This deferment is in line with the corresponding IASB decision regarding IFRS 9.

Corollary to this initiative, which was approved by the Monetary Board (MB) on 17 July 2012, the MB also granted transition relief to 2012 to 2014 early adopters on their preparation of interim prudential reports.

Please click for the corresponding announcement in the Official Gazette.

• Pre-need insurance companies, which otherwise would have been required to use the Philippines IFRS equivalents in full in 2005, have been exempted by the Securities and Exchange Commission (which is the regulatory body for insurance entities) from applying the Philippines equivalents of IAS 32, IAS 39, and IFRS 4 for 2005. They are however, required to submit financial statements fully adopting all the standards by August 31, 2006. Click for SEC Announcement (PDF 23k).
• As reported in January 2006, non publicly accountable entities (NPAEs, sometimes called SMEs) have been given a two-year deferral (2005 to 2007) from the transition to IFRS equivalents. Instead, they are permitted to use Philippines accounting standards that were in effect in 2004. Click for SEC Announcement (PDF 151k).

ASPC's objective is to attain uniformity of the local GAAS with ISAs. This harmonization is expected to enhance the reliability and acceptability of audited financial statements of Philippine companies. The adopted standards, which will be called Philippine Standards on Auditing (PSAs), will supersede the counterpart local Statements of Auditing Standards of Philippines (SASPs) previously issued by the ASPC.

The PSAs issued by the ASPC shall apply whenever an independent examination of financial statements of any entity, whether profit oriented or not, irrespective of size or legal form, when such examination is conducted for the purpose of expressing an opinion thereon. The PSAs may also have application, as appropriate, to other related activities of auditors. Following are the first two PSA exposure drafts:

• Exposure Draft No. 1: Framework of Philippine Standards on Auditing. ED 1 contains the framework of the basic principles and essential procedures that provide guidance for their application in the audit of the financial statements, financial reporting, levels of assurance, other information and related services.
• Exposure Draft No. 2: Terms of Audit Engagements. ED 2 addresses the terms of audit engagements. It is intended to assist the auditor in preparing engagement letters for audits and related services, principles and procedures applicable to recurring audits, and acceptance of a change in engagement.

The above draft PSAs differ from ISA 210 with respect to the deletion of the section on Public Sector Perspective included in ISA 210.