IASB issues proposal amendments to IAS 1 as part of Disclosure Initiativethe ED Annual Improvements to IFRSs 2012-2014 Cycle

The IASB published for public comment an Exposure Draft outlining proposed amendments to IAS 1 Presentation of Financial Statements, as part of Disclosure Initiative.

The proposed amendments:
- clarify the materiality requirements in IAS 1, including an emphasis on the potentially detrimental effect of overwhelming useful information with immaterial information;
- clarify that specific line items in the statement(s) of profit or loss and other comprehensive income and the statement of financial position can be disaggregated;
- add requirements for how an entity should present subtotals in the statement(s) of profit or loss and other comprehensive income and the statement of financial position;
- clarify that entities have flexibility as to the order in which they present the notes, but also emphasise that understandability and comparability should be considered by an entity when deciding that order;
- remove potentially unhelpful guidance in IAS 1 for identifying a significant accounting policy.

The ED is open for comments until 23 July 2014.