IFAS Disclosure Checklist 2014 For non listed entities

Transcription

1 July 2014 IFAS Disclosure Checklist 2014 For non listed entities

2 Introduction The Indonesian Financial Accounting Standards (IFAS) disclosure checklist for non listed entities is designed to facilitate the collection and review of disclosure for each component of the Statement of Financial Accounting Standards (PSAK). It outlines the disclosures required by all PSAK published up to and including 31 December Areas in which disclosure requirements have changed since 2013 are highlighted in grey. The most recently issued standards and interpretations from Accounting Standard Board of Indonesian Institutes of Accountants (DSAK-IAI) are: Effective date ISAK 27 Transfer assets from customer 1 January 2014*) ISAK 28 Extinguishing financial liabilities with equity instrument 1 January 2014*) ISAK 29 Stripping cost in the production phase of surface mine 1 January 2014*) Forthcoming standards and interpretations are: PSAK 65 Consolidated financial statements 1 January 2015 PSAK 66 Joint arrangements 1 January 2015 PSAK 67 Disclosure of interests in other entities 1 January 2015 PSAK 68 Fair value measurement 1 January 2015 Amendment to PSAK 1 Presentation of financial statements 1 January 2015 Amendment to PSAK 4 Separate financial statements 1 January 2015 Amendment to PSAK 15 Investment in associates and joint 1 January 2015 ventures Amendment to PSAK 24 Employee benefits 1 January 2015 Amendment to PSAK 46 Income tax 1 January 2015 Amendment to PSAK 48 "Impairment of asset" 1 January 2015 Amendment to PSAK 50 Financial instrument : Presentation 1 January 2015 Amendment to PSAK 55 Financial instrument : Recognition and 1 January 2015 measurement Amendment to PSAK 60 Financial instrument : Disclosures 1 January 2015 Amendment to ISAK 26 "Reassessment of Embedded Derivatives" 1 January 2015 *) early adoption is permitted Disclosure requirements resulting from standards and interpretations that have been issued but are not yet effective are not included in this checklist. The checklist does not deal with the measurement requirements of PSAK; a thorough reading of those standards and interpretations that are relevant to the reporting entity s circumstances will be necessary. For non listed entities 2

3 This checklist is intended for general reference purposes only; it is not a substitute for reading the standards and interpretations themselves, or for professional judgment as to the fairness of presentation. Further specific information may be required in order to ensure fair presentation under PSAK depending on the circumstances. For non listed entities 3

4 Structure of Disclosure Checklist Section A Section B Section C Section D Section E Section F Disclosures for consideration Disclosures required of all entities but only in certain situations Industry-specific disclosures Additional Disclosures Mandatory for Entities with Public Accountability Additional disclosures required of entities that issue insurance contracts Disclosures required for retirement benefit plans Format of Disclosure Checklist The Disclosure Checklist is presented in a format designed to facilitate the collection and review of disclosures for each component of the financial statements. All disclosures have been grouped by subject, where appropriate. Additional notes and explanations in the checklist are shown in italics. The references in the left-hand margin of the checklist represent the paragraphs of the standards in which the disclosure requirements appear. The designation DV (disclosure voluntary) indicates that the relevant PSAK encourages, but does not require, the disclosure. The box in the right-hand margin of each page is designed to assist in completing the checklist. In the left-hand box (headed Y-NA-NM ) one of the following should be entered for each disclosure item: Y ( Yes ) the appropriate disclosure has been made; NA ( Not applicable ) the item does not apply to the reporting entity; or NM ( Not material ) the item is regarded as not material to the financial statements of the reporting entity. Materiality is defined in PSAK 1 and in the Framework for the Preparation and Presentation of Financial Statements. The right-hand box on each page (headed Ref ) can be used to insert a reference to the relevant part of the financial statements (for example, Note 7) for all items that have been marked Y in the left-hand box. For non listed entities 4

5 Table of Contents A Disclosures for consideration 10 A1 General disclosures 10 A1.1 General disclosures 10 A1.2 Presentation and functional currency 12 A1.3 Other disclosures 13 A2 Accounting policies 16 A2.1 General Disclosures 16 A2.2 Specific policies 18 A2.3 Changes in accounting policy 20 A3 Statement of comprehensive income and related notes 22 A3.1 General disclosures 22 A3.2 Individual items 25 A3.3 Income taxes 27 A3.4 Extraordinary items 29 A4 Statement of changes in equity and related notes 29 A4.1 Statement of changes in equity 29 A4.2 General disclosures 30 A5 Statement of financial position and related notes 32 A5.1 General disclosures 32 A5.2 Measurement uncertainty 36 A5.3 Fixed assets 37 A5.4 Investment property 40 A5.5 Intangible assets (excluding goodwill) 43 A5.6 Impairment of assets 45 A5.7 Associates 50 A5.8 Joint ventures 52 A5.9 Subsidiaries 53 A Subsidiaries 53 A Supplementary information to the consolidated financial statements 54 A Other disclosures 54 A Other disclosures impacted by PSAK 4- Consolidated and Separate Financial Statements 55 A5.10 Investments - financial assets 56 A5.11 Inventory 57 A5.12 Trade and other receivables 57 A5.13 Income taxes 58 A5.14 Trade and other payables 59 A5.15 Provisions 60 For non listed entities 5

