My name is Aashima Tandon. Can anybody tell me what exactly is asset held for sale and negative goodwill? What

Hi there,

Assets held for sale include assets (or groups of
assets to be disposed of) whose carrying amount will
be recovered principally through a sale transaction
rather than through continuing use.

What would be its treatment?

In accordance with IFRS (IFRS 5), discontinued
operations/assets held for sale are measured
at the lower of their carrying amount or fair value
less costs to sell.
Discontinued operations/assets held for sale are
presented in the financial statements as follows:
• On the balance sheet (two lines): Discontinued
operations/assets held for sale and Liabilities
relating to discontinued operations/assets held for
• On the statement of income (one line): Net income
(loss) from discontinued operations/assets held for


Financial instruments (measurement and recognition) is under IAS 39, Financial instruments (presentation) is under IAS 32 and disclosures under IFRS 7. There are four types of financial assets:
(a)     financial assets at fair value through profit or loss;
(b)     held-to-maturity investments;
(c)     loans and receivables; and
(d)     available-for-sale financial assets.
It is not clear in your email if what you are looking for is held-to-maturity or available-for-sale. Held to maturity is measured at amortized cost using the effective interest method. Available for sale is recorded at fair value, with any adjustments going into equity (separately) net of tax until the sale is realized, which then is recognized into income.
There are specific criteria as to how to recognize these assets. Once they are classified, there are problems with subsequent changes (see paragraphs 54 of IAS 39).
For negative goodwill, look at IFRS 3. There is a good explanation in paragraph IN 16 of what it is and how to treat it.
I have attached a link you could use as resource: