IAS 20Chapter 8Lesson 1
Repayment of a grant
Step 1 of 10Learning objectives
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When a grant becomes repayable, the standard treats it as a change in estimate: the repayment first reduces the deferred income not yet released, then the balance (for an asset grant, the cumulative releases already recognised) is recognised as an expense.
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Learning objectives
- Treat a grant becoming repayable as a change in estimate.
- Calculate the effect of repaying an asset grant and an income grant.
- Know when to examine impairment of an asset after repayment.