6 A5.16 Post - employment benefits - defined benefit plans 61 A5.17 Lease liabilities 67 A5.17.a - Lessees - finance leases 67 A5.17.b - Lessees - operating leases 68 A5.17.c - Arrangements that do not involve a lease in substance 69 A5.18 Borrowings and other liabilities 69 A5.19 Government grants 70 A5.20 Related-party transactions 71 A General disclosures 71 A Transactions with parent 73 A Transactions with entities with joint control or significant influence over the entity 74 A Transactions with subsidiaries 74 A Transactions with associates 75 A Transactions with joint ventures in which the entity is a venturer 75 A Transactions with key management personnel of the entity or its parent 76 A Transactions with post-employment benefit plans 77 A Participation in a defined benefit plan that shares risks between group entities 77 A Transactions with other related parties 78 A Government-related entities 79 A5.21 Commitments 80 A5.22 Contingencies 81 A5.23 Events after the reporting period 82 A6 Statement of cash flows 84 A6.1 General presentation 84 A6.2 Individual items 86 A6.3 Changes in ownership interests in subsidiaries and other businesses 87 A7 Business combinations and disposals 88 A7.1 General disclosures 88 A7.2 Adjustments 91 A7.3 Measurement period 92 A7.4 Contingent consideration 92 A7.5 Contingent liabilities 92 A7.6 Goodwill 93 A7.7 Evaluation of the financial effects of gains and losses recognised in the current reporting period 94 A7.8 Other disclosures impacted by PSAK 22 income taxes 94 A8 Financial instruments 95 A8.1 General disclosures 95 A8.2 Categories of financial assets and financial liabilities 95 For non listed entities 6

7 A8.3 Financial assets or financial liabilities at fair value through profit or loss 95 A8.4 Reclassification 97 A8.5 Derecognition 98 A8.6 Collateral 98 A8.7 Allowance account for credit losses 99 A8.8 Compound financial instruments with multiple embedded derivatives 99 A8.9 Defaults and breaches 99 A8.10 Items of income, expense, gains or losses 100 A8.11 Other disclosures 101 A Accounting policies 101 A Hedge accounting 102 A Fair value 103 A8.12 Nature and extent of risks arising from financial instruments 107 A8.13 Qualitative disclosures 107 A8.14 Quantitative disclosures 108 A8.14.a - Credit risk 109 A8.14.b - Liquidity risk 111 A8.14.c - Market risk - Sensitivity analysis 112 A8.14.d - Other market risk disclosures 113 A8.15 Capital disclosures 114 A9 Distributions of non-cash assets to owners - ISAK Non-current assets held for sale and discontinued A10 operations 116 B Disclosures required of all entities but only in certain situations 122 B1 Correction of prior-period errors 122 B2 Reporting in the currency of a hyperinflationary economy 122 B3 Uncertainties about going concern 124 B4 Departure from PSAK 124 B5 Change of year-end 125 B6 Share-based payments 125 B7 Business combinations of entities under common control 128 C Industry-specific disclosures 131 C1 Real estate development activities 131 C2 Non-profit organization 132 C3 General insurance 135 C4 Construction contact 136 C5 Accounting for life insurance 136 C5 Service concession arrangements 137 C7 Accounting by a lessor 138 C7.a - Lessors - finance leases 138 For non listed entities 7

8 C7.b - Lessors - operating leases 138 C8 Exploration for and evaluation of mineral resources 139 D Additional disclosures mandatory for entities with public accountability 142 D1 Operating segments 142 D1.1 - General disclosures 142 D1.2 - Profit or loss, assets and liabilities 142 D1.3 - Explanation of segment profit or loss, segment assets and liabilities 143 D1.4 - Reconciliations 144 D1.5 - Restatement of previously reported information 145 D1.6 - Entity-wide disclosures 145 D1.7 - Other disclosures impacted by the adoption of PSAK 5 Operating Segments 147 D2 Earnings per share 148 Additional disclosures required of entities that issue E insurance contracts 152 E1 Disclosures required of entities that issue insurance contracts 152 F Disclosures required for retirement benefit plans 156 F1 Disclosures required for retirement benefit plans 156 For non listed entities 8

9 Section A Disclosure for consideration Section A Disclosures for consideration by all entities For non listed entities 9

10 A A1 Disclosures for consideration General disclosures A1.1 General disclosures A1.1.1 Financial statements present fairly the financial position, financial performance and cash flows of an entity. Fair presentation requires the faithful representation of the effects of transactions, other events and conditions in accordance with the definitions and recognition criteria for assets, liabilities, income and expenses set out in the Framework for preparation and presentation of financial statements (Framework). The application of SAK, with additional disclosure when necessary, is presumed to result in financial statements that achieve a fair presentation. PSAK 1.17 A An entity prepares its financial statements, except for cash flow information, using the accrual basis of accounting. PSAK 1.25 A1.1.3 A1.1.3 A1.1.3 Include the following components in the financial statements: (a) a statement of financial position (balance sheet) at the period end date; (b) a statement of comprehensive income for the period; PSAK 1.11 PSAK 1.11 PSAK 1.11 A1.1.3 (c) separate income statement (if presented) PSAK 1.13 A1.1.3 (d) a statement of changes in equity for the period; PSAK 1.11 A1.1.3 (e) a statement of cash flows for the period; and PSAK 1.11 A1.1.3 A1.1.4 (f) notes, including a summary of significant accounting policies and other explanatory information. Where a separate income statement is presented, display immediately before the statement of comprehensive income. PSAK 1.11 PSAK 1.13 A1.1.5 A1.1.6 A1.1.7 Include a statement at the bottom of each financial statement that refers to the accompanying notes. Where an entity applies an accounting policy retrospectively or makes a retrospective restatement of items, or reclassifies items in its financial statements, include a statement of financial position as at the beginning of the earliest comparative period. Present with equal prominence all of the financial statements. PwC PSAK 1.11 PSAK 1.12 For non listed entities 10

