Skip to main content
South Korea
Search
Search Statutory Reporting (ONESOURCE) Support Help and Support.

This article applies to:

  • Product: ONESOURCE Statutory Reporting
  • Subject: Templates

Version 17 - April 2026 (CUD release)

  • Financial period type: 12-Months (Annual)
  • Target industry type: Manufacturing, Services, and Generic (excluding Financial Services)

Content update

This update verifies that the Korean Corporate Template includes Illustrative Model Content covering legislative requirements for the annual year-end reporting.

Legislative updates

For an entity with a financial year from 1 January 2026 to 31 December 2026 (year-end 31 December 2026), the following IFRS pronouncements may be relevant. Items effective for annual periods beginning on or after 1 January 2026 will be mandatorily applied in that 2026 financial year (unless early adopted earlier). Items effective 1 January 2027 are not mandatory for the 2026 financial year, but may be early adopted if permitted.
  • Classification and Measurement of Financial Instruments – Amendments to IFRS 9 and IFRS 7
  • Contracts Referencing Nature-dependent Electricity – Amendments to IFRS 9 and IFRS 7
  • Annual Improvements to IFRS Accounting Standards — Volume 11
  • IFRS 18 – Presentation and Disclosure in Financial Statements (effective 1 January 2027; early adoption permitted)
  • IFRS 19 – Subsidiaries without Public Accountability: Disclosures (effective 1 January 2027; early adoption permitted)

Early adoption for accounting standards

  • Classification and Measurement of Financial Instruments – Amendments to IFRS 9 and IFRS 7: Early adoption available. Entities can early adopt the amendments that relate to the classification of financial assets plus the related disclosures and apply the other amendments later.
  • Contracts Referencing Nature-dependent Electricity – Amendments to IFRS 9 and IFRS 7: Early adoption availability not specified in the provided text.
  • IFRS 18 – Presentation and Disclosure in Financial Statements: Early adoption is permitted and must be disclosed.
  • IFRS 19 – Subsidiaries without Public Accountability: Disclosures: Earlier adoption is permitted and must be disclosed.
  • Annual Improvements to IFRS Accounting Standards — Volume 11: Earlier application is permitted for the included amendments (as listed below).

1) Classification and Measurement of Financial Instruments – Amendments to IFRS 9 and IFRS 7

  • Effective for annual reporting periods beginning on or after 1 January 2026.
  • Entities can early adopt the amendments that relate to the classification of financial assets plus the related disclosures and apply the other amendments later.
  • The new requirements will be applied retrospectively with an adjustment to opening retained earnings.
  • Prior periods are not required to be restated and can only be restated without using hindsight.
  • An entity is required to disclose information about financial assets that change their measurement category due to the amendments.
note
Although the Content Model for 2026 is still in progress, the final scope will be defined later, and it is likely that these changes will have impact on all entities in the scope.

2) Contracts Referencing Nature-dependent Electricity – Amendments to IFRS 9 and IFRS 7

  • Effective for annual periods beginning on or after 1 January 2026.
  • The amendments relating to the own-use exception must be applied retrospectively.
  • An entity is not required to restate prior periods, and it is only permitted to do so if this can be done without using hindsight.
  • The hedge accounting amendments must be applied prospectively to new hedging relationships designated on or after the date of initial application.
  • The IFRS 7 disclosure amendments must be applied when the IFRS 9 amendments are applied. If an entity does not restate comparative information, then the entity must not present comparative disclosures.
note
Although the Content Model for 2026 is still in progress, the final scope will be defined later, but it is likely that these changes will have impact on all entities.

3) IFRS 18 – Presentation and Disclosure in Financial Statements

  • Effective for annual periods beginning on or after 1 January 2027.
  • IFRS 18, and the consequential amendments to the other accounting standards, is effective for reporting periods beginning on or after 1 January 2027 and must be applied retrospectively.
  • Early adoption is permitted and must be disclosed.
Note: This will be included in Content Model 2026 (the early adoption has been already included/covered in 2025).

