Intangible Assets & Impairment

How to revalue intangible assets

Record an increase in the value of an intangible asset under the IFRS revaluation model.

Account NameTypeDebit ($)Credit ($)
Intangible AssetsDebit50,000.00-
Revaluation Surplus (OCI)Credit-50,000.00

💡 Accountant's Note

Under IFRS, if an active market exists, intangibles can be revalued. Increases are recognized in Other Comprehensive Income (OCI) and accumulated in equity.

Practitioner & Systems Framework

💻 ERP Architecture

Requires an ERP that supports multiple valuation books (Cost vs. Revaluation) and OCI tracking.

⚠️ Audit Flags

Revaluing assets that do not have an active market or failing to reverse previous impairment losses through P&L first.

📄 Required Documentation

Independent valuation report and proof of an active market for the specific asset type.

Did you find the exact entry you were looking for?

Automate this entry with the JEH Accounting Suite

Stop doing manual entry. Our VBA-powered ERP automatically generates your ledgers, Trial Balance, and Financial Statements.

No Subscriptions. Own your data.

QA

Expert Analysis by Qusai Ahmad

General Accountant Supervisor & IFRS Specialist

Specialized in SAP GUI automation and Middle Eastern tax compliance. Building digital tools for the next generation of finance leaders.

LinkedIn Profile

Discussion & Community Questions

Loading comments...

Leave a comment (No sign-up required)