11 A1.1.8 A1.1.9 A A Present separately each material class of similar items. Present separately items of a dissimilar nature or function unless they are immaterial. Do not offset assets and liabilities or income and expenses unless required or permitted by an SAK. Make an explicit and unreserved statement in the notes that the financial statements comply with SAK. Financial statements should not be described as complying with SAK unless they comply with all the requirements of SAK. Identify the financial statements and distinguish them from other information in the same published documents. PSAK 1.27 PSAK 1.30 PSAK 1.18 PSAK 1.47 A Identify each financial statement and the notes. PSAK 1.49 A Display the following information prominently, and repeat where necessary for the information presented to be understood: A (a) the name of the reporting entity or other means of identification, and any change in that information from the end of the previous reporting period; PSAK 1.49(a) A A (b) whether the financial statements are for an individual entity or a group of entities; (c) the date of the end of the reporting period or the period covered by the financial statements and notes; A (d) the presentation currency (defined in PSAK 10); and A A A (e) the level of rounding used in presenting amounts in the financial statements. An entity need not provide a specific disclosure required by a PSAK if the information is not material. Where an entity has changed the end of its reporting period and prepares financial statements for a period of less than or more than one year, disclose: PSAK 1.49(b) PSAK 1.49(c) PSAK 1.49(d) PSAK 1.49(e) PSAK 1.29 PSAK 1.34 A (a) the period covered by the financial statements; PSAK 1.34 A (b) the reason for using a longer or shorter period; and PSAK 1.34 (a) A A A (c) the fact that amounts presented in the financial statements are not entirely comparable. Include the following in the notes to the financial statements: (a) the date when the financial statements were authorised for issue; and PSAK 1.34 (b) PSAK 8.17 PSAK 8.17 A (b) the body who gave that authorisation. PSAK 8.17 For non listed entities 11

12 A1.2 Presentation and functional currency A1.2.1 An entity shall disclose: PSAK A1.2.1 (a) the amount of exchange differences recognised in profit or loss except for those arising on financial instruments measured at fair value through profit or loss in accordance with PSAK 55; and A1.2.1 A1.2.2 A1.2.3 A1.2.4 A1.2.5 A1.2.6 A1.2.6 (b) net exchange differences recognised in other comprehensive income and accumulated in a separate component of equity, and a reconciliation of the amount of such exchange differences at the beginning and end of the period. When the presentation currency is different from the functional currency, that fact shall be stated, together with disclosure of the functional currency and the reason for using a different presentation currency. When there is a change in the functional currency of either the reporting entity or a significant foreign operation, that fact and the reason for the change in functional currency shall be disclosed. When an entity presents its financial statements in a currency that is different from its functional currency, it shall describe the financial statements as complying with SAKs only if they comply with all the requirements of SAKs including the translation method set out in paragraphs 40 and 43. An entity sometimes presents its financial statements or other financial information in a currency that is not its functional currency without applying the translation methods set out in PSAK 10 paragraph 57. For example, an entity may convert only selected items from its financial statements into another currency; or, an entity whose functional currency is not the currency of a hyperinflationary economy may convert the financial statements into another currency by translating all items at the most recent closing rate. Such conversions are not in accordance with PSAK, and the disclosures set out in PSAK 10 paragraph 62 are required (see below). When an entity displays its financial statements or other financial information in a currency that is different from either its functional currency or its presentation currency and the requirements of paragraph 60 are not met, it shall: (a) clearly identify the information as supplementary information to distinguish it from the information that complies with SAKs; PSAK PSAK PSAK PSAK PSAK For non listed entities 12

13 A1.2.6 A1.2.6 (b) disclose the currency in which the supplementary information is displayed; and (c) disclose the entity's functional currency and the method of translation used to determine the supplementary information. A1.3 Other disclosures A1.3.1 A1.3.1 A1.3.1 Disclose in the notes to the financial statements: (a) information about the basis of preparation of the financial statements and the specific accounting policies used according to paragraph ( disclosures on measurement basis used in the preparation of financial statements and other accounting policies used which are relevant to an understanding of financial statements.); (b) the information required by SAK that is not presented elsewhere in the financial statements; and PSAK 1.111(a) PSAK 1.111(b) A1.3.1 A1.3.2 A1.3.3 (c) information that is not presented elsewhere but is relevant to an understanding of the financial statements. The notes are given in a systematic manner, as far as is practicable, with each item cross-referenced in the statements of financial position and of comprehensive income, the separate income statement (where presented) and in the statements of changes in equity and cash flows to any related information in the notes. Notes are normally presented in the following order to assist users to understand the financial statements and to compare them with financial statements of other entities (unless considered necessary or desirable to vary the order): PSAK 1.111(c) PSAK PSAK A1.3.3 (a) statement of compliance with SAK (see PSAK 1.18); PSAK 1.113(a) A1.3.3 A1.3.3 (b) summary of significant accounting policies applied (see PSAK 1.116); (c) supporting information for items presented in the statements of financial position and of comprehensive income, in the separate income statement (if presented), and in the statements of changes in equity and of cash flows, in the order in which each statement and each line item is presented; and PSAK 1.113(b) PSAK 1.113(c) A1.3.3 (d) other disclosures, including: PSAK 1.113(d) A1.3.3 (i) contingent liabilities (see PSAK 57) and unrecognised contractual commitments; PSAK 1.113(d) For non listed entities 13

