FAF Views IFRS Foundation's Proposed Accounting Stds Advisory Forum as 'Constructive Opportunity,' Recommends Broader Participation
In a letter sent by FAF Chairman Jeff Diermeier to IFRS Foundation Chairman Michael Prada on Dec. 27, 2012 in response to the IFRSF's proposed Accounting Standards Advisory Forum on behalf of the FAF (which oversees the FASB and GASB), Diermeier commended the proposed ASAF as a 'constructive opportunity. He also recommends the IFRS Foundation broaden the proposed ASAF by:
- broadening qualifying national standard-setters who can participate in the ASAP, to include those who support "highly comparable" standards to IFRS, even if those national standard setters have not yet adopted IFRS themselves, due to, e.g., issues existing in certain countries (including, currently, the U.S.) where it has not yet been determined as to the status of an official 'endorsement' mechanism for IFRS, or the status of IFRS itself in the U.S. per se... although there is support for "highly comparable standards, as noted in the FAF's Nov. 2012 comment letter to the SEC on the SEC's staff paper of May, 2011.
- broaden the number of participants in the proceedings of the ASAF from the IASB side, from just the IASB chairman and vice chairman and a technical subject matter expert, to more members of the board. (This recommendation would seem bring the ASAF closer to the FASAC or Financial Accounting Standards Advisory Council in the U.S.).
Read more about the IFRS Foundation's proposed Accounting Standards Advisory Forum. The comment deadline closed on Dec. 17, 2012.