24 June 2016 — Consultation Response
The Federation of European Accountants has submitted its comments to IPSASB on Exposure Draft (ED) 60, Public Sector Combinations. The Federation supports the approach taken in this ED that aligns, as far as possible, Public Sector Combinations with International Financial Reporting Standard 3 (IFRS 3).
The Federation supports the scope of the ED as well as the approach presented to classifying public sector combinations. It also agrees with the view put forward in the ED that the modified pooling of interests method of accounting should be used in accounting for amalgamations, as well as the proposed treatment of the recognition of the residual amount arising from an amalgamation. In addition, the Federation agrees that the acquisition method should be used in accounting for acquisitions, since the provisions presented are mostly in line with IFRS3 and any differences and exceptions generally are well-founded.
For more information, please refer to the full comment letter available below.
FEE Response to Exposure Draft 60 Public Sector Combinations
IPSASB Exposure Draft 60, Public Sector Combinations
