Page 171 - Thailand Post Annual Report 2024

Part 1
Overview of the Organization
Part 2
Business Trends
Part 3
Business Model
Part 4
Strategies and Resource Allocation
Part 5
Risk
Part 6
Corporate Governance
Part 7
Operating Results
Part 8
Other Information
2. Criteria for preparation and presenting financial statements
2.1 The Group of Companies makes its accounting records in baht currency and prepares its statutory financial statements in Thai language in conformity with Financial Reporting Standards and accounting practices generally accepted in Thailand.
2.2 The Group of Companies’ financial statements have been prepared in accordance with the Thai Accounting Standard (TAS) No. 1 “Presentation of Financial Statements” and under Notification of Department of Business Development “Prescribing Brief Items to be Listed in the Financial Statements, B.E. 2566 (A.D. 2023)”
2.3 The financial statements have been prepared on historical cost basis to measure the value of components in the financial statements unless otherwise disclosed in key accounting policies. (See note 3)
2.4 Significant intercompany transactions between the Company and its subsidiary have been eliminated from the consolidated financial statements.
2.5 Financial Reporting Standards affecting the reporting and disclosure in the financial statements for the current fiscal year. During the year, the Group of Companies adopted revised version of financial reporting standards issued by the Federation of Accounting Professions, which are effective for the accounting periods beginning on or after 1 January 2024. These financial reporting standards have been revised or prepared to provide content equivalent to international financial reporting standards. The accounting requirements are updated as follows :
- Accounting Standard No. 1 “Presentation of Financial Statements” requires the disclosure of material accounting policy information.
- Accounting Standard No. 8 “Accounting Policies, Changes in Accounting Estimates and Errors” revises the definitions of accounting estimates.
- Accounting Standard No. 12 “Income Taxes” stipulates the conditions for recognition of deferred income taxes at the initial recognition for transactions giving rise to equal value of temporary taxable differences and temporary differences used for tax deduction, as well as additional exemptions for recognition of deferred income taxes related to international tax reform - Pillar Two Model Rules.
The application of these financial reporting standards has no significant impact on the Group of Companies’ financial statements.
2.6 Financial reporting standards that have been announced in the Royal Thai Government Gazette but have not yet come into effect. The revised financial reporting standards have been published in the Royal Thai Government Gazette and will be applicable to financial statements with accounting periods beginning on or after 1 January 2025 onward. These financial reporting standards have been updated or provided to be on par with international financial reporting standards. The accounting requirements have been updated as follows :
Accounting Standard No. 1 “Presentation of Financial Statements”
- Classification of liabilities as current and non-current.
This revision clarifies that the classification of current or non-current liabilities shall be based on the rights available at the end of the reporting period, which states that the expectation that the business will exercise its right to defer the payment of the debt will not affect the classification of the debts and further explains the additional rights available if the business has complied with its status at the end of the reporting period, and defines the definition of "payment" to clarify that payment means the transfer of cash, equity instrument, other assets or services to a contract counterparty.
Annual Report 2024 169