As at December 2018

Comparison between Hong Kong Financial Reporting Standards and International Financial ReportingStandards as at 31 December 2018FrameworkTitleIASBequivalentDifferences inTransitionalProvisionsDifferences inEffective DatesOther Textual DifferencesCONCEPTUALFRAMEWORKConceptual Framework for FinancialReporting 2010IASBConceptualFramework forFinancialReportingN/AN/AMinor textual differences – nopractical effect.CONCEPTUALFRAMEWORKConceptual Framework for FinancialReporting 2018IASBConceptualFramework forFinancialReportingN/AN/AMinor textual differences – nopractical effect.Comparison between Hong Kong Financial Reporting Standards and International Financial ReportingStandards as at 31 December 2018HKFRS No.TitleIFRS No.Differences inTransitionalProvisionsDifferences inEffectiveDatesOther Textual DifferencesHKFRS 1RevisedFirst-time Adoption of Hong KongFinancial Reporting StandardsIFRS 1 Revised NoNo, except para39a specifiesthat paras B2 toB6 and D18 ofHKFRS 1 (IFRS1) are effectivefor AP beginningon or after 1January 2005 (1January 2004).Minor textual differences – nopractical effect.HKFRS 2Share-based PaymentIFRS 2NoNoNoHKFRS 3RevisedBusiness CombinationsIFRS 3 Revised NoNoNoHKFRS 4Insurance ContractsIFRS 4NoNoNoHKFRS 5Non-current Assets Held for Sale andDiscontinued OperationsIFRS 5NoNoNoHKFRS 6Exploration for and Evaluation ofMineral ResourcesIFRS 6NoNoNoHKFRS 7Financial Instruments: DisclosuresIFRS 7NoNoNoHKFRS 8Operating SegmentsIFRS 8NoNoNoComparison between Hong Kong Financial Reporting Standards and International Financial ReportingStandards as at 31 December 2018HKFRS No.TitleIFRS No.Differences inTransitionalProvisionsDifferences inEffectiveDatesOther Textual DifferencesHKFRS 9Financial InstrumentsIFRS 9NoNoNoHKFRS 10Consolidated Financial StatementsIFRS 10NoNoNoHKFRS 11Joint ArrangementsIFRS 11NoNoNoHKFRS 12Disclosure of Interests in OtherEntitiesIFRS 12NoNoNoHKFRS 13Fair Value MeasurementIFRS 13NoNoNoHKFRS 14Regulatory Deferral AccountsIFRS 14NoNoNoHKFRS 15Revenue from Contracts withCustomersIFRS 15NoNoNoHKFRS 16LeasesIFRS 16NoNoNoHKFRS 17Insurance ContractsIFRS 17NoNoNoComparison between Hong Kong Financial Reporting Standards and International Financial ReportingStandards as at 31 December 2018HKAS No.TitleIAS No.Differences inTransitionalProvisionsDifferences inEffectiveDatesOther Textual DifferencesHKAS 1RevisedPresentation of Financial Statements IAS 1 Revised NoNoMinor textual differences –explanation of legalrequirements which do notgive rise to differences.HKAS 2InventoriesIAS 2NoNo*NoHKAS 7Statement of Cash FlowsIAS 7NoHKAS 7 (IAS 7)

is effective forAP beginning onor after 1January 2005 (1January 1994).NoHKAS 8Accounting Policies, Changes inAccounting Estimates and ErrorsIAS 8NoNo*Minor textual differences – nopractical effect.HKAS 10Events after the Reporting PeriodIAS 10NoNo*Minor textual differences –explanation of legalrequirements which do notgive rise to differences.HKAS 11Construction ContractsIAS 11NoHKAS 11* (IAS11) is effectivefor AP beginningon or after 1January 2005 (1January 1995).NoComparison between Hong Kong Financial Reporting Standards and International Financial ReportingStandards as at 31 December 2018HKAS No.TitleIAS No.Differences inTransitionalProvisionsDifferences inEffectiveDatesOther Textual DifferencesHKAS 12Income TaxesIAS 12NoHKAS 12* (IAS12) is effectivefor AP beginningon or after 1January 2005 (1January 1998with certainamendmentseffective for APbeginning on orafter 1 January2001).The explanatory guidanceand illustrative examples setout in the boxes within thebody of HKAS 12 containmaterial that is expanded onthat in IAS 12 and consideredto be more user-friendly.Comparison between Hong Kong Financial Reporting Standards and International Financial ReportingStandards as at 31 December 2018HKAS No.TitleIAS No.Differences inTransitionalProvisionsDifferences inEffectiveDatesOther Textual DifferencesHKAS 16Property, Plant and EquipmentIAS 16HKAS 16 has thefollowing additionaltransition provisions.

