Related Party Disclosures
Project objective
IAS 24 Related Party Disclosures requires disclosures about related parties and transactions with such parties. This project was not intended to reconsider IAS 24 fundamentally and has a limited scope as follows:
- providing an exemption from disclosure requirements for transactions between entities controlled, jointly controlled or significantly influenced by the same state (‘state-controlled entities’)
- amending the definitions of a related party and of a related party transaction to clarify the intended meaning and remove some inconsistencies
Where are we in the project?
2008 Exposure Draft
After considering responses to the 2007 exposure draft, the Board published on 11 December 2008 a second exposure draft, Relationships with the State, for comment by 13 March 2009. This:
- sets out a revised proposal for a disclosure exemption for state-controlled entities
- proposes one further amendment to the definition of a related party
2007 Exposure Draft
In February 2007 the IASB published an exposure draft State-controlled entities and the Definition of a Related Party, for comment by 25 May 2007.
In the 2007 exposure draft, the Board proposed:
- a disclosure exemption for state-controlled entities
- amendments to the definition of a related party and other minor amendments
Update on the revised definitions
The Board has considered the responses to the 2007 exposure draft. It intends to publish the definitions of a related party and of a related party transaction without further exposure (apart from one matter raised in the 2008 exposure draft) when it publishes the amendments resulting from the 2008 exposure draft.
The staff has posted the following on the Website, to show the effects of the Board’s decisions since the 2007 exposure draft:
Further information