03/09/2015 - EFRAG's draft comment letter on the IASB's Exposure Draft ED/2015/6 Clarifications to IFRS 15
On 30 July 2015, the IASB issued the Exposure Draft ED/2015/6 Clarifications to IFRS 15 (the 'ED') with a comment period ending on 28 October 2015.
The purpose of the ED is to propose targeted amendments to provide clarifications with respect to:
- Identifying performance obligations;
- Principal versus agent considerations; and
In addition the ED proposes transition relief for modified contracts and completed contracts.
EFRAG, in its draft comment letter on the ED, states that, whilst supporting the convergence of IFRS 15 with Topic 606 Revenue from Contracts with Customers, EFRAG agrees with the IASB's decision not to clarify certain issues where the FASB has decided to provide further guidance in the Standard. EFRAG believes that, at this stage, before the implementation of IFRS 15, the IASB should only clarify those issues that are strictly necessary for a proper understanding of IFRS 15.
EFRAG requests comments by 22 October 2015.