Recognition of acquired software in the balance sheet

A revised version of IDW RS HFA 11 “Recognition of acquired software in the balance sheet” was published as of October 25, 2017. The draft of the revised version of the announcement is essentially an adaption to the German Accounting Standard no. 24: Intangible assets in the consolidated financial statement (DRS 24). Accordingly the recognition of expenses related to the modification of software in the balance sheet should be determined equivalently to the original expenses for the acquisition of the software in order to ensure the consistency of accounting methods, irrespective of whether the economic risk of the modification remains with the software user of a third party.