Examples from IAS 1 (IG 6) representing ways in which the requirements of IAS 1 for the presentation of the statements of financial position, comprehensive income and statement of changes in equity might be met using detailed XBRL tagging with the use of XBRL footnotes.
XYZ Group – Statement of financial position as at 31 December 20X7
(in thousands of currency units)
31 Dec 20X7
31 Dec 20X6
Non-current assets
Property, plant and equipment
Other intangible assets
Investments in associates
Investments in equity instruments
Current assets
Other current assets
Cash and cash equivalents
Total assets
XYZ Group – Statement of financial position as at 31 December 20X7
(in thousands of currency units)
EQUITY AND LIABILITIES
Equity attributable to owners of the parent
Other components of equity
Non-controlling interests
Total equity
Non-current liabilities
Total non-current liabilities
Current liabilities
Trade and other payables
Current portion of long-term borrowings
Current tax payable
Total current liabilities
Total liabilities
Total equity and liabilities
XYZ Group – Statement of comprehensive income for the year ended
31 December 20X7
(illustrating the presentation of profit or loss and other comprehensive income in one statement and the classification of expenses within profit or loss by function)
(in thousands of currency units)
Share of profit of associates (a)
Profit before tax
Income tax expense
Profit for the year from continuing operations
Loss for the year from discontinued operations
PROFIT FOR THE YEAR
Other comprehensive income:
Items that will not be reclassified to profit or loss:
Gains on property revaluation
Investments in equity instruments
Remeasurements of defined benefit pension plans
Share of other comprehensive income of associates (c)
Income tax relating to items that will not be reclassified (d)
Items that may be reclassified subsequently to profit or loss:
Exchange differences on translating foreign operations (b)
Cash flow hedges (b)
Income tax relating to items that may be reclassified (d)
Other comprehensive income for the year, net of tax
TOTAL COMPREHENSIVE INCOME FOR THE YEAR
XYZ Group – Statement of comprehensive income for the year ended
31 December 20X7
(illustrating the presentation of comprehensive income in one
statement and the classification of expenses within profit by function)
(in thousands of currency units)
Profit attributable to:
Owners of the parent
Total comprehensive income attributable to:
Owners of the parent
Earnings per share (in currency units):
Basic and diluted
Alternatively, components of other comprehensive income could be presented in the statement of comprehensive income net of tax:
Other comprehensive income for the year, after tax:
Items that will not be reclassified to profit or loss:
Gains on property revaluation
Investments in equity instruments
Remeasurements of defined benefit pension plans
Share of other comprehensive income of associates
Items that may be reclassified subsequently to profit or loss:
Exchange differences on translating foreign operations
Cash flow hedges
Other comprehensive income for the year, net of tax (d)
(a) This means the share of associates’ other comprehensive income attributable to owners of the associates, ie it is after tax and non-controlling interests in the associates. In this example, the other comprehensive income of associates consists only of items that will not be subsequently reclassified to profit or loss. Entities whose associates’ other comprehensive income includes items that may be subsequently reclassified to profit or loss are required by paragraph 82A(b) to present that amount in a separate line.
(b) This illustrates the aggregated presentation, with disclosure of the current year gain or loss and reclassification adjustment presented in the notes. Alternatively, a gross presentation can be used.
(c) This means the share of associates’ other comprehensive income attributable to owners of the associates, ie it is after tax and non-controlling interests in the associates. In this example, the other comprehensive income of associates consists only of items that will not be subsequently reclassified to profit or loss. Entities whose associates’ other comprehensive income includes items that may be subsequently reclassified to profit or loss are required by paragraph 82A(b) to present that amount in a separate line.
(d) The income tax relating to each component of other comprehensive income is disclosed in the notes.
XYZ Group – Income statement for the year ended 31 December 20X7
(illustrating the presentation of comprehensive income in two statements and classification of expenses within profit by nature)
(in thousands of currency units)
Changes in inventories of finished goods and work in progress
Work performed by the entity and capitalised
Raw material and consumables used
Employee benefits expense
Depreciation and amortisation expense
Impairment of property, plant and equipment
Share of profit of associates (e)
Profit before tax
Income tax expense
Profit for the year from continuing operations
Loss for the year from discontinued operations
PROFIT FOR THE YEAR
Profit attributable to:
Owners of the parent
Earnings per share (in currency units):
Basic and diluted
(e) This means the share of associates’ other comprehensive income attributable to owners of the associates, ie it is after tax and non-controlling interests in the associates. In this example, the other comprehensive income of associates consists only of items that will not be subsequently reclassified to profit or loss. Entities whose associates’ other comprehensive income includes items that may be subsequently reclassified to profit or loss are required by paragraph 82A(b) to present that amount in a separate line.
