It is now over two years since IFRS 15 Revenue from Contracts with Customers, was first issued by the International Accounting Standards Board (IASB), with an effective date of 2017. Since then the effective date has been deferred for one year to 2018. We await the EU’s formal endorsement, although I understand that is due imminently and will not change the start date.

When the new standard first came out it seemed a long time away and many companies have had more pressing matters to deal with. It also came out with a widely held misconception that it would change little for preparers using International Financial Reporting Standards (IFRS). The consequence of these factors is, I fear, that many companies are under-prepared for the arrival of the new standard.