The Members of the Task Based Group are Ken Warren, Adriana Tiron Tudor and Bob Dacey.
Objective(s) of project
The objective of the project is to:
- Revise IPSAS 6, Consolidated and Separate Financial Statements and relocate guidance relating to consolidated financial statements in a separate standard;
- Revise IPSAS 7, Investments in Associates;
- Revise IPSAS 8, Interests in Joint Ventures; and
- Locate all disclosures relating to interests in other entities in a separate standard.
This project will consider the revision of IPSASs 6-8 as they relate to the underlying IFRSs.
One of the objectives of the IPSASB is to maintain alignment with IFRSs for its standards that are based on an underlying IFRS. In May 2011, the IASB issued the following standards for which the IPSASB has equivalent standards:
- IFRS 10, Consolidated Financial Statements;
- IFRS 11, Joint Arrangements;
- IFRS 12, Disclosure of Interests in Other Entities;
- IAS 27 (revised 2011), Separate Financial Statements; and
- IAS 28 (revised 2011), Investments in Associates and Joint Ventures.
This means that is an appropriate time to revise IPSASs 6-8.
Issues the project needs to take into consideration include (but are not necessarily limited to):
- Should the temporary control exemption from consolidation in IPSAS 6 be retained?
- Should the scope of the project include consideration of whether the term control should continue to be used and whether the revised definition of control is appropriate?
- Should the scope of the project include consideration of whether all controlled entities should be consolidated?
- How should the project address the consolidation of structured entities?