4) IFRS 19 – Subsidiaries without Public Accountability: Disclosures

  • Effective for annual periods beginning on or after 1 January 2027.
  • IFRS 19 is effective for reporting periods beginning on or after 1 January 2027 and earlier adoption is permitted.
  • If an eligible entity chooses to apply the standard earlier, it is required to disclose that fact.
  • An entity is required, during the first period (annual and interim) in which it applies the standard, to align the disclosures in the comparative period with the disclosures included in the current period under IFRS 19, unless IFRS 19 or another IFRS accounting standard permits or requires otherwise.
note
Although the Content Model for 2026 is still in progress, the final scope will be defined later, but it is unlikely that these changes will have impact on all entities.

5) Annual Improvements to IFRS Accounting Standards — Volume 11

The IASB's annual improvements process deals with non-urgent, but necessary, clarifications and amendments to IFRS. In July 2024, the IASB issued Annual Improvements to IFRS Accounting Standards — Volume 11. The following is the summary of the amendments from the Annual Improvements to IFRS Accounting Standards — Volume 11:
  • IFRS 1 First-time Adoption of International Financial Reporting Standards: Hedge Accounting by a First-time Adopter
    • Paragraphs B5 and B6 of IFRS 1 have been amended to include cross references to the qualifying criteria for hedge accounting in paragraph 6.4.1(a), (b) and (c) of IFRS 9. These amendments are intended to address potential confusion arising from an inconsistency between the wording in IFRS 1 and the requirements for hedge accounting in IFRS 9.
    • An entity applies the amendments for annual reporting periods beginning on or after 1 January 2026. Earlier application is permitted.
  • IFRS 7 Financial Instruments: Disclosures: Gain or Loss on Derecognition
    • The amendments update the language on unobservable inputs in paragraph B38 of IFRS 7 and include a cross reference to paragraphs 72 and 73 of IFRS 13 Fair Value Measurement.
    • An entity applies the amendments for annual reporting periods beginning on or after 1 January 2026. Earlier application is permitted.
  • Guidance on implementing IFRS 7 Financial Instruments: Disclosures: Introduction
    • The amendments to paragraph IG1 of the Guidance on implementing IFRS 7 clarify that the guidance does not necessarily illustrate all the requirements in the referenced paragraphs of IFRS 7, nor does it create additional requirements.
  • Guidance on implementing IFRS 7 Financial Instruments: Disclosures: Disclosure of Deferred Difference between Fair Value and Transaction Price
    • Paragraph IG14 of the Guidance on implementing IFRS 7 has been amended mainly to make the wording consistent with the requirements in paragraph 28 of IFRS 7 and with the concepts and terminology used in IFRS 9 and IFRS 13.
  • Guidance on implementing IFRS 7 Financial Instruments: Disclosures: Credit Risk Disclosures
    • Paragraph IG20B of the Guidance on implementing IFRS 7 has been amended to simplify the explanation of which aspects of the IFRS requirements are not illustrated in the example.
  • IFRS 9 Financial Instruments: Lessee Derecognition of Lease Liabilities
    • Paragraph 2.1 of IFRS 9 has been amended to clarify that, when a lessee has determined that a lease liability has been extinguished in accordance with IFRS 9, the lessee is required to apply paragraph 3.3.3 and recognise any resulting gain or loss in profit or loss. However, the amendment does not address how a lessee distinguishes between a lease modification as defined in IFRS 16 and an extinguishment of a lease liability in accordance with IFRS 9.
    • An entity applies the amendments for annual reporting periods beginning on or after 1 January 2026. Earlier application is permitted.
  • IFRS 9 Financial Instruments: Transaction Price
    • Paragraph 5.1.3 of IFRS 9 has been amended to replace the reference to 'transaction price as defined by IFRS 15 Revenue from Contracts with Customers' with 'the amount determined by applying IFRS 15'. The use of the term 'transaction price' in relation to IFRS 15 was potentially confusing and so it has been removed. The term was also deleted from Appendix A of IFRS 9.
    • An entity applies the amendments for annual reporting periods beginning on or after 1 January 2026. Earlier application is permitted.
  • IFRS 10 Consolidated Financial Statements: Determination of a De Facto Agent
    • Paragraph B74 of IFRS 10 has been amended to clarify that the relationship described in paragraph B74 is just one example of various relationships that might exist between the investor and other parties acting as de facto agents of the investor. The amendments are intended to remove the inconsistency with the requirement in paragraph B73 for an entity to use judgement to determine whether other parties are acting as de facto agents.
    • An entity applies the amendments for annual reporting periods beginning on or after 1 January 2026. Earlier application is permitted.
  • IAS 7 Statement of Cash Flows: Cost Method
    • Paragraph 37 of IAS 7 has been amended to replace the term 'cost method' with 'at cost', following the prior deletion of the definition of 'cost method'.
    • An entity applies the amendments for annual reporting periods beginning on or after 1 January 2026. Earlier application is permitted.
note
These are improvements published by IASB but not specific new standards. If the standard is applicable to the example used in Content Model, this will be reflected within the updates for 2026.

