BDO has published IFRB 2026/02 IASB publishes IFRS 20 Regulatory Assets and Regulatory Liabilities.
On 27 May 2026, the International Accounting Standards Board (IASB) issued IFRS 20, a new IFRS Accounting Standard aimed at improving financial reporting for entities subject to rate regulation, such as entities providing utilities like electricity, water and gas. IFRS 20 deals with ‘differences in timing’ arising when the total allowed compensation to an entity under rate regulation for goods or services supplied in one reporting period is included in determining the regulated rates to be charged to customers in a different reporting period. The Standard requires recognition of regulatory assets and regulatory liabilities to address these differences in timing. The Standard may significantly affect financial reporting for entities in industries such as electricity, public transport, telecommunication.
BDO’s IFRB 2026/02 discusses the background of the issue being addressed by the Standard and provides an overview of the requirements of the Standard.
BDO in Ukraine specialists are here to provide practical support on applying the new and updated IFRS requirements, assessing their impact on the financial statements and ensuring compliance with regulatory requirements. Feel free to contact us for advice and expert guidance.
Source: BDO Global