14 A1.3.3 (ii) non-financial disclosures (see PSAK 60). PSAK 1.113(d) A1.3.4 A1.3.5 A1.3.6 A1.3.7 A1.3.7 A1.3.7 A1.3.7 A1.3.8 A1.3.8 A1.3.8 A1.3.8 A1.3.9 Notes providing information about the basis of preparation of the financial statements and specific accounting policies may be presented as a separate section of the financial statements. Provide additional disclosures when compliance with the specific requirements in SAK is insufficient to enable users to understand the impact of particular transactions, other events and conditions on the entity s financial position and financial performance. Disclose comparative information in respect of the previous period for all amounts reported in the current period s financial statements, except where SAK permit or require otherwise. This includes comparative information for both narrative and descriptive information where it is relevant to understanding the financial statements for the current period. An entity disclosing comparative information presents, as a minimum, two statements of financial position, two of each of the other statements, and related notes. Where an entity applies an accounting policy retrospectively or makes a retrospective restatement of items in its financial statements, or when it reclassifies items in its financial statements, it presents, as a minimum, three statements of financial position, two of each of the other statements, and related notes. An entity presents statements of financial position as at: (a) the end of the current period; (b) the end of the previous period (which is the same as the beginning of the current period); and (c) the beginning of the earliest comparative period. Where an entity has reclassified comparative amounts due to a change in presentation or classification of items in its financial statements, disclose: (a) the nature of the reclassification; (b) the amount of each item or class of item that is reclassified; and (c) the reason for the reclassification. When an entity changes the presentation or classification of items in its financial statements, reclassify comparative amounts unless it is impracticable to do so. PSAK PSAK 1.19 (c) PSAK 1.36 PSAK 1.37 PSAK 1.39(a),(b), (c) PSAK 1.39 For non listed entities 14

15 A A A A A A A A A A A A Where an entity changes the presentation or classification of items, but it is impracticable to reclassify comparative amounts, disclose: (a) the reason for not reclassifying the amounts; and (b) the nature of the adjustments that would have been made if the amounts had been reclassified. Retain the presentation and classification of items in the financial statements from one period to the next unless: (a) it is apparent, following a significant change in the nature of the entity s operations or a review of its financial statements, that another presentation or classification would be more appropriate having regard to the criteria for the selection and application of accounting policies; or (b) a PSAK requires a change in presentation. Disclose the following: (a) the domicile and legal form of the entity, the country in which it is incorporated and the address of its registered office (or principal place of business, if different from the registered office); (b) a description of the nature of the entity s operations and its principal activities; (c) the name of the parent and the ultimate parent of the group (In the event that cannot be disclosed, the reason shall be stated.); (d) if it is a limited life entity, information regarding the length of its life; (e) name of the immediate parent entity (or other controlling shareholder); and PSAK 1.40 PSAK 1.43 PSAK 1.138(a) PSAK 1.138(b) PSAK 1.138(c) PSAK 1.138(d) PSAK 7.14 A (f) name of the ultimate controlling party. PSAK 7.14 A Entities may present outside the financial statements a financial review by management that describes and explains the main features of the entity s financial performance and financial position, and the principal uncertainties it faces. DV For non listed entities 15

16 A2 Accounting policies A2.1 General Disclosures A2.1.1 A2.1.1 A2.1.1 A2.1.2 Disclose in the summary of significant accounting policies: (a) the measurement basis (or bases) used in preparing the financial statements; and (b) the other accounting policies used that are relevant to an understanding of the financial statements. Disclose in the summary of significant accounting policies or other notes the judgments, apart from those involving estimations that management has made in applying the entity s accounting policies and that have the most significant impact on the amounts recognised in the financial statements. PSAK 1.116(a) PSAK 1.116(b) PSAK A2.1.2 A2.1.3 In the process of applying the entity's accounting policies, management makes various judgments, apart from those involving estimations, that can significantly affect the amounts it recognises in the financial statements. For example, management makes judgments in determining: (a) whether financial assets are held-to-maturity investments; (b) when substantially all the significant risks and rewards of ownership of financial assets and lease assets are transferred to other entities; (c) whether, in substance, particular sales of goods are financing arrangements and therefore do not give rise to revenue; and (d) whether the substance of the relationship between the entity and a special purpose entity indicates that the entity controls the special purpose entity. Disclose information about the assumptions made about the future and other major sources of estimation uncertainty at the end of the reporting period that have a significant risk of leading to material adjustments to the carrying amounts of assets and liabilities within the next financial year. In respect of those assets and liabilities, disclose: PSAK PSAK A2.1.3 (a) their nature, and PSAK 1.124(a) A2.1.3 (b) their carrying amount as at the period end date. PSAK 1.124(b) For non listed entities 16

