Description

Swiss GAAP FER 10 “Intangible assets” regulates the treatment of intangible assets. Acquired intangible assets are to be recognised if they yield measurable economic benefit for the organisation over several years. Intangible assets generated internally can only be recognised as an asset if they meet four conditions at the time of the initial recognition. The amortisation of intangible assets is charged systematically (normally linearly) over the estimated future useful life. If the useful life cannot be clearly determined, an amortisation period of five years is applied or, in justified cases, 20 years at most. The carrying amount of intangible assets has to be reviewed in terms of possible impairments at each balance sheet date. The recommendation outlines information to be disclosed in the notes.