As the first major financial reporting deadline for 2020 draws near, the COVID-19 epidemic seems to be slowing – at least in some parts of the world. However, there is still a high level of uncertainty, meaning it will be tricky to make judgements, calculate estimates, and identify assumptions to be used. Drawing up the interim financial statements for 2020 will therefore be something of a challenge, despite the assistance provided by regulators and standard-setters.
With this in mind, our latest COVID-19 supplement summarises ESMA’s Public Statement on the implications of the epidemic for interim financial statements, and the principles to follow in order to present appropriate information within and outside the financial statements.
Although this document does not modify the existing standards – unlike the amendment to IFRS 16, just published by the IASB and also summarised in this issue – it is particularly useful for its guidance on how best to explain the impact of the crisis on entities’ performance.
A Closer Look
- IASB publishes IFRS 16 amendment on COVID-19-related rent concessions
- ESMA publishes recommendations for 2020 interim financial reporting in the context of COVID-19