Identifying and recognising impairment of assets

An asset is impaired when its carrying amount exceeds its amount to be recovered through use or sale of the asset. If an asset is impaired like that, the principle of conservatism requires recognising it in financial statements. This is the case for inventories and accounts receivables for years in accounting applications. But identifying and recognising impairment losses for tangible and intangible assets has been ignored until now. Fortunately, through the standard of ?TMS 36: Impairment of Assets?, which is translated by TMSK from IAS 36, it is possible for identifying and recognising impairment loses for tangible and intangible assets. In this study, the subject of impairment loses has been examined with the frame of TMS 36 and it was tried to be explained by numerical examples. In the recognising part of the study, it is concluded that current Uniform Chart of Accounts couldn?t answer the needs of the standards anymore, and important changes should be introduced immediately.