# Commission Regulation (EC) No 1136/2009 of 25 November 2009 amending Regulation (EC) No 1126/2008 adopting certain international accounting standards in accordance with Regulation (EC) No 1606/2002 of the European Parliament and of the Council as regards International Financial Reporting Standard (IFRS) 1 (Text with EEA relevance) (revoked) EU Regulation No 1136/2009 · adopted 25 November 2009 Commission Regulation (EC) No 1136/2009 of 25 November 2009 amending Regulation (EC) No 1126/2008 adopting certain international accounting standards in accordance with Regulation (EC) No 1606/2002 of the European Parliament and of the Council as regards International Financial Reporting Standard (IFRS) 1 (Text with EEA relevance) PDFs: Printed copy https://openlegislation.uk/eu-regulation-2009-1136/pdf/eur_20091136_adopted_en.pdf ## Introductory text Commission Regulation (EC) No 1136/2009 of 25 November 2009 amending Regulation (EC) No 1126/2008 adopting certain international accounting standards in accordance with Regulation (EC) No 1606/2002 of the European Parliament and of the Council as regards International Financial Reporting Standard (IFRS) 1 (Text with EEA relevance) (revoked) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 2 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## Signature . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## INTERNATIONAL FINANCIAL REPORTING STANDARD 1 First-time Adoption of International Financial Reporting Standards . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## OBJECTIVE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 1 The objective of this IFRS is to ensure that an entity’s first IFRS financial statements, and its interim financial reports for part of the period covered by those financial statements, contain high quality information that: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## SCOPE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 2 An entity shall apply this IFRS in: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 3 An entity’s first IFRS financial statements are the first annual financial statements in which the entity adopts IFRSs, by an explicit and unreserved statement in those financial statements of compliance with IFRSs. Financial statements in accordance with IFRSs are an entity’s first IFRS financial statements if, for example, the entity: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 4 This IFRS applies when an entity first adopts IFRSs. It does not apply when, for example, an entity: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 5 This IFRS does not apply to changes in accounting policies made by an entity that already applies IFRSs. Such changes are the subject of: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## RECOGNITION AND MEASUREMENT . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## Opening IFRS statement of financial position . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 6 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## Accounting policies . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 7 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 8 An entity shall not apply different versions of IFRSs that were effective at earlier dates. An entity may apply a new IFRS that is not yet mandatory if that IFRS permits early application. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## Example: Consistent application of latest version of IFRSs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## Background . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## Application of requirements . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 9 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 10 Except as described in paragraphs 13–19 and Appendices B–E, an entity shall, in its opening IFRS statement of financial position: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 11 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 12 This IFRS establishes two categories of exceptions to the principle that an entity’s opening IFRS statement of financial position shall comply with each IFRS: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## Exceptions to the retrospective application of other IFRSs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 13 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## Estimates . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 14 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 15 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 16 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 17 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## Exemptions from other IFRSs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 18 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 19 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## PRESENTATION AND DISCLOSURE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 20 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## Comparative information . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 21 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## Non-IFRS comparative information and historical summaries . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 22 Some entities present historical summaries of selected data for periods before the first period for which they present full comparative information in accordance with IFRSs. This IFRS does not require such summaries to comply with the recognition and measurement requirements of IFRSs. Furthermore, some entities present comparative information in accordance with previous GAAP as well as the comparative information required by IAS 1. In any financial statements containing historical summaries or comparative information in accordance with previous GAAP, an entity shall: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## Explanation of transition to IFRSs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 23 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## Reconciliations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 24 To comply with paragraph 23, an entity’s first IFRS financial statements shall include: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 25 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 26 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 27 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 28 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## Designation of financial assets or financial liabilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 29 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## Use of fair value as deemed cost . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 30 If an entity uses fair value in its opening IFRS statement of financial position as deemed cost for an item of property, plant and equipment, an investment property or an intangible asset (see paragraphs D5 and D7), the entity’s first IFRS financial statements shall disclose, for each line item in the opening IFRS statement of financial position: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## Use of deemed cost for investments in subsidiaries, jointly controlled entities and associates . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 31 Similarly, if an entity uses a deemed cost in its opening IFRS statement of financial position for an investment in a subsidiary, jointly controlled entity or associate in its separate financial statements (see paragraph D15), the entity’s first IFRS separate financial statements shall disclose: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## Interim financial reports . