EFRAG begins its review of existing IAS
12 Jun 2002
The new European Accounting Regulation requires that the European Commission "decide on the applicability within the Community" of both existing and future International Accounting Standards.
The regulation establishes an Accounting Regulatory Committee to advise the Commission in this regard and sets a deadline of 31 December 2002 for decisions regarding existing IAS. Under the regulation, IAS can only be adopted if they
- (a) are not contrary to EU Directives,
- (b) are conducive to the European public good, and
- (c) meet the criteria of understandability, relevance, reliability, and comparability.