The IFRS Interpretations Committee has developed IFRIC 23 to address how to reflect uncertainty in accounting for income taxes.
It may be unclear how tax law applies to a particular transaction or circumstance, or whether a taxation authority will accept a company’s tax treatment. IAS 12 Income Taxes specifies how to account for current and deferred tax, but not how to reflect the effects of uncertainty. IFRIC 23 provides requirements that add to the requirements in IAS 12 by specifying how to reflect the effects of uncertainty in accounting for income taxes.
IFRIC 23 is effective from 1 January 2019. EU endorsement is expected in 2018.
The Interpretation can be accessed below.