IAS 38 (Intangible Assets)

IAS 38 (Intangible Assets) sets the accounting rules for intangible assets—non-physical items like patents, trademarks, or software—that a company owns. It guides how to recognize, measure, and report these assets in financial statements. The standard emphasizes that an intangible asset should only be recorded if it is identifiable, the company controls it, and it has measurable future economic benefits. It also outlines how to determine their value over time, including amortization and impairment. Overall, IAS 38 ensures consistent and transparent reporting of intangible assets to users of financial statements.