IFRS

Education & Careers

AICPA proposes changes to CPA exam, seeks comment

The American Institute of Certified Public Accountants released a draft proposal for public comment outlining proposed content updates for the CPA exam. The proposal increases emphasis on ethics and provides more in-depth descriptions of the skills necessary for entry-level CPAs. It proposes including International Financial Reporting Standards (IFRS) on the exam for the first time. "The CPA Examination tests the knowledge and skills that are relevant for entry-level CPAs. In doing so, the public is protected," said Craig Mills, executive director of examinations for the AICPA.

Canadian companies not ready for conversion to IFRS

The vast majority of Canadian companies that will be required to convert from Canada's generally accepted accounting principles (GAAP) to international financial reporting standards (IFRS) in January 2011 are not prepared to make the change, according to a study sponsored by Canadian Financial Executives Institute (FEI Canada) and Ernst & Young LLP and released at a conference sponsored by the Canadian Institute of Chartered Accountants and the International Accounting Standards Board in Toronto on April 23 – 25.

PwC Chairman urges adoption of international standards

PricewaterhouseCoopers U.S. Chairman and Senior Partner Dennis Nally called for a shift in accounting standards away from U.S. GAAP to International Financial Reporting Standards (IFRS) in a speech Tuesday at the Union League Club in New York. In his speech, Nally urged members of Financial Executive International to embrace the rapid and often disruptive changes brought about by globalization as an opportunity to address systemic problems that impact America's long term competitiveness.

CPAs pessimistic about economic outlook

Expectations for the U.S. economy turned sharply negative among senior-level executive CPAs as the outlook for finance, real estate, and retail trade declined in the first quarter, according to the latest Business and Industry Economic Outlook Survey of the American Institute of Certified Public Accountants and the University of North Carolina's Kenan-Flagler Business School.For the first time since the AICPA survey began in December 2005, pessimists outnumbered optimists and did so by nearly a five-to-one margin. The economy emerged as the top issue facing lawmakers and U.S.

AICPA sends comments to FAF

The American Institute of Certified Public Accountants has submitted comments (reprinted below) to the Financial Accounting Foundation (FAF) on proposed changes to Oversight, Structure, and Operations of the FAF, Financial Accounting Standards Board (FASB) and Governmental Accounting Standards Board (GASB).# # # # # February 11, 2008 Ms. Teresa S. PolleyChief Operating OfficerFinancial Accounting Foundation401 Merritt 7Norwalk, CT 06856 Dear Ms.

Speeding toward convergence: Changes to come rapidly for accounting profession

By Allison M. Henry The pace of accounting standards convergence is accelerating and is being driven primarily by an investment community that is rapidly embracing International Financial Reporting Standards (IFRS), as promulgated by the International Accounting Standards Board (IASB). At the same time, technological changes, as illustrated by the growing acceptance of XBRL, are challenging the need for the traditional historical financial reporting model.
A&A

FASB announces free webcast on global accounting

The Financial Accounting Standards Board (FASB) has announced the launch of a series of periodic webcasts focusing on topics of importance to its constituents. The first FASB webcast, entitled Towards a Global Reporting System: Where Are We and Where Are We Going?, is scheduled for Tuesday, January 8, 2008, from 10:30 a.m. to 11:30 a.m. (EST), and will feature a panel of experts discussing international convergence of accounting standards.Panelists Robert Herz, Peter Bridgman, Greg Jonas, and Sam Ranzilla will discuss the implications of moving the U.S.

SEC relieves foreign companies of U.S. GAAP filing requirements

Having considered extensive and informative public comment on its June 2007 proposal, the Securities and Exchange Commission has unanimously approved rule amendments under which financial statements from foreign private issuers in the U.S. will be accepted without reconciliation to U.S. Generally Accepted Accounting Principles only if they are prepared using International Financial Reporting Standards (IFRS) as issued by the International Accounting Standards Board.

