Adoption of New Accounting Standards and Amendments to Existing Accounting Standards

April 6, 2018SEC MEMORANDUM CIRCULAR NO. 06-18SUBJECT : Adoption of New Accounting Standards and Amendments to Existing Accounting Standards The Commission, in its meeting held on April 5, 2018, approved the adoption of the following pronouncements as part of SEC's rules and regulations on financial reporting: TitleBrief DescriptionPhilippine Financial Reporting Standard (PFRS) 16, LeasesAn entity shall apply this standard for annual periods beginning on or after January 1, 2019. Earlier application is not permitted until the Financial Reporting Standards Council (FRSC) has adopted International Financial Reporting Standard (IFRS) 15, the new revenue recognition standard. Once adopted, earlier application of PFRS 16 is permitted if the entity has adopted the new revenue recognition standard.Disclosure Initiative [Amendments to Philippine Accounting Standard (PAS) 7]An entity shall apply the amendments for annual periods beginning on or after January 1, 2017. Earlier application is permitted.Recognition of Deferred Tax Assets for Unrealized Losses (Amendments to PAS 12)An entity shall apply the amendments retrospectively for annual periods beginning on or after January 1, 2017. Earlier application is permitted.All of the foregoing pronouncements...