17 A2.1.4 A2.1.5 A2.1.6 A2.1.7 A2.1.7 Determining the carrying amounts of some assets and liabilities requires estimation of the effects of uncertain future events on those assets and liabilities at the end of the reporting period. For example, in the absence of recently observed market prices, future-oriented estimates are necessary to measure the recoverable amount of classes of property, plant and equipment, the effect of technological obsolescence on inventories, provisions subject to the future outcome of litigation in progress, and long-term employee benefit liabilities such as pension obligations. These estimates involve assumptions about such items as the risk adjustment to cash flows or discount rates, future changes in salaries and future changes in prices affecting other costs. These disclosures are not required for assets and liabilities with a significant risk that their carrying amounts might change materially within the next financial year if, at the end of the reporting period, they are measured at fair value based on recently observed market prices. Such fair values might change materially within the next financial year but these changes would not arise from assumptions or other sources of estimation uncertainty at the end of the reporting period. Examples of the types of disclosures an entity makes are: (a) the nature of the assumption or other estimation uncertainty; (b) the sensitivity of carrying amounts to the methods, assumptions and estimates underling their calculation, including the reasons for the sensitivity; (c) the expected resolution of an uncertainty and the range of reasonably possible outcomes within the next financial year in respect of the carrying amounts of the assets and liabilities affected; and (d) an explanation of the changes made to past assumptions concerning those assets and liabilities, if the uncertainty remains unresolved. Where impracticable to disclose the extent of the possible effects of an assumption or another source of estimation uncertainty at the end of the reporting period, disclose that: (a) it is reasonably possible, on the basis of existing knowledge, that outcomes within the next financial year that are different from the assumption could require a material adjustment to the carrying amount of the asset or liability affected and; PSAK PSAK PSAK PSAK PSAK For non listed entities 17

18 A2.1.7 A2.1.8 A2.1.9 A (b) the nature and carrying amount of the specific asset or liability (or class of assets or liabilities) affected by the assumption. In consolidated financial statements, the results of all subsidiaries, associates and joint ventures should be consolidated, equity accounted or proportionally consolidated, as applicable, using uniform accounting policies for like transactions and other events in similar circumstances. In accordance with the transition provisions of each standard, disclose whether any standards have been adopted by the reporting entity before the effective date. The entity cannot rectify inappropriate accounting policies either by disclosure of the accounting policies used or by notes or explanatory material. PSAK PSAK 4.21; PSAK 15.23; PSAK PSAK PSAK 1.20 A2.2 Specific policies: A2.2.1 Consolidation principles, including accounting for: PSAK 4.1 A2.2.1 (a) subsidiaries; and PSAK 4.3 A2.2.1 (b) jointly controlled entities, and associates. PSAK 4.3 A2.2.2 Business combinations. PSAK A2.2.3 Joint ventures, including the method the venturer uses to recognise its interests in jointly controlled entities. PSAK A2.2.4 Foreign currency transactions and translation. PSAK 10.3 A2.2.5 Fixed Assets for each class: PSAK 16.74; PSAK 1.76(a) A2.2.5 (a) the measurement bases used for determining the gross carrying amount ; PSAK (a) A2.2.5 (b) the depreciation methods used; and PSAK (b) A2.2.5 (c) the useful lives or the depreciation rates used. PSAK (c) A2.2.6 A2.2.6 A2.2.6 Investment property. Disclose: (a) whether the entity applies the fair value model or the cost model; (b) if it applies the fair value model, whether, and in what circumstances, property interests held under operating leases are classified and accounted for as investment property; PSAK 13.79(a) PSAK 13.79(b) A2.2.6 (c) when classification is difficult (see PSAK 13.14), the criteria the entity uses to distinguish investment property from owner-occupied property and from property held for sale in the ordinary course of PSAK 13.79(c) For non listed entities 18

19 business; A2.2.6 A2.2.6 A2.2.7 (d) the methods and significant assumptions applied in determining the fair value of investment property, including a statement on whether the determination of fair value was supported by market evidence or was more heavily based on other factors (which should be disclosed) because of the nature of the property and lack of comparable market data; and (e) the extent to which the fair value of investment property (as measured or disclosed in the financial statements) is based on a valuation by an independent valuer who holds a recognised and relevant professional qualification and has recent experience in the location and category of the investment property being valued. Other intangible assets. Disclose, for each class (distinguishing between internally generated and acquired assets): PSAK 13.79(d) PSAK 13.79(e) PSAK A2.2.7 (a) accounting treatment (cost model or revaluation model); PSAK A2.2.7 (b) whether the useful lives are indefinite or finite; PSAK (a) A2.2.7 (c) for intangible assets with finite useful lives, the amortisation period and amortisation methods used (for example, the straight-line method); and PSAK (a) and (b) A2.2.7 A2.2.8 (d) for intangible assets with indefinite useful lives, that they have been tested for impairment annually and whenever there is an indication that the intangible asset may be impaired. Treatment of research costs and the basis for capitalisation of development costs and website development costs. PSAK PSAK 19 A2.2.9 Borrowing costs PSAK A Leases. PSAK 30 A Inventories, including the cost formula used (for example, FIFO or weighted average cost). PSAK 14.35(a) A Provisions. PSAK 25 A Employee benefit costs including policy for recognising actuarial gains and losses. PSAK (a) A Share-based payments. PSAK A Taxes, including deferred taxes. PSAK 46 A Revenue recognition. PSAK (a) and PSAK For non listed entities 19

