Important changes in financial and non-financial reporting for IFRS preparers in Hungary
IFRS Newsflash | PwC Hungary | 30 January 2024
We bring you an established, detailed publication on IFRS and other regulatory changes, customised for the first time for Hungarian companies. We offer insight for accountants, CFOs and members of Audit Committees on upcoming changes, and assistance in preparing financial statements and non-financial information.
Key changes to consider:
The most important change in the IFRS framework for 2023 is the implementation of the new accounting standard IFRS 17, which has revolutionised the accounting approach to contracts meeting the definition of an insurance contract.
In December 2021, the OECD published model rules for the so-called Pillar Two. Under the new regime, large multinational companies falling within the scope of these rules are required to calculate their effective tax rate, and will be liable to pay a supplementary minimum tax equal to the difference between the effective tax rate and the minimum rate of 15%.
Amendments to IFRS Accounting Standards, such as IAS 1 clarifying the disclosure requirement of accounting policies, and other changes that are becoming effective in 2023 or 2024.
Further matters, such as significant increase in interest rates and new upcoming obligations to prepare income tax reports.
Besides the above, non-financial reporting is gaining prominence. The imposition of new obligations on companies to report information regarding sustainable development, climate-related risks have a significant impact on both non-financial reporting and financial statements. In such a rapidly changing economic and regulatory environment, reporting entities should monitor both changes in IFRS-related issues, and also stay up to date with modifications, new requirements, and guidelines for non-financial reporting.
If you want to understand these changes in detail, PwC’s Academy in Hungary offers relevant classroom and online training, which you can find in corresponding sections of the publication.
Should you have any questions, please contact me or my colleagues listed in the publication.
Gábor Balázs
Partner
Email: gabor.balazs@pwc.com
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