IAS 18 Revenue - Revenue Recognition in respect of Initial Fees received by a Fund Manager
Status of the issue:
In January 2007, the IFRIC decided that it was unlikely to reach a consensus on this issue in a reasonable timeframe. The IFRIC therefore removed the issue from its agenda. Web content related to this project will be deleted in or around August 2007.
The issue related to situations where fund managers receive non-refundable initial fees at the inception of an investment in a fund, followed by regular fees for ongoing fund management. The IFRIC considered whether revenue in respect of the initial fee should be recognised as it is received or whether the initial fee should be deferred and recognised as revenue over the expected life of the investment.
Next milestones:
This project has been discontinued. Web content relating to this project will be deleted after 6 months.
Discussed by the IFRIC:
Staff contact:
- Tricia O’Malley (Director of Implementation Activities) tomalley@iasb.org