IAS 27 Separate Financial Statements

Synopsis

IAS 27 is relevant where an entity has investments in subsidiaries, associates and joint ventures and is required to present separate financial statements.

Investments in subsidiaries, associates and joint ventures are accounted for in the separate financial statements of the investor either:

• at cost, or
• in accordance with IFRS 9.

The same accounting should be applied to each category of investment.

Dividends from subsidiaries, joint ventures or associates are recognised in profit or loss in the investor’s separate financial statements when a right to receive the dividend is established.

The standard also provides disclosure requirements.

• Read the unaccompanied version of IAS 27

The International Accounting Standards Board (IASB) provides free access to the consolidated unaccompanied international accounting standards for the current year through its website. Free registration is required.

This unaccompanied version does not include additional content that accompanies the full standard, such as illustrative examples, implementation guidance and bases for conclusions.

Which version of the standard?

Financial Reporting Faculty members who joined the faculty prior to 1 November 2022 have premium access to the consolidated edition of IFRS and amendments through the IASB's IFRS Standards Navigator service. Please log into IFRS Standards Navigator to access electronic versions of the standards through these links.

Please be aware that as part of the changes to ICAEW faculty membership, this service will be withdrawn after 31 December 2022.

The following interpretations refer to IAS 27

• SIC 7 Introduction of the Euro

The effective start of the EMU after the reporting date does not alter the requirements of IAS 21 at the reporting date.

Other resources

Factsheets

• Interests in Other Entities
  Provides more information on the standard

This page was last updated 30 August 2022.