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The IASB members confirmed that they are satisfied with the due process steps to date and therefore instructed the staff to begin the balloting process

 23 June 2015


At its meeting on 23 June 2015, the IASB considered proposals for a draft IFRIC Interpretation—Foreign Currency Transactions and Advance Consideration, which has been developed by the Interpretations Committee. The draft Interpretation proposes guidance on how to determine the date of the transaction for the purposes of IAS 21 The Effects of Changes in Foreign Exchange Rates when an entity recognises a non-monetary prepayment asset or non-monetary deferred income liability before it recognises the related asset, expense or income (or part of it). The date of the transaction determines the spot exchange rate used to translate a foreign currency transaction on initial recognition of that asset, expense or income.

The IASB reviewed the due process followed and the technical matters agreed by the Interpretations Committee relating to the development and publication of the draft IFRIC Interpretation. All IASB members confirmed that they are satisfied that the IASB has undertaken sufficient due process steps and therefore instructed the staff to start the balloting process. The IASB agreed that the draft Interpretation should have a comment period of no less than 90 days. No IASB members indicated an intention to object to the publication of the draft IFRIC Interpretation.

Next steps

The publication of the draft Interpretation is expected in Q3 2015.


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