Your essential guides to financial statements 

Our Guides to financial statements help you to prepare financial statements in accordance with IFRS. They have two components:    

• Illustrative disclosures, including supplements, that illustrate one possible format for financial statements prepared under IFRS, based on a fictitious multinational corporation; and 
• Disclosure checklist, which identifies the disclosures that may be required based on currently effective standards and also includes disclosures for the forthcoming standards that are available for early adoption.

Impact of the new standards

IFRS 9 Financial Instruments and IFRS 15 Revenue from Contracts with Customers are effective for the first time for companies with an annual reporting period beginning on or after 1 January 2018.

Applying the new standards is expected to significantly affect the disclosures included in the financial statements – both disclosure of the nature and effect of changes in accounting policies and new ‘business as usual’ disclosures. 

Our 2018 annual illustrative disclosures (PDF 2.7 MB) illustrate one possible way of applying the new requirements. They also include illustrative disclosures on the possible impacts of IFRS 16 Leases.

Explaining the changes

As you apply IFRSs 9 and 15 in your 2018 annual financial statements, embrace the opportunity to think through how best to explain the changes and their effects. 

The quality and clarity of explanations of changes in accounting policies and their impacts are key. Investors and other stakeholders will be keenly interested in disclosures of key judgements and estimates. 

You can also follow 'KPMG IFRS' on LinkedIn, listen to our podcasts and read our IFRS blog for the latest content and topical discussion on IFRS.

Download our guides