SEC Memorandum Circular No. 12 Series of 2019: Adoption of Revised Conceptual Framework

Securities and Exchange Commission H I L 1 P P SEC Memorandum Circular No.12 Series of 2019 SUBJECT ADOPTION OF REVISED CONCEPTUAL FRAMEWORK The Commission, in its meeting held on 07 May 2019, approved the adoption of the Revised Conceptual Framework as part of SEC's rules an d regulations on financial reporting. The Revised Conceptual Framework includes: a new chapter on measurement; guidanc e on reporting financial performance; improved definitions an d guidance-in particular the definition of a liability; an d clarifications in important areas, such as the roles of stewardship, prudence and measurement uncertainty in financial reporting. The amendments to references to the Conceptual Framework in the Philippine Financial Reporting Standards are effective for annual periods beginning on or after January 1, 2020, with earlier application permitted. These amendments should be applied retrospectively unless retrospective application would be impracticable or involve undue cost or effort'. The foregoing pronouncement has been adopte d by the Philippine Financial Reporting Standards Counci l and approved by the Board of Accountanc y an d Professional Regulation Commission and published in the Official Gazette. Issued this 28 day of May 2019 at Pasay City, Philippines. For the Commission: EMILrOWAQUINO Chprr/a n Published: FfaliDpine Daily Inquirer, June 12, 2019 Manila Standard, June 12, 2019 1 The Guidelines on uomparanv e picsentation are provided in Philippine Accounting Standard Accounting Policies, Changes in Accounting Estimates and Errors El PICC Secretariat Building, Pasay City | B (+632) 818-6120 / (+632) 818-9763 www.sec.gov.ph | inquiry@sec.gov.ph Page 1 of 1