IASB issued new ED on Fair Value

Kedar Pande (Self Employed) (896 Points)

28 May 2009  

On 28 May 2009 the International Accounting Standard’s Board (IASB) published for public comment an an exposure draft of draft guidance on fair value measurement.

The proposed guidance deals with how fair value should be measured where it is required by existing standards. It does not extend its use in any way.

If adopted, the proposals would replace fair value measurement guidance contained within individual International Financial Reporting Standards (IFRSs) with a single, unified definition of fair value, as well as further authoritative guidance on the application of fair value measurement in inactive markets.

 

AIntroducing the exposure draft, Sir David Tweedie, Chairman of the IASB, said:

This exposure draft is an important milestone in our response to the global financial crisis. The proposed guidance proposes clear and consistent guidance for the measurement of fair value and also addresses valuation issues that arise in markets that have become inactive. This guidance is consistent with the report of the Expert Advisory Panel and with US GAAP and would achieve overall convergence with US GAAP.

The comments received on the exposure draft will aid the Board in developing an IFRS of fair value measurement guidance, which it plans to publish in 2010.

Comment letter deadline

 

The exposure draft is open for comment until 28 September 2009.

How to submit a Comment Letter

  1. Go to the Comment Letters page
  2. Click Submit Comment Letter button.
  3. Log on using your subscripttion to eIFRS. If you do not have a subscripttion, and have not previously registered, you will be required to register. Registration is free and only takes 5 minutes.
  4. Click Continue button.
  5. Locate your Comment Letter on your computer using the Browse button and click Upload button when done.
  6. Click Continue button.