This update concerns financial reporting standards for futures merchants and does not describe deposit-taking, payment services, or consumer banking products that would satisfy the Strong Yes criteria for Retail Banking.
This is an administrative and procedural update on accounting standards compliance for futures merchants, with no investment services, asset management, or client-facing investment product dimension that would justify Investment Services tagging.
Specialism
The update concerns financial reporting standards for futures merchants, which relates to data governance and record-keeping obligations, though the primary focus is accounting presentation rather than payment-specific compliance.
Low confidence — requires human review. The update addresses regulatory reporting requirements for financial statements, but this is accounting-focused rather than payment transaction reporting.
TITLE: Taiwan's Financial Supervisory Commission Amends Futures Merchant Financial Reporting Standards to Align with International Financial Reporting Standard 18
BODY:
On February 25, 2026, Taiwan's Financial Supervisory Commission (FSC) announced amendments to the Futures Merchant Financial Report Compilation Standards to align with International Financial Reporting Standard 18 (IFRS 18) on Presentation and Disclosure in Financial Statements. The amendments will take effect from the 117th accounting year and enhance transparency in futures merchants' financial reporting and disclosure.
The key amendments include adjustments to the comprehensive income statement structure, requiring futures merchants to classify revenues and expenses by category—including operating, investing, financing, income tax, and discontinued operations. Futures merchants must evaluate their primary business activities and classify revenues or expenses accordingly. For example, futures merchants with proprietary trading operations must classify gains or losses from financial instrument investments within their proprietary departments as operating activities. The amendments also introduce new subtotal line items including "operating profit" and "profit before tax and financing," while adding "interest income" and removing "financial costs" as standalone items.
Additional changes include requiring futures merchants to separately present goodwill on the balance sheet and to disclose management-defined performance measurement metrics in the notes to financial statements.
The FSC will publish the draft amendments in the Executive Yuan Gazette and on its website, including a summary and a comparison table of proposed provisions. Stakeholders may submit comments within 30 days from the publication date through the FSC's Regulatory Query System on the "Draft Announcements" webpage. The FSC's Securities and Futures Bureau, Futures Management Division, can be contacted at (02) 2774-7167 for further inquiries.