Technical roundup 29 May

May 28, 2020

Chartered Accountants Ireland

  • Chartered Accountants Ireland has updated the Technical and business updates page on our COVID-19 Hub with updates on Auditing implications of Coronavirus, Financial Reporting implications of Coronavirus and Information for insolvency practitioners.  We have also updated our page on Key Stakeholder Updates for both ROI and NI / UK in response to COVID-19.  
  • The Accounting Committee recently responded to the IASB Exposure Draft ED/2020/1: Interest Rate Benchmark Reform - Phase 2 - Proposed amendments to IFRS 9, IAS 39, IFRS 7, IFRS 4 and IFRS 16. The Exposure Draft is the second phase of the Board’s priority project on the effects of interest rate benchmark reform on an entity’s financial statements that arise when interest rate benchmarks are replaced with alternative benchmark rates. The first phase of the project culminated with Interest Rate Benchmark Reform, which was published in September 2019. The Committee’s response noted appreciation of the timely manner in which the Board is seeking to deal with the potential accounting issues arising from IBOR reform. While generally supportive of the proposals in the ED, the Committee highlighted some concerns in relation to aspects of the proposed changes. The response is available here
  • The Audit and Assurance Committee recently responded to the FRC’s proposal to adopt the International Standard on Assurance Engagements: ISAE 3000, Assurance Engagements Other Than Audits Or Reviews Of Historical Financial Information for use in the UK.  This ISAE (UK) will apply to assurance engagements specified by the FRC, other than audits or review engagements. Chartered Accountants Ireland is generally supportive of the proposed adoption of ISAE 3000 by the FRC for appropriate reporting assignments.  We have however raised matters that in our opinion may require further consideration by the FRC as part of the adoption process of this Standard for use in the UK. The response is available here.

ROI

  • The Irish Auditing and Accounting Supervisory Authority (IAASA) will be hosting an audit committee breakfast briefing on 10 September 2020. Speakers on the day will cover a number of key areas relating to the expanded role of audit committees, current regulatory requirements as well as communications with regulators. The event is envisaged to be a physical meeting however depending on the status of public health restrictions, may be live streamed or a combination of both. Please click here to register.
  • Central Bank has published Annual Report & Annual Performance Statement 2019.

International  

  • The IASB has released a podcast featuring IASB member Darrel Scott and technical staff member Vitalina Kobernik as they discuss the de­vel­op­ments at the May 2020 Board meeting related to the amend­ments to IFRS 17 'Insurance Contracts'.
  • In February 2020, the International In­te­grated Reporting Council (IIRC) launched the revision of the International Framework and called for market feedback on specific themes to inform the nature and direction of the revision. A con­sul­ta­tion draft of the revised Framework has now been released for a 90-day comment period.
  • The IASB proposed amending IFRS 16 Leases to make it easier for lessees to account for covid-19-related rent concessions such as rent holidays and temporary rent reductions, and, following a consultation process, has issued ‘Covid-19-Related Rent Concessions, amending IFRS 16. EFRAG has commenced its work on drafting its endorsement advice in relation to the changes.