Entities that have applied AASB 9 (DecemEntities that have applied AASB 9 (December 2009) or AASB 9 (December 2010) early

Entities that have applied AASB 9 (December 2009) or AASB 9 (December 2010) early

7.2.27 An entity shall apply the transition requirements in paragraphs 7.2.1–7.2.26 at the relevant date of initial application. An entity shall apply each of the transition provisions in paragraphs 7.2.3–7.2.14A and 7.2.17–7.2.26 only once (ie if an entity chooses an approach of applying AASB 9 that involves more than one date of initial application, it cannot apply any of those provisions again if they were already applied at an earlier date). (See paragraphs 7.2.2 and Aus1.4).

Aus7.2.27.1 An entity’s chosen approach to applying AASB 9 may include applying AASB 9 (December 2009) or AASB 9 (December 2010) in advance of the Standard’s mandatory application date. In these instances, an entity will have more than one date of initial application, and will have previously applied some or all of the transition provisions specified by AASB 9 (December 2009) or AASB 9 (December 2010). An entity cannot apply again a transition provision specified by paragraphs 7.2.3–7.2.14A and 7.2.17–7.2.26 of this Standard to the extent a similar provision has already been applied at an earlier date on early adoption of AASB 9 (December 2009) or AASB 9 (December 2010).

7.2.28 An entity that applied AASB 9 (December 2009) or AASB 9 (December 2010) and subsequently applies this Standard:

(a) shall revoke its previous designation of a financial asset as measured at fair value through profit or loss if that designation was previously made in accordance with the condition in paragraph 4.1.5 but that condition is no longer satisfied as a result of the application of this Standard;

(b) may designate a financial asset as measured at fair value through profit or loss if that designation would not have previously satisfied the condition in paragraph 4.1.5 but that condition is now satisfied as a result of the application of this Standard;

(c) shall revoke its previous designation of a financial liability as measured at fair value through profit or loss if that designation was previously made in accordance with the condition in paragraph 4.2.2(a) but that condition is no longer satisfied as a result of the application of this Standard; and

(d) may designate a financial liability as measured at fair value through profit or loss if that designation would not have previously satisfied the condition in paragraph 4.2.2(a) but that condition is now satisfied as a result of the application of this Standard.

Such a designation and revocation shall be made on the basis of the facts and circumstances that exist at the date of initial application of this Standard. That classification shall be applied retrospectively.