRS) if they contain material or immaterial errors committed in order to achieve a certain presentation of the entity's financial position, financial results or cash flows . Potential current period errors discovered in the same period are corrected before the financial statements are authorized for issue. However, sometimes material errors remain undetected until subsequent periods, at which time prior period errors are corrected in the comparative information presented in the financial statements for that subsequent period (see paragraphs 42–47).

42 Except as required by paragraph 43, an entity shall retrospectively correct material prior period errors in the first set of financial statements authorized for issue after they are discovered by:

• (a) restate comparatives for the prior period(s) presented in which the error occurred; or
• (b) if the error was made before the earliest period presented, restating the opening balances of assets, liabilities and equity for the earliest period presented.

Restrictions on retrospective restatement

43 A prior period error shall be corrected by retrospective restatement, except where it is not practicable to determine the effect attributable to a particular period or the cumulative effect of the error.

44 When it is not practicable to determine the effect of a period error on comparative information for one or more of the periods presented, an entity shall restate the opening balances of assets, liabilities and equity for the earliest period for which retrospective restatement is practicable (that period may be the current period). ).

45 When it is not practicable to determine the cumulative effect of an error over all prior periods as at the beginning of the current period, an entity shall restate comparative information to correct the error prospectively from the earliest date practicable.

46 An adjustment to a prior period error is not included in profit or loss for the period in which the error is discovered. Any prior period information presented, including historical summaries of financial information, is restated as far back as practicable.

47 When it is impracticable to determine the amount of an error (for example, an error in applying an accounting policy) for all prior periods, paragraph 45 requires an entity to restate comparative information prospectively from the earliest date practicable. Therefore, the entity does not account for the portion of the cumulative translation of assets, liabilities and equity that arises before that date. When it is not practicable to correct the error for one or more prior periods, the provisions of paragraphs 50–53 apply.

48 A distinction should be made between adjustments to errors and changes in accounting estimates. The latter are, by their nature, approximations that may need to be revised as more information becomes available. For example, other income or loss recognized as a result of the outcome of a contingent business event is not an adjustment for an error.

Disclosure of prior period errors

49 In applying paragraph 42, an entity shall disclose:

• (a) the nature of the prior period error;
• (b) the amount of the adjustment for each of the prior periods presented, to the extent practicable:
  • (i) for each financial statement item affected by the error; And
  • (ii) for basic and diluted earnings per share, if IAS 33 applies to the entity;
• (c) the amount of the adjustment at the beginning of the earliest period presented; And
• (d) if retrospective restatement is impracticable for a particular prior period, the circumstances that led to the existence of the condition and a description of how and from when the error was corrected.

This disclosure is not required to be repeated in the financial statements of subsequent periods.

Practical impossibility of retrospective application and retrospective restatement

50 In some circumstances, it may not be practical to adjust comparative information for one or more prior periods to achieve comparability with the current period. For example, the information was not collected in the prior period(s) in such a way that a new accounting policy could be applied retrospectively (including applying it prospectively to prior periods for the purposes of paragraphs 51–53) or restated retrospectively to correct for a prior period error, and restoring the information may be almost impossible.

51 Estimates often need to be made when applying accounting policies to recognized or disclosed elements of financial statements regarding transactions, other events or conditions. The estimation process is inherently subjective and such estimates may change after the end of the reporting period. Making estimates is potentially more difficult when applying an accounting policy retrospectively, or retrospectively restating to adjust for a prior period error, due to a longer period of time that may have elapsed since the affected transaction, other event or condition. However, the purpose of estimates that relate to prior periods remains the same as for current period estimates, i.e. to reflect in the estimate the circumstances that existed when the transaction, other event or condition occurred.

52 Thus, applying a new accounting policy retrospectively or adjusting a prior period error requires distinguishing between information

• (a) that provides evidence of conditions that existed on the date(s) on which the transaction, other event or condition occurred; And
• (b) would have been available when the financial statements for that period were authorized for issue, from other information.

