1 August 2024To:
Members of the Hong Kong Institute of CPAsAll other interested partiesINVITATION TO COMMENT ON THE IASB EXPOSURE DRAFTClimate-related and Other Uncertainties in the Financial StatementsComments to be received by 17 October 2024The Financial Reporting Standards Committee (FRSC) of the Hong Kong Institute of CertifiedPublic Accountants (Institute) is seeking comments on the International Accounting StandardsBoard (IASB) Exposure Draft Climate-related and Other Uncertainties in the Financial Statements.The Exposure Draft is available on the Institute's website:
https://www.hkicpa.org.hk/en/Standards-setting/Standards/Open-for-comment-documents/fredIn response to strong demand from stakeholders particularly from investors, the IASB developedeight illustrative examples1 to illustrate how companies apply IFRS Accounting Standards whenreporting the effects of climate-related and other uncertainties in their financial statements.Stakeholders expressed concerns that information about climate-related uncertainties in financialstatements was sometimes insufficient or appeared to be inconsistent with information providedoutside the financial statements. To respond to these concerns, the IASB’s proposed examplesaim to:
•improve transparency of information in financial statements; and•strengthen the connection between financial statements and other parts of a company’sreporting, such as sustainability disclosures.The illustrative examples focus on areas such as materiality judgements, disclosures aboutassumptions and estimation uncertainties, and disaggregation of information. The principles andrequirements illustrated in these examples apply equally to other types of uncertainties2 beyondclimate-related uncertainties.The illustrative examples do not add to or change the requirements in IFRS Accounting Standards.Instead, they provide guidance on how the requirements in the Standards should be applied toprovide investors with better information about climate-related risks and other uncertainties.The FRSC invites your comments on the Exposure Draft by 17 October 2024 to allow yourcomments to be considered in developing its response to the IASB. Comments should besupported by specific reasoning and should be submitted in written form.1 Illustrative examples are non-mandatory guidance that accompany IFRS Accounting Standards. Theirpurpose is to illustrate how the requirements in the Standards apply to particular fact patterns.2 Other uncertainties include economic, regulatory, technological, societal and environmental uncertainties.Comments may be sent by mail, fax or e-mail to:
Standard Setting DepartmentHong Kong Institute of Certified Public Accountants37th Floor, Wu Chung House213 Queen’s Road EastWanchai, Hong KongFax number (+852) 2865 6603E-mail: commentletters@hkicpa.org.hkComments will be acknowledged and may be made available for public review unless otherwiserequested by the respondent.
Invitation to Comment on IASB Exposure Draft Climate-related and Other Uncertainties in the Financial Statements
下载原件1 August 2024To:
Members of the Hong Kong Institute of CPAsAll other interested partiesINVITATION TO COMMENT ON THE IASB EXPOSURE DRAFTClimate-related and Other Uncertainties in the Financial StatementsComments to be received by 17 October 2024The Financial Reporting Standards Committee (FRSC) of the Hong Kong Institute of CertifiedPublic Accountants (Institute) is seeking comments on the International Accounting StandardsBoard (IASB) Exposure Draft Climate-related and Other Uncertainties in the Financial Statements.The Exposure Draft is available on the Institute's website:
https://www.hkicpa.org.hk/en/Standards-setting/Standards/Open-for-comment-documents/fredIn response to strong demand from stakeholders particularly from investors, the IASB developedeight illustrative examples1 to illustrate how companies apply IFRS Accounting Standards whenreporting the effects of climate-related and other uncertainties in their financial statements.Stakeholders expressed concerns that information about climate-related uncertainties in financialstatements was sometimes insufficient or appeared to be inconsistent with information providedoutside the financial statements. To respond to these concerns, the IASB’s proposed examplesaim to:
•improve transparency of information in financial statements; and•strengthen the connection between financial statements and other parts of a company’sreporting, such as sustainability disclosures.The illustrative examples focus on areas such as materiality judgements, disclosures aboutassumptions and estimation uncertainties, and disaggregation of information. The principles andrequirements illustrated in these examples apply equally to other types of uncertainties2 beyondclimate-related uncertainties.The illustrative examples do not add to or change the requirements in IFRS Accounting Standards.Instead, they provide guidance on how the requirements in the Standards should be applied toprovide investors with better information about climate-related risks and other uncertainties.The FRSC invites your comments on the Exposure Draft by 17 October 2024 to allow yourcomments to be considered in developing its response to the IASB. Comments should besupported by specific reasoning and should be submitted in written form.1 Illustrative examples are non-mandatory guidance that accompany IFRS Accounting Standards. Theirpurpose is to illustrate how the requirements in the Standards apply to particular fact patterns.2 Other uncertainties include economic, regulatory, technological, societal and environmental uncertainties.Comments may be sent by mail, fax or e-mail to:
Standard Setting DepartmentHong Kong Institute of Certified Public Accountants37th Floor, Wu Chung House213 Queen’s Road EastWanchai, Hong KongFax number (+852) 2865 6603E-mail: commentletters@hkicpa.org.hkComments will be acknowledged and may be made available for public review unless otherwiserequested by the respondent.