Amendments to FRS 20 Group Cash-settled Share-based Payment Transactions
Comments from ACCA
March 2008
ACCA is pleased to have this opportunity to comment on the Exposure Draft (ED) of proposed amendments to FRS20 and UITF 44 which was considered by ACCA's Financial Reporting Committee. I am writing to give you their views.
Our responses to the additional questions raised in the ED are as follows:
Q1 Are you aware of any issues that would affect UK in implementing the proposals set out in this exposure draft?
As outlined in our response to the IASB we agree with the proposed amendments, and support the ASB's proposals to maintain consistency with IFRS 2 and IFRIC 11. We are not aware of any issues arising from the proposals in the exposure draft, that would affect the UK specifically.
Q2 Do you agree that the benefits of the proposals in the exposure draft would outweigh any additional costs involved? If not, why not?
We believe that the proposals to include group share-based arrangements that are cash settled within the scope of FRS 20 will lead to consistency with the treatment currently accorded to equity-settled arrangements. This additional clarification would be of benefit to users, and would outweigh any additional costs.