For a particular type of estimate (for example, a fair value measurement that is not based on an observed price or observable variables), it is practically impossible to distinguish between these types of information. If retrospective application or retrospective restatement requires a significant accounting estimate for which it is not possible to distinguish between these types of information, then applying a new accounting policy or adjusting a prior period error retrospectively is practically impossible.

53 Later information about past events shall not be used in applying a new accounting policy to a prior period or adjusting a prior period amount to determine assumptions about management's prior period intentions or to make estimates of amounts recognized, measured or disclosed in a prior period. For example, when an entity corrects a prior period error in measuring financial assets previously classified as held-to-maturity investments in accordance with IAS 39 Financial Instruments: Recognition and Measurement , it does not change the basis of their measurement for that period if management subsequently decides not to hold the assets to maturity. In addition, when an entity corrects a prior period error in calculating the accrued sick leave liability in accordance with IAS 19 Employee Benefits , it does not take into account information about the next period's unusually strong influenza season that becomes known after the prior period's financial statements have been authorized for release. The fact that significant estimates are often required when making changes to prior period comparative information presented does not preclude reliable adjustments or adjustments to the comparative information.

Effective date

54 An entity shall apply this Standard for annual periods beginning on or after 1 January 2005. If an entity applies this Standard for a period beginning before 1 January 2005, it shall disclose that fact.

Termination of other documents

55 This Standard replaces IAS 8 « Net profit or loss for the period, fundamental errors and changes in accounting policies” as amended in 1993

56 This Standard supersedes the following interpretations:

• (a) RCC (SIC) - 2 Consistency - capitalization of borrowing costs; And
• (b) RCC (SIC) - 18 "Sequence - Alternative Methods".

EXAMPLE - Adjustments: no balance sheet at the beginning of the reporting period

In the previous reporting period, you charged borrowing costs as period expenses, but now you must capitalize them in accordance with IAS 23 as a result of the amendment to IAS 23 (IAS 23).

available to you accounting registers only for the last 3 years, but for the earliest reporting period the necessary analytical data are not available.

Adjustments should be limited to the last 2 years because you cannot get a detailed balance sheet at the beginning of the earliest reporting period.

Information disclosure

Disclosure of information is mandatory when making changes to the accounting policy, namely:

The essence and reasons for making changes are revealed;

The amount of adjustments for the current period and for all periods presented;

The amount of adjustments relating to prior periods and (if applicable)

Facts confirming that retrospective application is considered inappropriate, indicating the rationale.

Where the initial application of IFRSs has an impact on current, past or future period financial statements, disclose the following information:

1. name of the relevant standard;

2. that the changes in accounting policies have been made in accordance with the temporary transitional rules, and (if applicable) a description of them;

3. the essence of the change in accounting policy;

4. impact on the present and future.

EXAMPLE - temporary transitional rules that affect future accounting data

You decide to revalue a property that was previously measured at cost. The increase in value as a result of the revaluation will lead to an increase in depreciation expenses in the current and future reporting periods. You should make the appropriate calculations and give explanations in the notes.

Show:

5. adjustments for each item in the financial statements for the current reporting period and for each previous period;

6. adjustments to earnings per share (if necessary);

7. how and when changes in accounting policies were made - if retrospective application is not feasible.

8. the amount of adjustments relating to periods prior to those periods, to the extent considered appropriate;

EXAMPLE - retrospective adjustments

You change your accounting policy intangible assets. In order to adjust the indicators for the last 7 years, apply it retrospectively. In your financial statements, you only present figures for 5 years. You justify in detail the reasons for the changes and characterize their impact on the reporting indicators for the 2 years preceding the five presented.

9. reasons for voluntary changes in accounting policies based on the need to provide more reliable and relevant information.

Financial statements for subsequent periods should not repeat the disclosures already made.

