When can a change in accounting policies be made according to IAS 8?

A change in accounting policies according to IAS 8 can occur only if it is required by International Financial Reporting Standards (IFRS) or if the change results in more relevant and reliable information for users of the financial statements. IAS 8 emphasizes the need for consistency in accounting practices to ensure that financial statements are comparable over time, and changes should only be made when there is a strong justification.

This requirement helps maintain the integrity and reliability of financial reporting. When accounting policies are aligned with IFRS, it not only assures compliance but also enhances the quality of the financial information presented. Changes motivated solely by management’s discretion or individual stakeholder requests do not necessarily guarantee improvements in relevance or reliability, which is why those options do not align with IAS 8’s principles.