The International Accounting Standards Board (IASB) has concluded its Post-implementation Review of IFRS 15 Revenue from Contracts with Customers, finding that the Standard is working as intended and providing investors with useful information.
The IASB issued IFRS 15 in 2014 to improve the reporting of revenue. The IASB developed this Standard jointly with the US Financial Accounting Standards Board (FASB) to create a consistent approach to revenue recognition across global markets.
Feedback from stakeholders and the IASB’s own research show that the Standard provides a clear and robust framework for revenue accounting decisions.
While the overall verdict is positive, the IASB has identified a few application issues to consider in its next agenda consultation, which it plans to start in late 2025. They are:
- how companies decide whether they are the main seller or an agent in a transaction;
- how to report on payments to customers; and
- how IFRS 15 works alongside several other IFRS Accounting Standards.
Andreas Barckow, Chair of the IASB, said:
IFRS 15 was introduced to give companies a consistent approach to recognising revenue. Our review confirms that it is delivering on this objective.
The IASB conducts post-implementation reviews a few years after a Standard has been implemented to see if it is working as intended.
Followable tags
Applying IFRS Accounting Standards
IFRS 15 Revenue from Contracts with Customers
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