IAASA, Ireland’s accounting enforcer, has today published a compendium of financial reporting decisions. These decisions relate to accounting treatments applied by CRH plc, Flutter Entertainment plc and Tullow Oil plc in their 2021 annual financial reports.
The published decisions extent over a range of accounting treatments applied under accounting requirements including:
- IAS 36 Impairment of Assets
- IAS 37 Provisions, Contingent Liabilities and Contingent Assets
- IFRS 8 Operating Segments
- ESMA Guidelines on Alternative Performance Measures
- Management Report – Transparency (Directive 2004/109/EC) Regulations 2007.
These published decisions are either instances where the company voluntarily agreed to enhance its accounting treatment or disclosures in future financial reports to address matters identified during IAASA’s examinations or decisions where IAASA agreed with the accounting treatment applied by the company.
It is noteworthy that, reflecting public concern about climate change and companies’ responses to that and the sustainability agenda, for the first time these decisions cover accounting for climate change and sustainability initiatives.
IAASA’s policy on publishing financial reporting decisions and the criteria to be met for such decisions to be published is set out in IAASA’s Policy Paper Publication of information regarding IAASA’s financial reporting supervision activities (revised December 2022). While IAASA has heretofore published decisions periodically as a compendium, under this revised Publications Policy, decisions will, in future, be published on an individual basis soon after the decision is reached.