IAS 40

IAS 40 outlines the accounting treatment for investment property, which is real estate held to earn rental income or for capital appreciation rather than for use in production, administrative purposes, or sale. This standard helps businesses decide when and how to classify property as an investment property, the choice between the fair value model and cost model, and the implications of revaluations or transfers.

Whether you're an accountant, auditor, or entrepreneur managing your books, this guide will give you clarity on handling investment properties for accurate financial reporting.