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 32 To comply with paragraph 23, if an entity presents an interim financial report in accordance with IAS 34 for part of the period covered by its first IFRS financial statements, the entity shall satisfy the following requirements in addition to the requirements of IAS 34: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 33 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## EFFECTIVE DATE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 34 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 35 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 36 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 37 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 38 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 39 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## WITHDRAWAL OF IFRS 1 (ISSUED 2003) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 40 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## A Defined terms . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## B Exceptions to the retrospective application of other IFRSs This appendix is an integral part of the IFRS. B1 An entity shall apply the following exceptions: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Derecognition of financial assets and financial liabilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . B2 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . B3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Hedge accounting . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . B4 As required by IAS 39, at the date of transition to IFRSs, an entity shall: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . B5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . B6 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Non-controlling interests . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . B7 A first-time adopter shall apply the following requirements of IAS 27 (as amended in 2008) prospectively from the date of transition to IFRSs: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## C Exemptions for business combinations This appendix is an integral part of the IFRS. An entity shall apply the following requirements to business combinations that the entity recognised before the date of transition to IFRSs. C1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . C2 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . C3 An entity may apply IAS 21 retrospectively to fair value adjustments and goodwill arising in either: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . C4 If a first-time adopter does not apply IFRS 3 retrospectively to a past business combination, this has the following consequences for that business combination: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . C5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## D Exemptions from other IFRSs This appendix is an integral part of the IFRS. D1 An entity may elect to use one or more of the following exemptions: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Share-based payment transactions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . D2 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . D3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Insurance contracts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . D4 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Fair value or revaluation as deemed cost . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . D5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . D6 A first-time adopter may elect to use a previous GAAP revaluation of an item of property, plant and equipment at, or before, the date of transition to IFRSs as deemed cost at the date of the revaluation, if the revaluation was, at the date of the revaluation, broadly comparable to: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . D7 The elections in paragraphs D5 and D6 are also available for: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . D8 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Leases . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . D9 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Employee benefits . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . D10 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . D11 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Cumulative translation differences . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . D12 IAS 21 requires an entity: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . D13 However, a first-time adopter need not comply with these requirements for cumulative translation differences that existed at the date of transition to IFRSs. If a first-time adopter uses this exemption: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Investments in subsidiaries, jointly controlled entities and associates . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . D14 When an entity prepares separate financial statements, IAS 27 (as amended in 2008) requires it to account for its investments in subsidiaries, jointly controlled entities and associates either: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . D15 If a first-time adopter measures such an investment at cost in accordance with paragraph D14, it shall measure that investment at one of the following amounts in its separate opening IFRS statement of financial position: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Assets and liabilities of subsidiaries, associates and joint ventures . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . D16 If a subsidiary becomes a first-time adopter later than its parent, the subsidiary shall, in its financial statements, measure its assets and liabilities at either: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . D17 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Compound financial instruments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . D18 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Designation of previously recognised financial instruments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . D19 IAS 39 permits a financial asset to be designated on initial recognition as available for sale or a financial instrument (provided it meets certain criteria) to be designated as a financial asset or financial liability at fair value through profit or loss. Despite this requirement exceptions apply in the following circumstances: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Fair value measurement of financial assets or financial liabilities at initial recognition . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . D20 Notwithstanding the requirements of paragraphs 7 and 9, an entity may apply the requirements in the last sentence of IAS 39 paragraph AG76 and in paragraph AG76A, in either of the following ways: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Decommissioning liabilities included in the cost of property, plant and equipment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . D21 IFRIC 1 Changes in Existing Decommissioning, Restoration and Similar Liabilities requires specified changes in a decommissioning, restoration or similar liability to be added to or deducted from the cost of the asset to which it relates; the adjusted depreciable amount of the asset is then depreciated prospectively over its remaining useful life. A first-time adopter need not comply with these requirements for changes in such liabilities that occurred before the date of transition to IFRSs. If a first-time adopter uses this exemption, it shall: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Financial assets or intangible assets accounted for in accordance with IFRIC 12 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . D22 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Borrowing costs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . D23 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## E Short-term exemptions from IFRSs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . --- Source: https://www.legislation.gov.uk/eur/2009/1136 (the official version) Page: https://openlegislation.uk/eu-regulation-2009-1136 Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.