IFRS in Focus — IASB issues revenue recognition exposure draft (June 2010)
On 24 June 2010, the International Accounting Standards Board (IASB) and U.S. Financial Accounting Standards Board (FASB) published a joint exposure draft ED 2010/6 Revenue from Contracts with Customers.
The ED is the next step in developing an entirely new revenue recognition standard. The Boards’ objectives are to develop a common, comprehensive, principles-based revenue standard that can be applied consistently to complex transactions across a wide range of industries. The Boards believe that the proposals would be a significant improvement over the current revenue recognition guidance that can be vague, inconsistent and difficult to apply to complex transactions.