Where the initial application of IFRSs has an impact on current, past or future financial statements, but it is considered impractical to determine the amount of the adjustments made, the bank should disclose the following information:

1. the essence of the change in accounting policy;

2. justification that changes in accounting policies contribute to the provision of more reliable and relevant information;

3. for the current period and for each previous period, to the extent possible, indicate the amount of adjustments:

i. for each line in the financial statements affected by these changes;

ii. in the case of applying IAS 33 in this bank, basic and diluted earnings per share;

4. the amount of adjustments relating to periods prior to those periods, to the extent considered appropriate;

5. If retrospective application is considered inappropriate for a single period or for several prior prior periods, then indicate the circumstances that led to the existence of these conditions, describing how and since when the changes in accounting policies began to apply.

When a new standard or interpretation is issued that already applies but is not yet effective, disclose information about the possible impact of applying it for the first time in the future.

EXAMPLE - The standard is not yet effective - 1

A new Standard has been issued and will become effective in 2XX8. You choose not to use it in your 2007 financial statements. However, in the financial statements for 2XX7 you will be required to disclose information about possible consequences its future application in 2XX8.

Disclose the following information at your discretion:

1. the nature of the upcoming changes in accounting policies;

2. the effective date of the Standard and its interpretation and the date from which compliance with its requirements becomes mandatory;

3. Discussing the implications of applying the Standard and interpreting it, or pointing out that those effects are not known.

EXAMPLE - The standard is not yet effective - 2 An accounting policy should only change if: i) it is required by the standard and its interpretation; or ii) the changes will make the financial statements more reliable and up-to-date in relation to business transactions, events or other conditions on the financial position, results and cash flow jar. The IASB issues revised standards in 20X3 to be applied in preparing financial statements for periods beginning on or after 1 January 20X5. Earlier application of these standards is encouraged. Is it possible to earlier apply some, but not all of these standards? Other information Bank X's management plans to adopt some, but not all, of the revised standards in the preparation of its financial statements for 20X3. The financial statements of Bank X will be issued in July 20X4. Solution Yes. Since there is no requirement to accept these improvements as a single package. The Bank's management has the right to choose which standards to apply before others. In this case, all changes made to a single standard must be applied simultaneously. It does not allow the adoption of individual elements within the same standard. The selective adoption of certain standards may adversely affect the credibility of the bank's management and the organization as a whole. Each Standard is considered separately. Changes in accounting policies should be made in accordance with IAS 8. In accordance with IAS 8, banks that have not adopted the new Standard and Interpretations must disclose that fact and known information, or information that can be reliably estimated, in relation to an assessment of the possible impact of this new Standard or interpretations to it on the data of the financial statements for the period of its initial application.

Retrospective application is the application of a new accounting policy as if it had always been applied, and not from the moment it was included in the accounting policy.

Retrospective application involves adjusting the opening balances of each affected component equity for the earliest prior period and other relevant amounts disclosed for each prior period presented in the financial statements, as if the new accounting policy had always been applied.

When it is not practicable to determine period-specific aspects of the effect of changes in accounting policies on comparative information covering one or more prior periods presented, an entity is required to apply the new accounting policy to the carrying amounts of assets and liabilities at the beginning of the earliest period, for which retrospective application is practicable, which may be the current period, and is required to make an appropriate adjustment to the opening balance of each affected component of equity for that period.

The amount of the resulting adjustment relating to periods prior to those presented in the financial statements is applied to the opening balance of each affected component of equity for the earliest period presented. Usually the adjustment is made in relation to retained earnings

When at the beginning of the current period it is impracticable to determine the cumulative effect of applying a new accounting policy over all prior periods, an entity is required to adjust the relevant comparative information to apply the new accounting policy prospectively from the earliest date practicable.

In case of voluntary changes in accounting policies, in addition (to those indicated above), it is necessary to disclose the reasons why the application of the new accounting policy provides more reliable and reliable information.

When a new Standard (or Interpretation) is issued that is not yet effective, an entity shall disclose what is known or reasonably expected to be affected by its adoption on the entity's financial statements on first application.

1. Changes in accounting estimates

Evaluation involves professional judgment based on the most recent information available. For example, an estimate may be required to determine the amount of bad debts, inventory obsolescence, the fair value of financial assets or liabilities, the useful lives of depreciable assets, and the amount of warranty liabilities.

An estimate may be revised if the circumstances on which it was based change or as a result of new information or experience. By its nature, revisions of estimates are not prior period related and do not constitute a correction of an error.