1.Para 80AAexempting certainentities that carriedtheir PPE atrevalued amountsbefore 30September 1995and have notrevalued since thatdate from makingregular revaluation.

2.Para 80AB allowingthose not-for-profitentities thatpreviously tookadvantage of theexemption underSSAP 17 to deemthe carrying amountof an item of PPEimmediately beforeapplying HKAS 16on its effective date(or earlier) as thecost of that item.No*NoComparison between Hong Kong Financial Reporting Standards and International Financial ReportingStandards as at 31 December 2018HKAS No.TitleIAS No.Differences inTransitionalProvisionsDifferences inEffectiveDatesOther Textual DifferencesHKAS 17LeasesIAS 17NoNo*NoHKAS 18RevenueIAS 18NoHKAS 18* (IAS18) is effectivefor AP beginningon or after 1January 2005 (1January 1995).NoHKAS 19

(2011)

Employee BenefitsIAS 19 (2011)

NoNoNoComparison between Hong Kong Financial Reporting Standards and International Financial ReportingStandards as at 31 December 2018HKAS No.TitleIAS No.Differences inTransitionalProvisionsDifferences inEffectiveDatesOther Textual DifferencesHKAS 20Accounting for Government Grantsand Disclosure of GovernmentAssistanceIAS 20IAS 20 has anadditional transitionalprovision (para 40)

allowing an entityadopting IAS 20 for thefirst time to apply theaccounting provisionsof IAS 20 only to grantsor portions of grantsbecoming receivable orrepayable after theeffective date of IAS

20.HKAS 20* (IAS20) is effectivefor AP beginningon or after 1January 2005 (1January 1984).NoHKAS 21The Effects of Changes in ForeignExchange RatesIAS 21NoNo*NoComparison between Hong Kong Financial Reporting Standards and International Financial ReportingStandards as at 31 December 2018HKAS No.TitleIAS No.Differences inTransitionalProvisionsDifferences inEffectiveDatesOther Textual DifferencesHKAS 23RevisedBorrowing CostsIAS 23RevisedNoNoNoHKAS 24(Revised)

Related Party DisclosuresIAS 24RevisedNoNoNoHKAS 26Accounting and Reporting byRetirement Benefit PlansIAS 26NoHKAS 26 (IAS26) is effectivefor AP beginningon or after 1January 2005 (1January 1988).HKAS 26 has an appendixgiving guidance on preparingfinancial statements of MPFschemes and ORSOschemes in accordance withthe standard.HKAS 27 (2011) Separate Financial StatementsIAS 27 (2011)

NoNoNoHKAS 28 (2011) Investments in Associates and JointVenturesIAS 28 (2011)

NoNoNoHKAS 29Financial Reporting inHyperinflationary EconomiesIAS 29NoHKAS 29 (IAS29) is effectivefor AP beginningon or after 1January 2005 (1January 1990).NoComparison between Hong Kong Financial Reporting Standards and International Financial ReportingStandards as at 31 December 2018HKAS No.TitleIAS No.Differences inTransitionalProvisionsDifferences inEffectiveDatesOther Textual DifferencesHKAS 32Financial Instruments: PresentationIAS 32HKAS 32 has anadditional transitionalprovision (para 97)