20 A The method adopted to determine the stage of completion of transactions involving the rendering of services. PSAK (a) A Construction contracts, including: PSAK A A (a) methods used to determine contract revenue recognised; and (b) methods used to measure stage of completion of contracts in progress. PSAK (b) PSAK (c) A Government grants PSAK (a) A A (a) accounting policy; and (b) method of presentation in financial statements. A Definition of cash and cash equivalents. PSAK 2.45 A Segment reporting (required for listed companies) PSAK 5.22 A Policy for all assets including the selection of the cashgenerating units to allocate the corporate assets and goodwill for the purpose of assessing such assets for impairment. PSAK and 97 A2.3 Changes in accounting policy A2.3.1 Where a change in accounting policy is made on the adoption of a PSAK, provide the disclosures in accordance with the specific transitional provisions of that standard. PSAK 25.19(a) A2.3.2 On initial application of a relevant standard or interpretation, disclose: PSAK A2.3.2 (a) the title of the standard or interpretation; PSAK 25.28(a) A2.3.2 (b) that the change in accounting policy is made in accordance with its transitional provisions, when applicable; PSAK 25.28(b) A2.3.2 (c) the nature of the change in accounting policy; PSAK 25.28(c) A2.3.2 A2.3.2 A2.3.2 (d) a description of the transitional provisions, when applicable; (e) the transitional provisions that might have an effect on future periods, when applicable; (f) the amount of the adjustment for the current period and each prior period presented, to the extent practicable: (i) for each financial statement line item affected; and (ii) if PSAK 56 applies to the entity, the impact on basic and diluted earnings per share; PSAK 25.28(d) PSAK 25.28(e) PSAK 25.28(f) For non listed entities 20

21 A2.3.2 A2.3.2 A2.3.2 A2.3.3 A2.3.3 (g) the amount of the adjustment relating to periods before those presented, to the extent practicable; and (h) if the retrospective application required is impracticable for a particular prior period, or for periods before those presented, the circumstances that led to the existence of that condition and a description of how and from when the change in accounting policy has been applied. These disclosures need not be repeated in the financial statements of subsequent periods. If an entity has not applied a new relevant standard or interpretation that has been issued but is not yet effective, disclose: (a) the fact that the entity did not apply the new standard or interpretation that has been issued but is not yet effective; and PSAK 25.28(g) PSAK 25.28(h) PSAK PSAK PSAK 25.30(a) A2.3.3 (b) known or reasonably estimable information relevant to assessing the possible impact that application of the new standard or interpretation will have on the entity s financial statements in the period of initial application. A2.3.4 In complying with the previous paragraph (para 30 - refer to A2.3.3), consider disclosing: PSAK 25.30(b) DV PSAK A2.3.4 (a) the title of the new standard or interpretation; PSAK (a) A2.3.4 A2.3.4 A2.3.4 A2.3.4 (b) the nature of the impending change or changes in accounting policy; (c) the date by which application of the standard or interpretation is required; (d) the date as at which it plans to apply the standard or interpretation initially; and (e) either: (i) a discussion of the impact that initial application of the standard or interpretation is expected to have on the entity s financial statements; or (ii) if that impact is not known or reasonably estimable, a statement to that effect. PSAK (b) PSAK (c) PSAK (d) PSAK (e) A2.3.5 When a voluntary change in accounting policy (1) has an effect on the current period or any prior period, (2) or would have an effect on that period except that it is impracticable to determine the amount of the adjustment, (3) or might have an effect on future periods, an entity shall disclose: PSAK A2.3.5 (a) the nature of the change in accounting policy; PSAK 25.29(a) For non listed entities 21

22 A2.3.5 A2.3.5 A2.3.5 A2.3.5 A2.3.5 (b) the reasons why applying the new accounting policy provides reliable and more relevant information; (c) the amount of the adjustment for the current period and each prior period presented, to the extent practicable: (i) for each financial statement line item affected; and (ii) if PSAK 56 applies to the entity, the impact on basic and diluted earnings per share; (d) the amount of the adjustment relating to periods before those presented, to the extent practicable; and (e) if the retrospective application required is impracticable for a particular prior period, or for periods before those presented, the circumstances that led to the existence of that condition and a description of how and from when the change in accounting policy has been applied. These disclosures need not be repeated in the financial statements of subsequent periods. PSAK 25.29(b) PSAK 25.29(c) PSAK 25.29(d) PSAK 25.29(e) PSAK A3 Statement of comprehensive income and related notes A3.1 General disclosures A3.1.1 A3.1.1 A3.1.1 A3.1.1 Refer to the Appendix to PSAK 1. for an example statement of comprehensive income. Present all items of income and expense recognised in a period: (a) in a single statement of comprehensive income, or (b) in a statement displaying components of profit or loss (a separate income statement) and a second statement beginning with profit or loss and displaying components of other comprehensive income (statement of comprehensive income). PSAK 1.80(a) and (b) A3.1.2 Include in the statement of comprehensive income, as a minimum, line items showing the following amounts for the period: PSAK 1.81 A3.1.2 (a) revenue; PSAK 1.81(a) A3.1.2 (b) finance costs; PSAK 1.81(b) A3.1.2 (c) share of profit or loss of associates and joint ventures accounted for using the equity method; PSAK 1.81(c) A3.1.2 (d) tax expense; PSAK 1.81(d) For non listed entities 22

