Navigating the Complexities of Goodwill Accounting Standards

This chapter delves into the debate around handling Goodwill in accounting, exploring the implications of the impairment only approach versus re-introduction of amortization. The ISB's decision not to make changes currently is discussed, based on conflicting views on Goodwill. Issues raised by a post-implementation review project are highlighted, focusing on improving reporting of acquisitions and addressing challenges such as delayed recognition of impairment losses.