EFRAG's draft comment letter on the IASB's ED/2017/5 Accounting Policies and Accounting Estimates

29 September 2017

EFRAG has published its draft comment letter in response to the IASB's Exposure Draft ED/2017/5 Accounting Policies and Accounting Estimates (Proposed amendments to IAS 8) and seeks constituents' views on the proposals.

This letter is intended to contribute to the IASB’s due process and does not necessarily indicate the conclusions that would be reached by EFRAG in its capacity as advisor to the European Commission on endorsement of definitive IFRS in the European Union and European Economic Area.

Overall, EFRAG agrees with the IASB’s objective to clarify the criteria to distinguish between a change in an accounting policy and a change in an accounting estimate, in relation to the application of IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors. However, we recommend the development of some more illustrative examples in order to further clarify the distinction between an accounting policy and an accounting estimate.

Comments on the draft comment letter are requested by 7 December 2017.

Full press release

Full draft comment letter

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