CapitaLand Integrated Commercial Trust - Annual Report 2021

Notes to the Financial Statements YEAR ENDED 31 DECEMBER 2021 2 BASIS OF PREPARATION (continued) 2.4 Use of estimates and judgements (continued) Measurement of fair values (continued) If the inputs used to measure the fair value of an asset or a liability fall into different levels of the fair value hierarchy, then the fair value measurement is categorised in its entirety in the same level of the fair value hierarchy as the lowest level input that is significant to the entiremeasurement (with Level 3 being the lowest). The Group recognises transfers between levels of the fair value hierarchy as of the end of the reporting period during which the change has occurred. Further information about the assumptions made inmeasuring fair values is included in the following notes: • Note 5 – Valuation of investment properties • Note 30 – Valuation of financial instruments 2.5 Changes in accounting policies New standards and amendments The Group has applied the principles of the following standards, amendments to and interpretations of standards for the first time for the annual period beginning on 1 January 2021. • Interest Rate Benchmark Reform – Phase 2 (Amendments to FRS 109, FRS 39 and FRS 107, FRS 104 and FRS 116) • COVID-19-Related Rent Concessions beyond 30 June 2021 (Amendments to FRS 116) The application of these amendments to standards and interpretations does not have a material effect on the financial statements. Interest Rate Benchmark Reform – Phase 2 (Amendments to FRS 109, FRS 39 and FRS 107, FRS 104 and FRS 116) The Group applied the Phase 2 amendments retrospectively. However, in accordance with the exceptions permitted in the Phase 2 amendments, the Group has elected not to restate comparatives for the prior periods to reflect the application of these amendments. Since the Group had no transactions for which the benchmark rate had been replaced with an alternative benchmark rate as at 31 December 2020, there is no impact on opening equity balances as a result of retrospective application. CapitaLand Integrated Commercial Trust 230