allowing an entity not topresent comparativeinformation if suchinformation is notavailable.NoNoHKAS 33Earnings per ShareIAS 33NoNo*NoHKAS 34Interim Financial ReportingIAS 34NoHKAS 34* (IAS34) is effectivefor AP beginningon or after 1January 2005 (1January 1999).NoComparison between Hong Kong Financial Reporting Standards and International Financial ReportingStandards as at 31 December 2018HKAS No.TitleIAS No.Differences inTransitionalProvisionsDifferences inEffectiveDatesOther Textual DifferencesHKAS 36Impairment of AssetsIAS 36HKAS 36 (IAS 36) para139 specifies that anentity shall apply HKAS36 (IAS 36)

(a) to goodwill andintangible assetsacquired inbusinesscombinations forwhich theagreement date ison or after 1January 2005 (31March 2004); and(b) to all other assetsprospectively fromthe beginning ofthe first annualperiod beginningon or after 1January 2005 (31March 2004).HKAS 36 (IAS36) is effectivefor AP beginningon or after 1January 2005(31 March2004).NoComparison between Hong Kong Financial Reporting Standards and International Financial ReportingStandards as at 31 December 2018HKAS No.TitleIAS No.Differences inTransitionalProvisionsDifferences inEffectiveDatesOther Textual DifferencesHKAS 37Provisions, Contingent Liabilities andContingent AssetsIAS 37IAS 37 has anadditional transitionalprovision (para 93)

allowing an entity not toadjust opening balanceof retained earnings forthe earliest periodpresented and torestate comparativeinformation for theperiod in which IAS 37is first adopted.HKAS 37* (IAS37) is effectivefor AP beginningon or after 1January 2005 (1July 1999).HKAS 37 contains additionalHong Kong examples 3A, 8A,12 and 13 in Appendix C. Nocomparable examples areincluded in Appendix C to IAS37 – no practical effect.Comparison between Hong Kong Financial Reporting Standards and International Financial ReportingStandards as at 31 December 2018HKAS No.TitleIAS No.Differences inTransitionalProvisionsDifferences inEffectiveDatesOther Textual DifferencesHKAS 38Intangible AssetsIAS 38HKAS 38 (IAS 38) para130 specifies that anentity shall apply HKAS38 (IAS 38):

(a) to the accountingfor intangibleassets acquired inbusinesscombinations forwhich theagreement date ison or after 1January 2005 (31March 2004); and(b) to the accountingfor all otherintangible assetsprospectivelyfrom thebeginning of thefirst annual periodbeginning on orafter 1 January2005 (31 March2004).HKAS 38 (IAS38) is effectivefor AP beginningon or after 1January 2005(31 March2004).NoComparison between Hong Kong Financial Reporting Standards and International Financial ReportingStandards as at 31 December 2018HKAS No.TitleIAS No.Differences inTransitionalProvisionsDifferences inEffectiveDatesOther Textual DifferencesHKAS 39Financial Instruments: Recognitionand MeasurementIAS 39HKAS 39 does notpermit retrospectiveapplication except incertain limitedcircumstanceswhereas IAS 39generally requiresretrospectiveapplication.Accordingly, thetransitional provisionsin HKAS 39 aredifferent from those inIAS 39. For details,please refer to theStandards.NoNoComparison between Hong Kong Financial Reporting Standards and International Financial ReportingStandards as at 31 December 2018HKAS No.TitleIAS No.Differences inTransitionalProvisionsDifferences inEffectiveDatesOther Textual DifferencesHKAS 40Investment PropertyIAS 40HKAS 40 has thefollowing additionaltransitional provisions:

