36 The significance of the benefit in the above examples may be such that disclosure of the nature, extent and duration of the assistance is necessary in order that the financial statements may not be misleading.EY Q&A37 [Deleted]38 In this Standard, government assistance does not include the provision of infrastructure by improvement to the general transport and communication network and the supply of improved facilities such as irrigation or water reticulation which is available on an ongoing indeterminate basis for the benefit of an entire local community.Disclosure39 The following matters shall be disclosed:(a) the accounting policy adopted for government grants, including the methods of presentation adopted in the financial statements;(b) the nature and extent of government grants recognised in the financial statements and an indication of other forms of government assistance from which the entity has directly benefited; and(c) unfulfilled conditions and other contingencies attaching to government assistance that has been recognised.Transitional provisions40 An entity adopting the Standard for the first time shall:(a) comply with the disclosure requirements, where appropriate; and(b) either:(i) adjust its financial statements for the change in accounting policy in accordance with IAS 8; or(ii) apply the accounting provisions of the Standard only to grants or portions of grants becoming receivable or repayable after the effective date of the Standard.Effective date41 This Standard becomes operative for financial statements covering periods beginning on or after 1 January 1984.
42 IAS 1 (as revised in 2007) amended the terminology used throughout IFRSs. In addition it added paragraph 29A. An entity shall apply those amendments for annual periods beginning on or after 1 January 2009. If an entity applies IAS 1 (revised 2007) for an earlier period, the amendments shall be applied for that earlier period.43 Paragraph 37 was deleted and paragraph 10A added by Improvements to IFRSs issued in May 2008. An entity shall apply those amendments prospectively to government loans received in periods beginning on or after 1 January 2009. Earlier application is permitted. If an entity applies the amendments for an earlier period it shall disclose that fact.
- Spring '13
- government grants, government assistance