DRS 14
Withdrawn
Foreign currency translation
Währungsumrechnung
Withdrawn Standard
This standard has been withdrawn.
Current Standard
View DRS 25 1
Part of the DRS consolidation wave
Part of the DRS consolidation wave
DRS 14 elaborated foreign currency translation mechanics, most centrally the translation of a foreign subsidiary's own financial statements into the group's reporting currency for consolidation purposes – a genuinely important topic for any German group with foreign operations, supplementing HGB's own general currency translation provisions (§256a, established in the earlier HGB poster series).
2
Why withdrawn – replaced by a dedicated, current group-accounts standard
Why withdrawn – replaced by a dedicated, current group-accounts standard
DRS 14 was withdrawn and replaced by DRS 25 "Währungsumrechnung im Konzernabschluss," adopted by the HGB-Fachausschuss on 8 February 2018 and announced in the Bundesanzeiger on 3 May 2018, first applicable to fiscal years beginning after 31 December 2018. DRS 25 explicitly confirms the "modified closing rate method" under §308a HGB (in conjunction with §310(2) for jointly-managed enterprises) as the governing translation approach for subsidiaries and joint ventures – a genuinely useful confirmation of exactly HOW the statutory translation mechanic applies to consolidated foreign operations.
3
Status summary
Status summary
FieldDetail
Original topicForeign currency translation, including consolidation of foreign subsidiaries
SuccessorDRS 25 – Währungsumrechnung im Konzernabschluss
DRS 25 adopted / announced08.02.2018 / 03.05.2018
DRS 25 first applicableFiscal years beginning after 31.12.2018