Amendments to IFRS 19

To recap, this standard allows eligible subsidiaries (meaning subsidiaries that does not have public accountability and whose ultimate or intermediate parent produces consolidated financial statements under IFRS that are available for public use) to apply IFRS accounting standards with reduced disclosure requirements. 

When first published in May 2024, IFRS 19 allowed for a reduction in the disclosure requirements arising from standards and amendments published up to 28 February 2021. Pending discussions on the appropriateness of further reliefs, the disclosure requirements arising from subsequent texts had been incorporated into IFRS 19 in their entirety. 

The additional simplifications mainly concern disclosure requirements relating to the following topics: 

• supplier finance arrangements; 
• lack of exchangeability; 
• Pillar Two international tax reform; 
• the classification and measurement of financial instruments and non-current liabilities with covenants; 
• management-defined performance measures with reference to IFRS 18.  

These amendments are applicable on annual periods beginning on or after 1 January 2027 (the same effective date as IFRS 19), with earlier application permitted.