SIC-17
Historical
Equity–Costs of an Equity Transaction
Addressed how transaction costs of an equity transaction should be accounted for, confirming they are deducted from equity. Withdrawn in 2003.
Historical Reference
SIC-17 was withdrawn in March 2003 when the IASB issued a revised IAS 32 Financial Instruments: Presentation, which incorporated equity transaction cost treatment directly into the standard at paragraphs 37–38, removing the need for the interpretation.
This page is retained for historical and comparative reference. Entities should refer to the current standard that superseded this interpretation for authoritative guidance.
Current Standard
IAS 32 Financial Instruments: Presentation 1
What SIC-17 Addressed (Historical)
What SIC-17 addressed
SIC-17 addressed how transaction costs of an equity transaction should be accounted for. It considered whether such costs should be recognised as an expense or treated as a deduction from equity.
2
The Conclusion It Reached (Historical)
The conclusion it reached
SIC-17 concluded that transaction costs of an equity transaction should be accounted for as a deduction from equity, consistent with the treatment of transactions with owners in their capacity as owners. No amount should be recognised as an expense.
3
Where This Guidance Lives Today
Where this guidance lives today
Superseded byIAS 32 Financial Instruments: Presentation
Why withdrawnThe 2003 revision incorporated equity transaction cost treatment directly into IAS 32.37–38
Current statusWithdrawn
Glossary
Equity transaction
A transaction with owners in their capacity as owners, such as issuing shares or distributing dividends, that affects equity directly.
Transaction costs
Directly attributable incremental costs arising on the acquisition or issue of an equity instrument, such as commissions, advisory fees and stamp duties.
Financial statement key
BS Balance sheet
IS Income statement
SE Statement of changes in equity
OCI Other comprehensive income
SCF Statement of cash flows
History & Development
Jan-2000
In January 2000 the Standing Interpretations Committee issued SIC-17 Equity–Costs of an Equity Transaction.
Apr-2001
In April 2001 the International Accounting Standards Board adopted SIC-17.
Minor consequential amendment to SIC-17
Mar-2003
In March 2003 the Board issued a revised IAS 32 Financial Instruments: Presentation which superseded SIC-17.
Superseded by revised IAS 32