IFRS 15 - Amounts Collected on Behalf

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Lionel Tarumbwa
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Joined: 06 May 2021, 10:39

IFRS 15 - Amounts Collected on Behalf

Post by Lionel Tarumbwa »

Hi,

I am working on a client in the medical services industry. They charge an on-call allowance to clients that visit the practice at night. The whole charge is payable to the doctors who attend to the client in full. The business has no rights to the amount and pays the amount in full to the doctors. Should this amount be included as part of the transaction price or it should be excluded?

I was thinking it should be excluded as the company has no rights to the amount and they are only acting as a facilitator between the customer and the doctor who is on call.

Looking forward to your response.
JRSB
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Re: IFRS 15 - Amounts Collected on Behalf

Post by JRSB »

Seems to me you ignore it from a P&L perspective, apart from a commission or fee for doing so
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Marek Muc
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Re: IFRS 15 - Amounts Collected on Behalf

Post by Marek Muc »

what's the difference between night visits and daily visits other than the fact that the medical centre does not earn a profit on night visits?
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