• 2023 Issued Standard – IAS 40
  The 2023 Issued Standards include all amendments issued up to and including 1 January 2023.

Registration is required to access the free version of the Issued Standards, which do not include additional documents that accompany the full standard (such as illustrative examples, implementation guidance and basis for conclusions).

IAS 40 permits entities to choose either a fair value model or cost model when accounting for investment properties.

The chosen model must be applied to all investment properties held by an entity.

Under the fair value model, investment properties are measured at fair value, with any changes recognised in profit or loss.

Under the cost model, properties are measured at depreciated cost (although fair value must also be disclosed).

UK qualifying parents and subsidiaries can take advantage of FRS 101 Reduced Disclosure Framework. Our FRS 101 page gives more information on which entities qualify and the criteria to be met.