HKAS 40 paras 80A onfair value modelPara 80A of HKAS 40requires an entity thathas previously appliedSSAP 13 (2000) fornon-leaseholdinvestment propertiesand chooses to use thefair value model toreflect the effect ofapplying HKAS 40 onits effective date (orearlier) as anadjustment to theopening balance ofretained earnings forthe period in whichHKAS 40 is firstapplied.No*NoComparison between Hong Kong Financial Reporting Standards and International Financial ReportingStandards as at 31 December 2018HKAS No.TitleIAS No.Differences inTransitionalProvisionsDifferences inEffectiveDatesOther Textual DifferencesPara 80A alsoencourages the entityto adjust thecomparativeinformation if the entityhas previouslydisclosed publicly fairvalue of thoseproperties but requiresthe entity to disclosethe fact if otherwise.HKAS 40 paras 83Aand 83B on cost modelParas 83A and 83B ofHKAS 40 allow anentity to take thecarrying amount of theinvestment propertyunder SSAP 13 (2000)

as the deemed cost onthe date that HKAS 40is first applied. Anyadjustments, includingComparison between Hong Kong Financial Reporting Standards and International Financial ReportingStandards as at 31 December 2018HKAS No.TitleIAS No.Differences inTransitionalProvisionsDifferences inEffectiveDatesOther Textual Differencesthe reclassification ofany amount previouslyheld in revaluationreserve, are to bemade to the openingbalance of retainedearnings. Depreciationon deemed costcommences from theopening balance sheetdate.HKAS 41AgricultureIAS 41NoHKAS 41* (IAS41) is effectivefor AP beginningon or after 1January 2005 (1January 2003).NoComparison between Hong Kong Financial Reporting Standards and International Financial ReportingStandards as at 31 December 2018HK(IFRIC)-IntNo.TitleIFRIC No.Differences inTransitionalProvisionsDifferences inEffectiveDatesOther Textual DifferencesHK(IFRIC)-Int 1 Changes in ExistingDecommissioning, Restoration andSimilar LiabilitiesIFRIC 1NoNoMinor textual differences – nopractical effect.HK(IFRIC)-Int 2 Members’ Shares in Co-operativeEntities and Similar InstrumentsIFRIC 2NoNoNoHK(IFRIC)-Int 4 Determining whether an Arrangementcontains a LeaseIFRIC 4NoNoNoHK(IFRIC)-Int 5 Rights to Interests arising fromDecommissioning, Restorationand Environmental RehabilitationFundsIFRIC 5NoNoNoHK(IFRIC)-Int 6 Liabilities arising from Participating ina Specific Market – WasteElectrical and ElectronicEquipmentIFRIC 6NoNoNoComparison between Hong Kong Financial Reporting Standards and International Financial ReportingStandards as at 31 December 2018HK(IFRIC)-Int No. TitleIFRIC No.Differences inTransitionalProvisionsDifferences inEffectiveDatesOther Textual DifferencesHK(IFRIC)-Int 7Applying the RestatementApproach under HKAS 29Financial Reporting inHyperinflationary EconomiesIFRIC 7NoNoNoHK(IFRIC)-Int 9Reassessment of EmbeddedDerivativesIFRIC 9NoNoNoHK(IFRIC)-Int 10Interim Financial Reporting andImpairmentIFRIC 10NoNoNoHK(IFRIC)-Int 12Service Concession ArrangementsIFRIC 12NoNoNoHK(IFRIC)-Int 13Customer Loyalty ProgrammesIFRIC 13NoNoNoHK(IFRIC)-Int 14HKAS 19 – The Limit on a DefinedBenefit Asset, Minimum FundingRequirements and theirInteractionIFRIC 14NoNoNoComparison between Hong Kong Financial Reporting Standards and International Financial ReportingStandards as at 31 December 2018HK(IFRIC)-Int No. TitleIFRIC No.Differences inTransitionalProvisionsDifferences inEffectiveDatesOther Textual DifferencesHK(IFRIC)-Int 15Agreements for the Constructionof Real EstateIFRIC 15NoNoNoHK(IFRIC)-Int 16Hedges of a Net Investment in aForeign OperationIFRIC 16NoNoNoHK(IFRIC)-Int 17Distributions of Non-cash Assetsto OwnersIFRIC 17NoNoNoHK(IFRIC)-Int 18Transfers of Assets fromCustomersIFRIC 18NoNoNoHK(IFRIC)-Int 19Extinguishing Financial Liabilitieswith Equity InstrumentsIFRIC 19NoNoNoHK(IFRIC)-Int 20Stripping Costs in the ProductionPhase of a Surface MineIFRIC 20NoNoNoHK(IFRIC)-Int 21LeviesIFRIC 21NoNoNoHK(IFRIC)-Int 22Foreign Currency Transactionsand Advance ConsiderationIFRIC 22NoNoNoHK(IFRIC)-Int 23Uncertainty over Income TaxTreatmentsIFRIC 23NoNoNoComparison between Hong Kong Financial Reporting Standards and International Financial ReportingStandards as at 31 December 2018HK(SIC)-Int No. TitleSIC No.Differences inTransitionalProvisionsDifferences inEffectiveDatesOther Textual DifferencesHK(SIC)-Int 10 Government Assistance – No SpecificRelation to Operating ActivitiesSIC-10NoHKAS-Int 10*(SIC 10) iseffective for APbeginning on orafter 1 January2005 (1 August1998).NoHK(SIC)-Int 15 Operating Leases – IncentivesSIC-15NoHKAS-Int 15*(SIC 15) iseffective forlease termsbeginning on orafter 1 January2005 (1 January1999).NoHK(SIC)-Int 25 Income Taxes – Changes in the TaxStatus of an Entity or itsShareholdersSIC-25NoHKAS-Int 25*(SIC 25) iseffective for APbeginning on orafter 1 January2005 (on 15 July2000).NoComparison between Hong Kong Financial Reporting Standards and International Financial ReportingStandards as at 31 December 2018HK(SIC)-Int No. TitleSIC No.Differences inTransitionalProvisionsDifferences inEffectiveDatesOther Textual DifferencesHK(SIC)-Int 27 Evaluating the Substance ofTransactions Involving the LegalForm of a LeaseSIC-27NoHKAS-Int 27*(SIC 27) iseffective for APbeginning on orafter 1 January2005 (on 31December2001).NoHK(SIC)-Int 29 Service Concession Arrangements:

