This example accompanies, but is not part of, IFRIC 7.
IE1 This example illustrates the restatement of deferred tax items when an entity restates for the effects of inflation under IAS 29 Financial Reporting in Hyperinflationary Economies. As the example is intended only to illustrate the mechanics of the restatement approach in IAS 29 for deferred tax items, it does not illustrate an entity’s complete IFRS financial statements.
Facts Restatement for effects of hyperinflation
IE2 An entity’s IFRS balance sheet at 31 December 20X4 (before restatement) is as follows:
(a) In this example, monetary amounts are denominated in currency units (CU).
Notes Restatement for effects of hyperinflation
1 Property, plant and equipment
All items of property, plant and