On May 4, IPSASB issued standard on non-current assets for sale.
IPSASB issued IPSAS 44, non-current assets held for sale and discontinued operations.
Follows IPSASB Apr. 2021 issued package of measurement related drafts, #103592.
Overview
IPSAS 44 specifies accounting for assets held for sale and presentation and disclosure of discontinued operations; and includes additional public sector requirements.
Such as disclosure of the fair value of assets held for sale that are measured at their carrying amounts, when the carrying amount is materially lower than their fair value.
Based on IFRS 5 non-current assets held for sale and discontinued operations.
IPSASB Chair said standard fills a gap in the IPSAS suite by providing guidance on how to account for public sector assets that are held for sale on commercial terms.
Guidance on the topic is important from a public interest perspective as it ensures transparency and accountability regarding decisions to sell public sector assets.
Effectiveness
IPSAS 44 has an effective date of Jan. 1, 2025; earlier application is permitted.
