Recognition & research vs development

7 min · IAS 38
01 · Concept

Intangible assets are recognised if identifiable, controlled, and probable to generate future economic benefits. Research is expensed; development may be capitalised when criteria are met.

  • 01Internally generated goodwill is NEVER recognised.
  • 02Research costs → expensed.
  • 03Development costs → capitalised if PIRATE criteria met.