7. May 2019

EFRAG questionnaire on alternative accounting treatments for equity instruments

EFRAG has published for consultation a questionnaire, dealing with (current) accounting requirements for equity instruments under IFRSs (further information). The questionnaire focuses on equity and equity-type instruments that are held in a long-term business model.

EFRAG considers alternative accounting treatments for those instruments, effectively suggesting that fair value measurement (and recognition of fair value changes) under IFRS 9 might be inappropriate.

In addition, EFRAG has published a Background Paper explaining the reasons for this consultation – which is a request from the EU commission –, concerns with current accounting requirements as well as possible alternative accounting treatments for those equity instruments.

The questionnaire can be answered entirely or in part, and online only, by 5 July 2019.