AICPA recommends SEC encourage use of IFRS

The American Institute of Certified Public Accountants has written a letter to the Securities and Exchange Commission recommending the SEC take comprehensive steps to harmonize U.S. and international financial reporting, including allowing American public companies to report financial results using international accounting standards."The AICPA supports the goal of a single set of high-quality, comprehensive accounting standards to be used by public companies in the preparation of transparent and comparable financial reports throughout the world," said AICPA Chairman Randy G.

Financial Executives International speaks out on international financial reporting

In recent months, issues surrounding international reporting have received heightened interest among financial executives. In response, Financial Executives International (FEI) released two comment letters regarding regulation efforts around global financial reporting.

Adopting IFRS will be expensive for U.S. companies

Before the dust had even settled on their ruling to end the requirement that foreign companies listing in the U.S. reconcile financial statements based on International Financial Reporting Standards (IFRS) to U.S. generally accepted accounting principles (U.S. GAAP), the Securities and Exchange Commission (SEC) last month signaled its intention to consider allowing U.S. companies the option to use IFRS in place of U.S. GAAP. The commission initiated discussion through a "Concept Release on Allowing U.S.

Presidential candidate suggests consumption tax

Former Arkansas governor Mike Huckabee, a Republican presidential candidate, promoted his idea for replacing the federal tax system with a 23 percent "consumption tax." Huckabee said on "Fox News Sunday" the current tax system "is not only burdensome, but extremely expensive.""You get rid of income tax, you get rid of all of the withholding, you get rid of corporate taxes completely, totally," he said. "You replace it with a 23 percent consumption tax.

SEC Considers IFRS, GAAP Filing Choices

The Securities and Exchange Commission announced its intentions to issue a ruling this summer designed to give foreign private issuers a choice between IFRS and U.S. GAAP. In addition, the SEC plans is considering providing U.S. issuers the alternative to use IFRS.Current SEC rules require that foreign private issuers who report in IFRS, or any other non-U.S. GAAP, provide a reconciliation of those financial statements to U.S. GAAP.
Tax

Guidance on Reporting and Withholding Under Code Section 409A Issued

The Treasury and the Internal Revenue Service (IRS) issued Notice 2006-100, Reporting and Wage Withholding Under Internal Revenue Code Section 409A on Thursday, providing guidance to employers and payers on their reporting and wage withholding requirements for calendar years 2005 and 2006, with respect to deferrals of compensation and amounts includible in gross income under Code Section 409A and relief from reporting deferrals that are not includible in income during those years.Notice 2006-100 supersedes Notice

SEC and CESR Launch Financial Reporting Work Plan

The Securities and Exchange Commission (SEC) and the Committee of European Securities Regulators (CESR) on Wednesday published a work plan to be implemented immediately as a guide for the SEC-CESR Dialogue. The focus of the work plan is the application of International Financial Reporting Standards (IFRS) and the U.S.

Saudi Best Practices Lead Arab World

Dr. Ahmed Bin Abdulla Al Moghames will address the World Accounting Summit being held the last week in May in Dubai. He is the Secretary General of the Saudi Organization for Certified Public Accountants (SOCPA). The local challenges of international finance convergence and the misconceptions of Saudi accounting ethics will be the subjects of Dr. Al Moghames’s address to the summit. “People think that accounting in Saudi Arabia is weak, and that our standards come from nowhere. But those who don’t know can’t judge.

FASB and IASB Set Goals for Convergence

Acknowledging the role of their convergence project in the ‘roadmap’ to removing reconciliation requirements for non-US companies registered in the US, the International Accounting Standards Board (IASB) and the Financial Accounting Standards Board (FASB) released a joint memorandum of understanding (MOU) on Monday that lists 11 specific areas where progress is to be achieved by 2008.

Canadian GAAP to Converge with International Standards

Canada’s Accounting Standards Board (AcSB) has announced that Canada will align its accounting standards for public companies with International Financial Accounting Standards (IFRS). AcSB chairman Paul Cherry said that the decision came after extensive consultation with Canadian companies and investors who opposed copying the “rules-oriented” U.S. generally accepted accounting standards (U.S. GAAP). Canada joins the European Union and Australia, who have already adopted IFRS. Canadian public companies that wish to use U.S.

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