No Accounting Standards Adoption On IFRS/IAS Summary of Amendment Impacts to Bank or Subsidiary Companies 1 SFAS 1 (revised 2015)
“Presentation of Financial Statements”
IAS 1 “Presentation of
Financial Statements” Materiality requirement, flexibility of systematic order of notes to financial statements, and identification of significant accounting policies.
Impacts only in terms of financial statements presentation and disclosures. SFAS is effective on 1 January 2017. Early implementation is permitted.
2 SFAS 16 (revised 2016) “ Fixed Assets:
Agriculture: Bearer Plants
IAS 16 “Agriculture : Bearer Plants
• The biological assets meet the definition of bearer plants are included in the scope of SFAS 16: Fixed Assets.
• The definition of bearer plants as plants which:
- are used in the production or supply of agriculture products;
- are expected to produce long-term products of more than one period; and
- has possibilities that are rare to be sold as agricultural products except for incidental sale.
• The recognition and measurement of bearer plants follow SFAS 16.
No significant impacts on the Bank and Subsidiaries
No Accounting Standards Adoption On IFRS/IAS Summary of Amendment Impacts to Bank or Subsidiary Companies 3 SFAS 69 (revised 2016)
“Agriculture”
IAS 41 “Agriculture” • Accounting treatments and disclosures related to agriculture activities.
• Biological assets stated at fair value less cost of sales, at initial recognition and reporting date.
• Agriculture products stated at fair value less cost of sales at initial recognition.
No significant impacts on the Bank and Subsidiaries
4 IFAS 31 (revised 2015)
“Interpretation on Scope of SFAS 13 : Property Investment”
• Interpretation on building characteristics which is part of definition of property investment in SFAS 13 “Property Investment”.
• Building in terms of property investment definition refer to physical structure related to building which has wall, floor, and roof.
No significant impacts on the Bank and Subsidiaries
5 Amendment of SFAS 2 : Statement of Cash Flow for Disclosure Initiative
Amendment IAS 7 :
“Disclosure Initiative” • The improvement information for financial statements users related to financing and liquidity entity activities.
• Requirements for entities to provide disclosure for financial statement user possibilities to evaluate liability changes due to financing activity include the changes of cash flow and non cash activities.
Impacts only in terms of financial statements presentation and disclosures.
This amendment is effective on or after 1 January 2018. Early implementation is permitted.
6 Amendment of SFAS 46 : “Income Tax on Deferred Tax Assets Recognition for Unrealized losses”
Amendment IAS 12 “Recognition of Deferred Tax Assets for Unrealised Losses”
The existence of deductable temporary difference, deductable of temporary differences valuation, the impact of deffered tax assets to future taxable income, and asset recovery exceed carrying value.
No significant impacts on the Bank and Subsidiaries
This amendment is effective on or after 1 January 2018. Early implementation is permitted.
7 SFAS 3 (revised 2016) : “Interim Financial Report”
Annual Improvements to IFRSs 2012–2014 Cycle effective on 1 January 2016
• Interim disclosure must be included on interim financial report or by cross references from interim financial report such as management letter or risk profile report which available for interim financial report users at the same time.
• If the financial statements user can not access the information available at cross-reference at the same time and requirements then the entity interim financial statement is considered incompleted.
Impacts only in terms of financial statements presentation and disclosures.
This SFAS is effective on or after 1 January 2017. Early implementation is permitted.
8 SFAS 24 (revised 2016)
: “Employee Benefits” IAS 19 : “Defined Benefit Plans : Employee Contributions”
The high quality of corporate bond markets valued by currency denominations and not based on the bond origin country.
No significant impacts on the Bank and Subsidiaries
This SFAS is effective on or after 1 January 2017. Early implementation is permitted.
9 SFAS 58 (revised 2016) : “Non Current Assets Held for Sale and Discontinue Operations”
Annual Improvements to IFRSs 2012–2014 Cycle effective on 1 January 2016
• The changes between disposal methods considered as initial continuous plan and not recognize as new disposal plan.
• This adjustment also clarify the changes of disposal method not impacted to the changes of classification date as asset or disposal group.
No significant impacts on the Bank and Subsidiaries
This SFAS is effective on or after 1 January 2016. Early implementation is permitted.
10 SFAS 60 (revised 2016) : “Financial Instruments : Disclosure”
IFRS 7 : “Financial Instruments : Disclosure”
Entity must valued the characteristics of benefit contract to decide whether the entity has continuous involvement in financial assets or no.
Impacts only in terms of financial statements presentation and disclosures.
This SFAS is effective on or after 1 January 2017. Early implementation is permitted.
11 SFAS 101 (revised 2016) : “Presentation of Sharia Financial Statement”
- • The presentation of sharia insurance financial statement illustration which represented revision of SFAS 108.
• The allowances for future policy benefits represented on financial statements as liability.
• The combination of “Statement of Changes Tabarru Funds” with “Statement of Tabarru Fund Underwriting Surplus Deficit”, as a result
Impacts only in terms of financial statements presentation and disclosures.
This SFAS is effective on 1 January 2017 prospectively.
Other Material Financial Information
No Accounting Standards Adoption On IFRS/IAS Summary of Amendment Impacts to Bank or Subsidiary Companies 12 SFAS 103 (revised
2016) : “Accounting for Salam”
- The revision of fair value definition to be :
“the price to be received to sell an asset or the price that would be paid to transfer a liability in the final transaction between market participants at the measurement date”
No significant impacts on the Bank and Subsidiaries
13 SFAS 104 (revised 2016) : “Accounting for Istishna”
- The revision of fair value definition to be :
“the price to be received to sell an asset or the price that would be paid to transfer a liability in the final transaction between market participants at the measurement date”
No significant impacts on the Bank and Subsidiaries
14 SFAS 107 (revised 2016) : “Accounting for Ijarah”
- The revision of fair value definition to be :
“the price to be received to sell an asset or the price that would be paid to transfer a liability in the final transaction between market participants at the measurement date”
No significant impacts on the Bank and Subsidiaries
15 SFAS 108 (revised 2016) : “Accounting for Sharia Insurance Transactions”
- • The sharia insurance contract to be classified as short term and long term.
• The classifications impacted to participation contribution income recognition and allowances.
• For short term sharia insurance contract, the participant contribution is recognized as tabarru fund income during insurance contract period.
• For long term sharia insurance contract, the participant contribution recognized as tabarru fund income at payment maturity date.
No significant impacts on the Bank and Subsidiaries