IFRS Foundation Releases Educational Module on Section 35 Transition

Posted 06 October 2025 Written by Acts Online
Category Financial and Accounting

Brought to you by SA Accounting Academy: The IFRS Foundation has released a technical educational module to support the application of Section 35 of the IFRS for SMEs Accounting Standard.

In terms of the third edition of the IFRS for SMEs Accounting Standard, issued by the International Accounting Standards Board (IASB) in February 2025, the new module provides guidance on the transition requirements. This material is specifically designed for entities that do not have public accountability and publish general-purpose financial statements, as defined under Section 1 of the Standard.

The module, prepared by IASB technical staff, forms part of a comprehensive package of resources intended to facilitate the implementation of the 2025 edition. It includes:

  • Detailed guidance on the requirements for transition under Section 35;
  • A comparison between the IFRS for SMEs Accounting Standard and the related full IFRS Accounting Standards; and
  • Practical support for stakeholders learning about or applying the updated Standard.

Click here to download the IFRS for SMEs Accounting Standard Educational Module 35.

What this means for you, your business, or your clients

  • For yourself: You must familiarise yourself with the specific transition reliefs and retrospective application requirements outlined in Section 35 to ensure accurate advisory on the 2025 third edition.
  • For your business: Audit and accounting firms should update their compliance checklists and reporting software to reflect the transition protocols required for clients moving to the new edition of the Standard.
  • For your clients: SME clients will require a gap analysis to determine the impact of the third edition on their opening balance sheets and comparative figures during the transition period.

Originally published at https://accountingacademy.co.za/news/read/ifrs-foundation-ifrs-for-smes-educational-module-35

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