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On 7 June 2017, the IASB issued IFRIC 23 Uncertainty over Income Tax Treatments to clarify how to apply the recognition and measurement requirements in IAS 12 when there is uncertainty over income tax treatments.
IFRIC 23 becomes effective for annual periods beginning on or after 1 January 2019, with earlier application permitted. EFRAG has submitted its Endorsement Advice relating to IFRIC 23 for use in the EU and EEA. EFRAG has concluded that IFRIC 23 meets the qualitative characteristics of relevance, reliability, comparability and understandability required to support economic decisions and the assessment of stewardship, leads to prudent accounting, and that it is not contrary to the true and fair view principle. EFRAG has also concluded that IFRIC 23 is conducive to the European public good. Therefore, EFRAG recommends IFRIC 23 for endorsement.
Endorsement advice letter to the EC