Post-implementation Review of IFRS 3 Business Combinations

In June 2015 the IASB completed the PIR of IFRS 3. The scope of the review covered the whole Business Combinations project, including resulting consequential amendments to other Standards, such as IAS 36 Impairment of Assets.

Taking into account all of the evidence collected through this Post-implementation Review, the IASB added two projects to its research agenda to explore further the key findings. These projects will focus on the following issues:

1. the effectiveness and complexity of testing goodwill for impairment;
2. the subsequent accounting for goodwill;
3. challenges in applying the definition of a business; and
4. identification and fair value measurement of intangible assets such as customer relationships and brand names.