Global Standards for the world economy

Monday 14 October 2019

Banner graphic

Project news


The Interpretations Committee discussed a request for guidance on how an entity accounts for impairment testing of goodwill when non-controlling interest is recognised

 02 September 2010


The Committee considered a request for clarification of guidance relating to how an entity accounts for impairment testing of goodwill when non controlling interest (NCI) is recognised. The request asked the Committee to consider whether to propose an amendment to the guidance in IAS 36 as part of Annual Improvements to clarify requirements relating to:

  • calculating the ‘gross up’ of the carrying amount of goodwill when partial goodwill is recognised because NCI is measured on a proportionate share basis;
  • allocation of impairment losses between the parent and NCI; and
  • reallocation of goodwill between NCI and controlling interests after a change in a parent’s ownership interest in a subsidiary that does not result in a loss of control.

For more information, please click here.