23 A3.1.2 (e) a single amount comprising the total of: (i) the post-tax profit or loss on discontinued operations; and (ii) the post-tax gain or loss recognised on the measurement to fair value less costs to sell or on the disposal of the assets or disposal groups that make up discontinued operations; PSAK 1.81(e)(i) and (e)(ii) A3.1.2 (f) profit or loss; PSAK 1.81(f) A3.1.2 A3.1.2 (g) each component of other comprehensive income classified by nature (excluding amounts in (h)); (h) share of the other comprehensive income of associate and joint ventures accounted for using the equity method; and PSAK 1.81(g) PSAK 1.81(h) A3.1.2 (i) total comprehensive income. PSAK 1.81(i) A3.1.3 A3.1.3 Disclose the following in the statement of comprehensive income as allocations for the period: (a) profit or loss for the period attributable to: (i) non-controlling interests; and (ii) owners of the parent; and PSAK 1.82 PSAK 1.82(a)(i) and (a)(ii) A3.1.3 A3.1.3 A3.1.4 A3.1.5 (b) total comprehensive income for the period attributable to: (i) non-controlling interests; and (ii) owners of the parent. Entities may present the line items and disclosure as information required by paragraph 81 (a) - (f) and 82 (a) above in the statement of comprehensive income or in the separate income statement (if presented). Present additional line items, headings and subtotals in the statement of comprehensive income (and the separate income statement, if presented) when such presentation is relevant to an understanding of the entity s financial performance, the presentation is free of bias and undue prominence, the presentation is applied consistently and the methods are described in detail in the accounting policies. Disclose, either in the statement of comprehensive income or in the notes, the amount of income tax relating to each component of other comprehensive income including reclassification adjustments. PSAK 1.82(b)(i) and (b)(ii) PSAK 1.83 PSAK 1.84 PSAK 1.89 A3.1.5 Components of other comprehensive income may be presented: PSAK 1.90 A3.1.5 (a) net of related tax effects, or PSAK 1.90 (a) For non listed entities 23

24 A3.1.5 (b) before related tax effects with one amount shown for aggregate amount of income tax relating to those components. PSAK 1.90 (b) A3.1.6 Components of other comprehensive income include: PSAK 1.07 A3.1.6 A3.1.6 A3.1.6 A3.1.6 A3.1.6 A3.1.6 A3.1.7 (a) changes in revaluation surplus (see PSAK 16 and PSAK 19); (b) actuarial gains and losses on defined benefit plans recognised in accordance with PSAK 24 paragraph 99; (c ) gains and losses arising from translating the financial statements of a foreign operation (see PSAK 10); (d) gains and losses on remeasuring available-for-sale financial assets (see PSAK 55); and (e) the effective portion of gains and losses on hedging instruments in a cash flow hedge (see PSAK 55). Disclose reclassification adjustments relating to components of other comprehensive income. An entity may present reclassification adjustments in the statement of comprehensive income or in the notes. An entity presenting classification adjustments in the notes presents the components of other comprehensive income after any related reclassification adjustments. PSAK 1.07 PSAK 1.07 PSAK 1.07 PSAK 1.07 PSAK 1.07 PSAK 1.91 PSAK 1.93 A3.1.8 A3.1.9 A A When items of income and expense are material, disclose their nature and amount separately (Refer to A3.2.4 for examples). Give an analysis of expenses recognised in profit or loss using a classification based on either their nature or their function within the entity, whichever provides information that is reliable and more relevant. Entities are encouraged to present this analysis in the statement of comprehensive income or in the separate income statement (if presented). When an entity uses a by function analysis, it discloses at a minimum, cost of sales separate from other expenses. Where the entity classifies expenses by function, disclose additional information on the nature of expenses, including depreciation, amortisation and employee benefits expense. Disclose separately the amount of income tax relating to each component of other comprehensive income. PSAK 1.96 PSAK 1.98, 99, and 102. PSAK PSAK For non listed entities 24

25 A A A A Disclose the nature and amount of a change in an accounting estimate that has an effect in the current period or that is expected to have an effect in future periods. If it is impracticable to estimate the amount, disclose this fact. If the entity settles a dividend payable by distributing non-cash assets, the entity present any difference between the carrying amount of the assets distributed and the carrying amount of the dividend payable as a separate line item in profit or loss. Dividends classified as an expense may be presented in the statement of comprehensive income or separate income statement (if presented) either with interest in other liabilities or as a separate item. Disclosure of interest and dividends is subject to the requirements of PSAK 1, Presentation of Financial Statements and PSAK 60, Financial Statement: Disclosures. In some circumstances, because of the differences between interest and dividends with respect to matters such as tax deductibility, it is desirable to disclose them separately in the statement of comprehensive income or separate income statement (if presented). Disclosures of the tax effects are made in accordance with PSAK 46, Income Taxes. Gains and losses related to changes in the carrying amount of a financial liability are recognised as income or expense in profit or loss even when they relate to an instrument that includes a right to the residual interest in the assets of the entity in exchange for cash or another financial asset. Under PSAK 1, Presentation of Financial Statements, the entity should present any gain or loss arising from remeasurement of such an instrument separately in the statement of comprehensive income when it is relevant in explaining the entity's performance. PSAK 25.39,40 ISAK and PSAK PSAK A3.2 Individual items A3.2.1 A3.2.1 A3.2.1 A3.2.1 A3.2.1 A3.2.1 Disclose the amount of each significant category of revenue recognised during the period, including revenue arising from: (a) the sale of goods; (b) the rendering of services; (c) interest; (d) royalties; and (e) dividends. PSAK 23.33(b) For non listed entities 25