A change in the basis of an estimate is treated as a change in accounting policy and not a change in the estimate itself.

If it is difficult to distinguish between a change in an accounting policy and a change in an estimate, then the adopted change is treated as a change in the estimate.

The result of a change in an accounting estimate should be recognized promising by including it in profit or loss:

 in the period in which the change occurred, if the change only affects that period (for example, a change in the estimated amount of bad debts); or

 in the periods in which the change occurs, and in future periods if it affects both periods (for example, a change in the estimated useful life of a depreciable asset that will affect not only depreciation amounts in the current period, but also in future periods).

Information disclosure:

The nature and amount of a change in an estimate should be disclosed unless the effect cannot be determined, and the entity should state the reasons why the information cannot be disclosed.

How to reflect changes in accounting policies in the financial statements, if the recalculation for past periods can be carried out with sufficient reliability?

In the organization, changes are made to the accounting, they are associated with a change in the order in which leasing payments are reflected. Prior to the amendment, payments were recognized as accounts receivable and expensed when certain events occur. After changes are made, such payments are immediately recognized as an expense.

Should the amounts recorded in receivables at the beginning of the period (cumulative over 4 years) need to be recalculated if, after that date, such amounts should be expensed in the period incurred?

After reviewing, we came to the following conclusion:

Since in this situation, changes in accounting policies are made by the organization on its own initiative (i.e., not caused by new legal requirements), the retrospective method of reflecting the consequences of changes in accounting policies should be applied - it is necessary to recalculate the data of previous financial periods, as if the new rules accounting have been applied since the beginning of the company's activities. Note that the use of the retrospective method is the most preferable, since it allows to ensure the comparability of financial statements.

Retrospective reflection of the consequences of a change in accounting policy consists in adjusting the opening balance of the item "Retained earnings (uncovered loss)" for the earliest presented in the period (to the extent practicable, taking into account appropriateness), as well as the values ​​of related items financial statements disclosed for each period presented in the financial statements. The articles of each of the forms included in the financial statements are subject to retrospective recalculation if they are related to the indicators of the adjusted incoming balance under the item "Retained earnings (uncovered loss)".

For example, when retrospectively reflecting the consequences of accounting policies in the financial statements of 2015, it is necessary to adjust the incoming balances of the following balance sheet items as of December 31, 2014 and December 31, 2013 - the item "Retained earnings (uncovered loss)" and the item that reflected accounts receivable in accordance with previous accounting policies.

Rationale for the conclusion:

In accordance with part 5 of Art. 8 federal law dated 06.12.2011 N 402-FZ "On Accounting" (hereinafter - Law N 402-FZ) accounting policy for accounting purposes is applied consistently from year to year. Changing the accounting policy is allowed in three cases (part 6 of article 8 of Law N 402-FZ and clause 10 PBU 1/2008 "Accounting policy of the organization" (hereinafter - PBU 1/2008)):

1) when changing requirements, legislation Russian Federation on accounting, federal and (or) industry standards;

2) when developing or choosing a new method of accounting, the use of which leads to an increase in the quality of information about the object of accounting;

3) with a significant change in the conditions of activity economic entity(associated with reorganization, change in activities, etc.).

Note that the application of a new method of accounting should provide more fair presentation facts of economic activity in the accounting and reporting of the organization or less laboriousness of the accounting process, without reducing the degree. The rationale for the change in accounting policy should be drawn up by the relevant organizational and administrative documentation (orders, instructions, etc.) of the organization (clause 8, 11 PBU 1/2008).

At the same time, the norms of PBU 1/2008 allow both prospective application of changes in accounting policies (when the changed accounting method is applied to the relevant facts of economic activity that occurred after the introduction of the changed method), and retrospective (i.e. changes in accounting for prior periods as if the new accounting policy had always been applied).

