The International Accounting Standards Board (IASB) has reviewed the international financial reporting standards (IFRS) and issued limited amendments to the International Financial Reporting Standard for Small and Medium-sized Entities (IFRS for SMEs). According to the IASB, the simplified, self-contained Standard, which was issued in 2009, has since seen remarkable uptake, with millions of companies using it worldwide.

The most significant changes are:

• permitting SMEs to revalue property, plant and equipment; and
• aligning the main recognition and measurement requirements for deferred income tax with IFRS.

The majority of the amendments clarify existing requirements or add supporting guidance, rather than changing, the underlying requirements in the IFRS for SMEs.

Commenting on the amendments to the Standard, Hans Hoogervorst, Chairman of the IASB, said: "The IFRS for SMEs has been a remarkable success and is now used by millions of companies worldwide. The amendments are expected to improve the Standard for companies and users of their financial statements. As a result we expect the adoption to spread further, improving reporting and consistency among companies without public accountability around the world."

Entities reporting using the IFRS for SMEs are required to apply the amendments for annual periods beginning on or after 1 January 2017. Earlier application is permitted provided all amendments are applied at the same time.

A complete revised version of the IFRS for SMEs will be issued in the next few months.

The amendments to the IFRS for SMEs can be found on ifrs.org.