26 A3.2.2 A3.2.3 A3.2.4 A3.2.4 Disclose the amount of non-cash revenue arising from exchanges of goods or services included in each significant category of revenue. Items not individually material are aggregated with other items in the statement of comprehensive income or in the notes. Circumstances that would give rise to the separate disclosure of items of income and expense include: (a) the write-down of inventories to net realisable value or of property, plant and equipment to recoverable amount, as well as the reversal of such write-downs; PSAK 23.33(c) PSAK 1.28 PSAK 1.97 PSAK 1.97(a) A3.2.4 (b) a restructuring of the activities of an entity and the reversal of any provisions for the costs of restructuring; PSAK 1.97(b) A3.2.4 (c) disposals of items of fixed assets; PSAK 1.97(c) A3.2.4 (d) disposals of investments; PSAK 1.97(d) A3.2.4 (e) discontinued operations; PSAK 1.97(e) A3.2.4 (f) litigation settlements; and PSAK 1.97(f) A3.2.4 (g) other reversals of provisions. PSAK 1.97(g) A3.2.5 A3.2.6 A3.2.7 A3.2.8 A3.2.9 A Present an analysis of expenses recognised in profit or loss using a classification based on either the nature of expenses or their function within the entity, whichever provides information that is reliable and more relevant. Entities are encouraged to present this analysis in the statement of comprehensive income or in the separate income statement (if presented). If expenses are classified by function, disclose additional information on the nature of expenses, including depreciation, amortisation expense and employee benefits expense. If expenses are classified by function, as a minimum, disclose the cost of sales separately from other expenses. Disclose research and development expenditure recognised as an expense during the period. Disclose the amount of foreign exchange differences recognised in profit or loss except for those arising on financial instruments measured at fair value through profit or loss in accordance with PSAK 55. For each class of assets, the entity shall disclose the following: PSAK 1.98 and 99 PSAK PSAK PSAK PSAK 10.57(a) For non listed entities 26

27 A A A A A A (a) impairment losses amounts recognised in profit or loss during the period, and the line item(s) of the statement of comprehensive income in which they are included; and (b) reversals of impairment losses amounts recognised in profit or loss during the period, and the line item(s) of the statement of comprehensive income in which they are included. (c ) impairment losses amounts on revaluated assets recognised in other comprehensive income during the period; (d) reversals of impairment losses on revaluated assets that recognised in other comprehensive income during the period. Disclose the amortisation of intangible assets recognised during the period and the line item(s) of the statement of comprehensive income. Disclose gain or loss in recognised in accordance with ISAK 28 par 9 and 10 as a separate line item in profit or loss or in the notes to financial statements. PSAK (a) PSAK (b) PSAK (c) PSAK (d) PSAK (d) ISAK A3.3 Income taxes A3.3.1 Disclose the major components of tax expense (income). PSAK For non listed entities 27

28 A3.3.1 A3.3.2 A3.3.2 A3.3.2 A3.3.3 A3.3.4 A3.3.4 A3.3.4 Components of tax expense (income) may include: (a) current tax expense (income); (b) any adjustments recognised in the period for current tax of prior periods; (c) the amount of deferred tax expense (income) relating to the origination and reversal of temporary differences; (d) the amount of deferred tax expense (income) relating to changes in tax rates or the imposition of new taxes; (e) the amount of the benefit arising from a previously unrecognised tax loss, tax credit or temporary difference of a prior period that is used to reduce current tax expense; (f) the amount of the benefit from a previously unrecognised tax loss, tax credit or temporary difference of a prior period that is used to reduce deferred tax expense; (g) deferred tax expense arising from the write-down, or reversal of a previous write-down, of a deferred tax asset in accordance with paragraph 56; and (h) the amount of tax expense (income) relating to those changes in accounting policies and errors that are included in profit or loss in accordance with PSAK 25, because they cannot be accounted for retrospectively. Provide an explanation of the relationship between tax expense (income) and accounting profit in either of the following forms: (a) numerical reconciliation between tax expense (income) and product of accounting profit, multiplied by the applicable tax rate(s), disclosing also the basis on which the applicable tax rate(s) is (are) computed; or (b) a numerical reconciliation between the average effective tax rate and the applicable tax rate, disclosing also the basis on which the applicable tax rate is computed. Provide an explanation of changes in the applicable tax rate(s) compared to the previous period. An entity shall offset current tax assets and current tax liabilities if, and only if, the entity: (a) has a legally enforceable right to set off the recognised amounts; and (b) intends either to settle on a net basis, or to realise the asset and settle the liability simultaneously. PSAK PSAK (c ) PSAK (c ) (i) PSAK (c ) (ii) PSAK (d) PSAK PSAK PSAK For non listed entities 28

29 A3.3.5 A3.3.5 A3.3.5 An entity shall offset deferred tax assets and deferred tax liabilities if, and only if: (a) the entity has a legally enforceable right to set off current tax assets against current tax liabilities; and (b) the deferred tax assets and the deferred tax liabilities relate to income taxes levied by the same taxation authority on either: PSAK PSAK PSAK A3.3.5 (i) the same taxable entity; or PSAK A3.3.5 (ii) different taxable entities which intend either to settle current tax liabilities and assets on a net basis, or to realise the assets and settle the liabilities simultaneously, in each future period in which significant amounts of deferred tax liabilities or assets are expected to be settled or recovered. PSAK A3.4 Extraordinary items A3.4.1 An entity should not present items of income and expense as extraordinary items on the face of comprehensive statement of income, separate income statement (if presented) or in the notes to financial statements. PSAK 1.86 A4 Statement of changes in equity and related notes A4.1 Statement of changes in equity A4.1.1 A4.1.1 Present a statement of changes in equity showing in the statement: (a) total comprehensive income for the period, showing separately the total amounts attributable to owners of the parent and to non-controlling interests; PSAK PSAK 1.105(a) A4.1.1 A4.1.1 (b) for each component of equity, the effects of retrospective application or retrospective restatement recognised in accordance with PSAK 25; (c) for each component of equity, a reconciliation between the carrying amount at the beginning and the end of the period, separately disclosing changes resulting from: (i) profit or loss; (ii) each item of other comprehensive income; and (iii) transactions with owners in their capacity as owners, showing separately contributions by and distributions to owners and changes in ownership interests in subsidiaries that do not result in a loss of control. PSAK 1.105(b) PSAK 1.105(c) For non listed entities 29