Costs of obtaining a customer contract (IFRS 15)

IFRS 15 requires an entity to recognise as an asset incremental costs of obtaining a contract with a customer if it expects to recover them. Incremental costs are costs that would not have been incurred if the contract had not been obtained. Costs incurred regardless of obtaining the contract are generally expensed unless explicitly chargeable to the customer regardless of whether the contract is obtained, or another standard applies. A practical expedient permits immediate expense if the amortisation period of the asset that would otherwise be recognised is one year or less. Recognised assets are amortised consistently with the transfer of related goods or services and assessed for impairment. A capitalised cost asset is distinct from an IFRS 15 contract asset, which represents a conditional right to consideration.