In a significant update for private company reporting, the International Accounting Standards Board (IASB) has finalised its amendments to IFRS 19 Subsidiaries without Public Accountability: Disclosures. The move completes the board’s planned “catch-up” work, ensuring the standard remains current and effective for its imminent application.
IFRS 19, initially issued in May 2024, provides a crucial exemption for qualifying subsidiaries. It allows them to apply the recognition and measurement requirements of full IFRS Accounting Standards while benefiting from a significantly reduced disclosure framework. The original version of the standard incorporated disclosure relief for standards published up to February 2021.
The newly published amendments extend this disclosure relief to cover the major IFRS pronouncements issued between February 2021 and May 2024. This ensures that subsidiaries adopting IFRS 19 will have a consistent and simplified reporting approach for all applicable standards. Key extensions now included within IFRS 19’s scope are:
- IFRS 18 Presentation and Disclosure in Financial Statements: The landmark standard on financial statement presentation.
- Amendments to IAS 7 and IFRS 7 Supplier Finance Arrangements: Enhancing transparency in supplier financing.
- Amendments to IAS 12 International Tax Reform—Pillar Two Model Rules: Addressing the complex accounting for global minimum tax.
- Amendments to IAS 21 Lack of Exchangeability: Providing guidance for currencies with restrictive exchangeability.
- Amendments to IFRS 9 and IFRS 7 Classification and Measurement of Financial Instruments: Updating rules for financial instrument accounting.
With these amendments, IFRS 19 now comprehensively incorporates all relevant updates to IFRS Accounting Standards that are effective for reporting periods beginning on or before 1 January 2027—the official effective date of the standard.
Looking ahead, the IASB has confirmed that IFRS 19 will be maintained on an ongoing basis. Future amendments to the standard will be made concurrently with the issuance of any new IFRS Accounting Standards or amendments, ensuring its reduced disclosure requirements remain permanently aligned with the latest reporting requirements.
This finalisation provides much-needed certainty for groups preparing to implement the standard, streamlining year-end closing and reporting processes for eligible subsidiaries from 2027 onward.
Source: IFRS, 21 August 2025.