From 1 November to 3 November 2023, the Korea Accounting Institute (KAI, President: Han Yi) invited three IASB delegates—Vice-Chair Linda Mezon-Hutter, IASB Member and Chair of Interpretations Committee Bruce Mackenzie, and IASB Member Patrina Buchanan—to participate in seven special events in Seoul Korea.

The topics of discussion included the major projects of the IASB, the Interpretations Committee’s technical inquiries and the relevant procedures, and the current status of Korea’s standard setting and amendment activities. The IASB delegates and participants exchanged views on the systems employed to promote consistent application of IFRS, implementation issues and measures to improve the systems. The IASB delegation also met with Chairman of the Korea Exchange, investment industry experts, domestic listed companies, accounting firms and the Korean Accounting Association (KAA) to engage with various stakeholders.

Details of the seven events are as follows:

(1) KASB-IASB bilateral meeting, 1 November

The IASB delegation gave presentations on ‘Connectivity’ between financial reporting and sustainability disclosures and ‘Primary Financial Statements’, and the KASB (Korea Accounting Standards Board) presented on the K-IFRS amendment that sets out additional disclosure requirements on crypto assets and its submission to the IFRS Interpretations Committee about the accounting treatment for mergers between a parent and a subsidiary in separate financial statements. The two Boards actively exchanged views on the topics and had constructive discussions.

(2) IFRS Interpretations Committee Seminar, 1 November 

The KASB and IFRS Interpretations Committee delegation shared their respective procedures of technical inquiry services and discussed possible ways of improving the procedures for consistent application of IFRS.

(3) Visit to Korea Exchange, 2 November

The IASB delegation visited the Korea Exchange and met with its Chairman Sohn Byungdoo. The Korea Exchange explained about its Accounting Support Center for SMEs launched to provide accounting support to SMEs and the participants exchanged views. 

(4) Meeting with analysts, 2 November

The IASB delegation and analysts discussed how useful the definition of operating profit or loss, disclosure of management-defined performance measures, and disclosure of subsequent performances after mergers and acquisitions, which will be added to the new IFRS, would be and whether they would create any difficulties. 

(5) Seminar with IASB, 2 November

The IASB delegation was invited to a seminar jointly held by the KAI and the KAA. At the seminar, representatives from Korean companies, users, accounting firms, academia and the IASB delegation discussed the IASB’s major projects. Participants discussed potential impacts on the domestic practice that the new IFRS standards on (1) general presentation and disclosure in the income statement and related notes and (2) specific presentation and disclosure of financial instruments are expected to have. 

(6) Visit to a listed company, 3 November 

The IASB delegates visited an industry leader company and shared views on the expected impact of the new standard on general presentation and disclosure in the income statement and related notes that the IASB plans to issue in the first half of 2024.

(7) Seminar on PIR of IFRS 15, 3 November

The IASB delegation met with representatives from Korean companies, accounting firms and academia to discuss and exchange views on the implementation status of IFRS 15 Revenue from Contracts with Customers in Korea which has been in effect since 2018.

The seven events provided an invaluable opportunity for Korean stakeholders to enhance their understanding of the major IFRS amendment projects that are expected to affect Korea and also to discuss in advance the expected implementation issues with the IASB Members. It was also a chance for the IASB delegation to observe the robust accounting systems and practices of Korea as an exemplary adopter of IFRS.



END



About the KAI

The Korea Accounting Institute (KAI) is an independent private organization established on 1 September 1999. It is an umbrella organization of both the KASB and the KSSB. 

About the KASB

Since its establishment on 1 September 1999, the KASB has been mandated to set and revise accounting standards in Korea. The Board is committed to enhancing the quality of financial reporting by providing high quality accounting standards that are on a par with internationally accepted accounting standards. The KASB consists of 9 board members (2 of whom are full-time) who are professionals from the private sector.

About the KSSB

Since its establishment on 25 November 2022, the KSSB has been mandated to support setting and revising of sustainability disclosure standards in Korea. The KSSB consists of 7 board members (2 of whom are full-time) who are professionals from the private sector.

Press enquiries:

Jae-Ho Kim
Executive Director
Korea Accounting Standards Board
Tel: +82-2-6050-0175
Fax: +82-2-6050-0170
E-mail: jhkim@kasb.or.kr

Il-Hong Park
Technical Director
Korea Accounting Standards Board
Tel: +82-2-6050-0159
Fax: +82-2-6050-0170
E-mail: ihpark@kasb.or.kr