Ifrs Adoption in the U.S, Why the Postponement
IFRS ADOPTION IN THE U.S; WHY THE POSTPONEMENT
By Liu, Qun,Hiltebeitel, Kenneth
Monday, November 1 2010
Published on AllBusiness
In November 2008, the SEC proposed a "Roadmap for Potential Use of Financial Statements Prepared in Accordance with International Financial Reporting Standards [IFRS] by U.S. Issuers." The SEC road map detailed a process and a set of milestones by which certain larger public companies (those with a public float of at least $700 million) in the United States would transition from financial reporting based on U. S Generally Accepted Accounting Principles (GAAP) to that based on 3FRS beginning in 2014, with smaller public companies adopting IFRS in 2015 and 2016.
Based on the timeline contained in the proposed road map, if large public companies make their filings for 2014, they would be required to include balance sheets for December 31, 2013, and December 31, 2014, and income statements, cash flow statements, and statements of changes in stockholders' equity for the years ended on December 31, 2012, 2013, and 2014. In addition, the International Accounting Standards Board (IASB) requires companies adopting IFRS for the first time to present the beginning balance sheet as of the date of transition (i.e., January 1, 2012). Therefore, IFRS adoption by 2014 really means a transition starting as early as January 1, 2012. Is it possible?
After the SEC issued its proposed road map for public comment in November 2008, more than 200 comment letters were submitted from a wide variety of market participants, including those representing investors, regulators, issuers, accounting, legal, and other professions, as well as members of academia, standards setters, and international organizations. Those comment letters, along with survey results, could affect the SEC's decision regarding incorporating H7RS into the financial reporting system by 2014. On February 24, 2010, the SEC published a statement regarding feedback to the comment letters and
By Liu, Qun,Hiltebeitel, Kenneth
Monday, November 1 2010
Published on AllBusiness
In November 2008, the SEC proposed a "Roadmap for Potential Use of Financial Statements Prepared in Accordance with International Financial Reporting Standards [IFRS] by U.S. Issuers." The SEC road map detailed a process and a set of milestones by which certain larger public companies (those with a public float of at least $700 million) in the United States would transition from financial reporting based on U. S Generally Accepted Accounting Principles (GAAP) to that based on 3FRS beginning in 2014, with smaller public companies adopting IFRS in 2015 and 2016.
Based on the timeline contained in the proposed road map, if large public companies make their filings for 2014, they would be required to include balance sheets for December 31, 2013, and December 31, 2014, and income statements, cash flow statements, and statements of changes in stockholders' equity for the years ended on December 31, 2012, 2013, and 2014. In addition, the International Accounting Standards Board (IASB) requires companies adopting IFRS for the first time to present the beginning balance sheet as of the date of transition (i.e., January 1, 2012). Therefore, IFRS adoption by 2014 really means a transition starting as early as January 1, 2012. Is it possible?
After the SEC issued its proposed road map for public comment in November 2008, more than 200 comment letters were submitted from a wide variety of market participants, including those representing investors, regulators, issuers, accounting, legal, and other professions, as well as members of academia, standards setters, and international organizations. Those comment letters, along with survey results, could affect the SEC's decision regarding incorporating H7RS into the financial reporting system by 2014. On February 24, 2010, the SEC published a statement regarding feedback to the comment letters and