Restriction on the use of the prospective method of accounting for changes in accounting policies

The ability to apply the prospective method of reflecting the effects of changes in accounting policies is limited to the following cases:

When changes in accounting policies are associated with changes in the requirements established by the legislation of the Russian Federation on accounting, federal and (or) industry standards and the date of application of these changes or the transition period are established in these acts (clause 14 PBU 1/2008) or

When an assessment in monetary terms of the consequences of a change in accounting policy in relation to periods preceding the reporting period cannot be made with sufficient reliability (i.e., when retrospective application of the rules of the new accounting policy is practically impossible) (paragraph three, paragraph 15 of PBU 1/2008) .

In addition, a small business entity, except for the issuer of publicly placed valuable papers, has the right to reflect in the financial statements any consequences of a change in accounting policies prospectively, unless a different procedure is established by the legislation of the Russian Federation and (or) a regulatory legal act on accounting (clause 15.1 PBU 1/2008, clause 21 of Information dated 01.11. 2012 N PZ-3/2012).

In other cases, the retrospective method of reflecting the effects of changes in accounting policies should be used, since this method ensures the comparability of information presented in the financial statements.

Retrospective accounting for changes in accounting policies

In the situation under consideration, the change in accounting policy was not caused by a change in the legislation of the Russian Federation; therefore, when revising the method of recognizing expenses in the form of payments under leasing contracts, the organization must take into account the provisions of paragraph 15 of PBU 1/2008. At the same time, the organization must independently determine the need for a retrospective restatement of the consequences of a change in accounting policy, taking into account their materiality and the possibility of a reliable assessment. If it is possible to evaluate the indicators of previous reporting periods, and the consequences of making changes to the accounting policy are significant, then an adjustment should be made to the incoming balances for the relevant articles of the financial statements.

By virtue of paragraph 15 of PBU 1/2008, the consequences of a change in accounting policies that are not related to changes in the legislation of the Russian Federation and that have had or are able to have a significant impact on the financial position of the organization, financial results of its activities and (or) movement are reflected in the financial statements retrospectively, except for cases when a monetary estimate of such consequences for periods prior to the reporting period cannot be made with sufficient reliability.

When reflecting retrospectively the consequences of a change in accounting policy, it is assumed that the changed method of accounting has been applied since the occurrence of facts of economic activity of this type.

Retrospective reflection of the consequences of a change in accounting policy consists in adjusting the opening balance under the item "Retained earnings (uncovered loss)" for the earliest period presented in the financial statements (as far as practicable, taking into account expediency), as well as the values ​​of related items of financial statements disclosed for each the period presented in the financial statements, as if the new accounting policy had been applied since the occurrence of the facts of economic activity of this type.

Reflection in financial statements

Changes in accounting policies that have had or may have a significant impact on the financial position of the organization, the financial results of its activities and (or) cash flows are subject to separate disclosure in the financial statements (paragraph 16 of PBU 1/2008).

Note that the accounting legislation does not regulate the materiality criteria, so the organization should develop them independently and approve them in the accounting policy. One of the options for determining materiality may be the establishment by the organization of a certain percentage of the value of the variable balance sheet item to a group of items or the total for the balance sheet section.

When retrospectively recalculating financial statements indicators caused by a change in accounting policies, it is necessary to adjust the incoming indicators of items not only in the balance sheet, but also in other forms of financial statements related to changes in the incoming balance under the item "Retained earnings (uncovered loss)", in particular the report on financial results and the statement of changes in equity (clause 15 PBU 1/2008).

Note that the wording of paragraph 15 of PBU 1/2008 does not define specific forms of financial statements, the indicators of which are subject to adjustment.

By virtue of paragraph 1 of Art. 3 of the Federal Law of 06.12.2011 N 402-FZ "On Accounting" (hereinafter - Law N 402-FZ), accounting (financial) statements are understood as information on the financial position of an economic entity at the reporting date, the financial result of its activities and cash flows for the reporting period, systematized in accordance with the requirements established by Law N 402-FZ.

According to Part 1 of Art. 14 of Law N 402-FZ, the annual financial statements include:

Balance sheet;

Income statement;

applications for them.

In our opinion, the articles of each of the forms included in the financial statements are subject to retrospective recalculation if they are related to the indicators of the adjusted incoming balance under the item "Retained earnings (uncovered loss)".

