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What is difference between revalution in us gasp vs ifrs
in General IFRS Discussion by

1 Answer

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Under US GAAP

Component depreciation is permitted but is not used often.       

Various alternatives are available to account for the costs of performing a major overhaul, Including: (a) expensing the costs as incurred, (b) accounting for the overhaul as a separate component and (c) deferring the costs and amortizing them over the period of benefit.   

Revaluation is not allowed.       

No specific guidance exists in respect of Investment property   


Under IFRS

Depreciation of individual components is required when the components' lives are different.       


Costs of performing a major overhaul are required to be capitalized if the overhaul represents a replacement of an identified component.       

An entity may elect to apply the revaluation model, which allows the entity to measure property, plant, and equipment at fair value.       

An entity is permitted to record investment property at fair value, with changes in fair value recognized in the income statement.
by Level 2 Member (4.3k points)


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