Scope of IFRS 9 and main exclusions

Learning objectives

• Identify, from the facts of a case, whether a right or obligation falls within IFRS 9 or another Standard (subsidiaries, associates, leases, insurance contracts, loan commitments).L1

Normative references

• IFRS 9 §2.1Scope: exclusions include interests in subsidiaries, associates and joint ventures accounted for in accordance with IFRS 10, IAS 27 or IAS 28; rights and obligations under leases to which IFRS 16 applies, subject to three exceptions (lessor's lease receivables subject to derecognition and impairment, lessee's lease liabilities subject to paras. 3.3.1 and 3.3.3, embedded derivatives subject to the embedded derivative requirements); rights and obligations arising under insurance contracts within IFRS 17, with exceptions (including some embedded derivatives, separated investment components and the election in para. 8A of IFRS 17); loan commitments other than those in para. 2.3 (the issuer nevertheless applies the impairment requirements to them, and all remain subject to the derecognition requirements). The list is not exhaustive. The reference to para. 3.3.3 for lease liabilities comes from Annual Improvements Volume 11 (annual periods beginning on or after 1 January 2026, earlier application permitted).

Original summaries of the paragraphs (reference register), never a quotation of the standard.

3 questions

• Gamma SA applies IFRS 9 to its financial instruments. Which of these items is excluded from the scope of IFRS 9?L1
• When a loan commitment remains outside the scope of IFRS 9, the issuer nevertheless applies the impairment requirements of the standard to that commitment.L1
• Delta SA holds (1) a subsidiary whose interest is accounted for under IFRS 10, (2) a lease contract under IFRS 16 that includes an embedded derivative, and (3) government bonds acquired to receive the interest. Which analysis of the scope of IFRS 9 is consistent?L1