DisclosuresSIC-29NoHKAS-Int 29*(SIC 29) iseffective for APbeginning on orafter 1 January2005 (on 31December2001).NoHK(SIC)-Int 31 Revenue – Barter TransactionsInvolving Advertising ServicesSIC-31NoHKAS-Int 31*(SIC 31) iseffective for APbeginning on orafter 1 January2005 (on 31December2001).NoComparison between Hong Kong Financial Reporting Standards and International Financial ReportingStandards as at 31 December 2018HK(SIC)-Int No. TitleSIC No.Differences inTransitionalProvisionsDifferences inEffectiveDatesOther Textual DifferencesHK(SIC)-Int 32 Intangible Assets – Web Site CostsSIC-32NoHKAS-Int 32*(SIC 32) iseffective for APbeginning on orafter 1 January2005 (on 25March 2002).NoComparison between Hong Kong Financial Reporting Standards and International Financial ReportingStandards as at 31 December 2018HK-Int No.TitleInternational -Int No.Differences inTransitionalProvisionsDifferences inEffectiveDatesOther Textual DifferencesHK-Int 4Leases – Determination of the Lengthof Lease Term in respect of HongKong Land LeasesNo equivalentinterpretationunder IFRS.N/AN/AN/AHK-Int 5Presentation of FinancialStatements – Classification by theBorrower of a Term Loan thatContains a Repayment onDemand ClauseNo equivalentinterpretationunder IFRS.N/AN/AN/ANotes* These Hong Kong pronouncements might have additional wording or paragraph(s) specifying that:

(i)

if an entity decides to early adopt a Standard, the entity is not required to apply all the Standards effective for the same date for that period;

(ii)

if an entity decides to early adopt a Standard, the entity is required to apply the relevant Interpretation for that period;

(iii)

early adoption is encouraged; or(iv)

the previous version of the Standard is withdrawn.SIC-7 Introduction of the Euro is not adopted in Hong KongThe paragraph numbers in HKFRSs generally correspond to the paragraph numbers in IFRSs.