XYZ Group – Statement of comprehensive income for the year ended
31 December 20X7
(illustrating the presentation of comprehensive income in two statements)
(in thousands of currency units)
Profit for the year
Other comprehensive income:
Items that will not be reclassified to profit or loss:
Gains on property revaluation
Investments in equity instruments
Remeasurements of defined benefit pension plans
Share of gain other comprehensive income of associates (f)
Income tax relating to items that will not be reclassified (g)
Items that may be reclassified subsequently to profit or loss:
Exchange differences on translating foreign operations
Cash flow hedges
Income tax relating to items that may be reclassified (g)
Other comprehensive income for the year, net of tax
TOTAL COMPREHENSIVE INCOME FOR
THE YEAR
Total comprehensive income attributable to:
Owners of the parent
Alternatively, components of other comprehensive income could be presented, net of tax. Refer to the statement of comprehensive income illustrating the presentation of income and expenses in one statement.
This means the share of associates’ other comprehensive income attributable to owners of the associates, ie it is after tax and non-controlling interests in the associates. In this example, the other comprehensive income of associates consists only of items that will not be subsequently reclassified to profit or loss. Entities whose associates’ other comprehensive income includes items that may be subsequently reclassified to profit or loss are required by paragraph 82A(b) to present that amount in a separate line.
The income tax relating to each component of other comprehensive income is disclosed in the notes.
XYZ Group - Disclosure of components of other comprehensive income
Year ended 31 December 20X7
(in thousands of currency units)
Other comprehensive income:
Exchange differences on translating foreign operations (i)
Investments in equity instruments
Cash flow hedges:
Gains (losses) arising during the year
Less: Reclassification adjustments for gains (losses) included in profit or loss
Gains on property revaluation
Remeasurements of defined benefit pension plans
Share of other comprehensive income of associates
Other comprehensive income
Income tax relating to components of other comprehensive income (j)
Other comprehensive income for the year (h)
When an entity chooses an aggregated presentation in the statement of comprehensive income, the amounts for reclassification adjustments and current year gain or loss are presented in the notes.
There was no disposal of a foreign operation. Therefore, there is no reclassification adjustment for the years presented.
The income tax relating to each component of other comprehensive income is disclosed in the notes.
XYZ Group - Disclosure of tax effects relating to each component of other
comprehensive income
Year ended 31 December 20X7
(in thousands of currency units)
Tax (expense) benefit
Exchange
differences on translating
foreign
operations
Investments in equity instruments
Cash flow hedges
Remeasurements of defined benefit pension plans
Share of other comprehensive
income of
associates
XYZ Group – Statement of changes in equity for the year ended
31 December 20X7
(in thousands of currency units)
Translation of foreign operations
Investments in equity instruments
Cash flow hedges
Balance at
1 January 20X6
Changes in accounting policy
Changes in equity for 20X6
Total comprehensive income for the year (k)
Balance at
31 December 20X6
Changes in equity for 20X7
Issue of share capital
Total comprehensive income for the year (l)
Transfer to retained earnings
Balance at
31 December 20X7
The amount included in retained earnings for 20X6 of 53,200 represents profit attributable to owners of the parent of 52,400 plus actuarial gains on defined benefit pension plans of 800 ( 1,333 , less tax 333 , less non-controlling interests 200 ). The amount included in the translation, investments in equity instruments and cash flow hedge reserves represent other comprehensive income for each component, net of tax and non-controlling interests, eg other comprehensive income related to investments in equity instruments for 20X6 of 16,000 is 26,667 , less tax 6,667 , less non-controlling interests 4,000 . The amount included in the revaluation surplus of 1,600 represents the share of other comprehensive income of associates of ( 700 ) plus gains on property revaluation of 2,300 ( 3,367 , less tax 667 , less non-controlling interests 400 ). Other comprehensive income of associates relates solely to gains or losses on property revaluation.
The amount included in retained earnings for 20X7 of 96,600 represents profit attributable to owners of the parent of 97,000 plus actuarial losses on defined benefit pension plans of 400 ( 667 , less tax 167 , less non-controlling interests 100 ). The amount included in the translation, investments in equity instruments and cash flow hedge reserves represents other comprehensive income for each component, net of tax and non-controlling interests, eg other comprehensive income related to the translation of foreign operations for 20X7 of 3,200 is 5,334 , less tax 1,334 , less non-controlling interests 800 . The amount included in the revaluation surplus of 800 represents the share of other comprehensive income of associates of 400 plus gains on property revaluation of 400 ( 933 , less tax 333 , less non-controlling interests 200 ). Other comprehensive income of associates relates solely to gains or losses on property revaluation.
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