IFRS tax legislation to be introduced
Tax changes relating to the adoption of International Financial Reporting Standards (IFRS) will be part of a taxation bill to be introduced in May, Revenue Minister Peter Dunne announced today.
"Once enacted, the tax changes will apply from the year a taxpayer adopts IFRS, so will be retrospective for some taxpayers," Mr Dunne said.
"The main legislative change in the bill will be a more explicit adherence to the IFRS recognition of income and expenditure from financial arrangements.
"For financial arrangements, however, early adopters will be able to use the existing financial arrangement rules and pre-IFRS accounting practice for the relevant years, but must adopt IFRS for tax purposes from the 2007-08 income year.
"The bill will also include a number of other, more technical changes," he said.
For more information on the tax changes see the technical annex.
Contact: Ainslie Fenwick, Tax advisor, Tel: 471 9728