Is there any exception to amortising Goodwill under FRSSE 2015 or FRS 102 over a maximum period od 20 years from the date of acquisition?
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Call it something else? For example "Separable Clientele Connections and Relationships". Then its a separable intangible asset subject only to impairment assessment and there is no need to amortise per se.
Hi Andrew
102 requires that all intangible assets, whether goodwill or other, are amortised and are assumed to have a finite useful life (18.19). The amortisation period is up to the directors to choose, subject to the proviso that the useful life must be capable of being measured reliably - if you can meet that test then you can use any finite life you like for as long as you can demonstrate that the asset isn't impaired below its carrying amount.
If you can't measure the UEL reliably (and this is expected to be an exceptional case) then the maximum lifetime permitted is 10 years (18.20).
With respect Mike, there is no mention of amortisation in para 18.19 in FRS102. 18.23 says that residual value can be estimated is there is an active market (e.g gross fees times a multiple). So, if RV is greater than cost there is the implication that no amortisation need take place.