Table of mandatory application

Effective for annual periods beginning on or after the effective date below. The "first time applied" mapping assumes the entity has not early adopted according to specific provisions in the standard, interpretation or amendment.
  • Classification of Liabilities as Current or Non-current and Non-current Liabilities with Covenants – Amendments to IAS 1
    • Effective date: 1 January 2024
    • First time applied in annual periods ending (month-end mapping): December 2024 (and other month-ends in 2025 as listed in the source table)
  • Lease Liability in a Sale and Leaseback – Amendments to IFRS 16
    • Effective date: 1 January 2024
    • First time applied in annual periods ending: December 2024 (and other month-ends in 2025 as listed in the source table)
  • Disclosures: Supplier Finance Arrangements – Amendments to IAS 7 and IFRS 7
    • Effective date: 1 January 2024
    • First time applied in annual periods ending: December 2024 (and other month-ends in 2025 as listed in the source table)
  • Lack of exchangeability – Amendments to IAS 21
    • Effective date: 1 January 2025
    • First time applied in annual periods ending: December 2025 (and other month-ends in 2026 as listed in the source table)
  • Classification and Measurement of Financial Instruments – Amendments to IFRS 9 and IFRS 7
    • Effective date: 1 January 2026
    • First time applied in annual periods ending: December 2026 (and other month-ends in 2027 as listed in the source table)
  • Annual Improvements to IFRS Accounting Standards — Volume 11
    • Effective date: 1 January 2026
    • First time applied in annual periods ending: December 2026 (and other month-ends in 2027 as listed in the source table)
  • Contracts Referencing Nature-dependent Electricity – Amendments to IFRS 9 and IFRS 7
    • Effective date: 1 January 2026
    • First time applied in annual periods ending: December 2026 (and other month-ends in 2027 as listed in the source table)
  • IFRS 18 – Presentation and Disclosure in Financial Statements
    • Effective date: 1 January 2027
    • First time applied in annual periods ending: December 2027 (and other month-ends in 2028 as listed in the source table)
  • IFRS 19 – Subsidiaries without Public Accountability: Disclosures
    • Effective date: 1 January 2027
    • First time applied in annual periods ending: December 2027 (and other month-ends in 2028 as listed in the source table)
  • Translation to a Hyperinflationary Presentation Currency – Amendments to IAS 21
    • Effective date: 1 January 2027
    • First time applied in annual periods ending: December 2027 (and other month-ends in 2028 as listed in the source table)
  • Amendments to Illustrative Examples on IFRS 7, IFRS 18, IAS 1, IAS 8, IAS 36 and IAS 37
    • Effective date / transition: Note 1 (illustrative examples do not have an effective date or transition requirements)
  • Sale or Contribution of Assets between an Investor and its Associate or Joint Venture – Amendments to IFRS 10 and IAS 28
    • Effective date / transition: Note 2 (effective date postponed indefinitely as described in the note)
note
  1. The examples do not have an effective date or transition requirements. Entities are entitled to sufficient time to implement any changes as a result of illustrative examples.
  2. In December 2015, the IASB postponed the effective date of this amendment indefinitely pending the outcome of its research project on the equity method of accounting.
  • This overview covers year-end reporting until 31 December 2026. Therefore, pronouncements with effective date 1 January 2026 are included as these shall be applied for the first time for financial years ended at, e.g., 31 January 2026.
  • If the "first time applied in annual periods ending on the last day of the month" is December 2026, this means that a company with a year ending 31 December 2025 would apply this standard for the annual period ending 31 December 2026, i.e., applicable for the reporting period from 1 January 2026 until 31 December 2026.

Local country specific changes above IFRS based on local GAAP

No additional local GAAP updates.
The IFRS changes that are applicable in local country have been adjusted above.

Related Content