According to paragraph 10 of PBU 4/99 "Accounting statements of the organization" (hereinafter - PBU 4/99), for each numerical indicator of financial statements, data must be provided for at least two years - reporting and preceding reporting. When evaluating the items of financial statements, the organization must ensure compliance with the assumptions and requirements provided for by PBU 1/2008 (clause 32 PBU 4/99).

The form of the balance sheet, approved in Appendix 1 to the order of the Ministry of Finance of Russia dated July 2, 2010 N 66n "On the forms of financial statements of organizations", provides for the reduction of numerical indicators for three years:

As of the reporting date of the reporting period;

Therefore, when retrospectively reflecting the consequences of accounting policies in the financial statements of 2015, it is necessary to adjust the opening balances of the balance sheet items as of December 31, 2014 and December 31, 2013.

A retrospective restatement of the results of the reclassification of lease payments will inevitably result in a restatement of comparatives in the income statement. Since the amount of net profit (uncovered loss) changes during retrospective recalculation, in the financial results it is necessary to recalculate the indicators of line 2400 "Net profit" for the period of the previous year (2014), similar to the reporting period of 2015, and related lines.

As regards applications for balance sheet, one of which is a statement of changes in equity, then the specified form, approved by Order N 66n, initially assumes the possibility of reflecting retrospective recalculation indicators due to changes in accounting policies, since it contains section 2 "Adjustments due to changes in accounting policies and correction of errors".

Disclosures about the impact of a change in accounting policy

In accordance with clause 21 of PBU 1/2008, in the event of a change in accounting policy, an organization must disclose the following information:

The reason for the change in accounting policy;

The procedure for reflecting the consequences of changes in accounting policies in the financial statements;

The amounts of adjustments associated with a change in accounting policy for each item of the financial statements for each of the periods, and if the organization is liable for profit per share, also according to basic and diluted earnings (loss) per share;

The amount of the corresponding adjustment relating to the reporting periods preceding those presented in the financial statements, to the extent that this is practicable.

At the same time, by virtue of clause 25 of PBU 1/2008, changes in accounting policies for the year following the reporting year are announced in explanatory note to the organization's financial statements.

Prepared answer:

Legal Consulting Service Expert GARANT

Or (b) a change in accounting policy must be applied retrospectively, unless it is impracticable to determine the effect of the change for a particular period or the cumulative effect of the change.

24 When it is not practicable to determine the effect of a change in accounting policy for a particular period on comparative information for one or more prior periods presented, an entity shall apply the new accounting policy to the carrying amounts of assets and liabilities at the beginning of the earliest period, for which retrospective application is practicable and which may be the current period, and make an appropriate adjustment to the opening balance of each affected component of equity for that period.

25 When it is impracticable to determine, at the beginning of the current period, the cumulative effect of applying a new accounting policy to all prior periods, an entity shall adjust comparative information to apply the new accounting policy prospectively from the earliest date from which application is practicable.

26 When an entity applies a new accounting policy retrospectively, it applies that accounting policy to comparative information for prior periods as far back as is practicable. Retrospective application to the prior period is not considered practicable if it is not practicable to determine the cumulative effect on the amounts in the statement of financial position at both the beginning and the end of the period. The amount of the related adjustment relating to periods prior to those presented in the financial statements is credited to the opening balance of each affected component of equity of the earliest prior period presented. Usually retained earnings are adjusted. However, the adjustment may also relate to another component of equity (for example, to comply with an IFRS). Any other historical information, such as historical summary financial data, is also adjusted as far back as practicable.

27 When it is not practicable for an entity to apply a new accounting policy retrospectively because it cannot determine the cumulative effect of applying that policy over all prior periods, the entity, in accordance with paragraph 25, applies the new accounting policy prospectively from the very beginning. early period for which application is practicable. Therefore, the entity does not account for the portion of the cumulative adjustment to assets, liabilities and equity that arose prior to that date. A change in accounting policy is permitted even if it is impracticable to apply that policy prospectively for any prior period.