Issued 2 March 2005. Comment deadline 29 July 2005.

In that context, he commented on the potential benefits of the current efforts by both the US SEC and the EC to assess the equivalence of IFRSs and US, Japanese, and Canadian GAAPs and, if deemed equivalent, to eliminate the costs and burdens of reconciliations:

The Commission is analysing the issue of US-GAAP, Japanese and Canadian GAAPs as equivalent to IFRS in the European Union. We are carefully examining CESR's advice on this issue at the moment. There are estimates that for each of the 250 or so European issuers in the US reconciliation imposes a yearly burden of between $5 and $10 million. Dropping the reconciliation requirements on both sides of the Atlantic would mean great reductions in costs for business. Certainly gains in the low billions of euros per year. I will work with the US and with other partners to achieve similar success in the areas of deregistration, insurance, corporate governance, supervisory cooperation and others.

We have combined all of the notes taken by Deloitte observers at the IASB's July 2005 Board meeting onto a Separate Page.

Three are newly created positions resulting from the recent Expansion of the board of trustees from 19 to 22 members. The six other vacancies arise from the departure of existing trustees who are either ineligible for or do not seek reappointment. Four of the nine appointments will be from the Asia/Oceania region, one from Europe, three from North America, and one from any area of the world. The Foundation is seeking indications of interest by 14 September 2005. All appointments would be for renewable three-year terms ending on 31 December 2008. One of the newly appointed trustees may be asked to serve as chairman. Click for Press Release (PDF 29k).

 

"We support the issuance of an IFRIC Interpretation clarifying that share-based payments may exist in scenarios where goods and services provided in exchange for the equity instruments may not be readily identifiable." We agree with the main approach in the draft interpretation and offer some suggestions for changes.

(33k). "We concur with the consensuses reached by the IFRIC on the issues set out in paragraph 6(a) and (b) of D17. Our concerns with the consensus on the issue set out in paragraph 6(c) are detailed in the Appendix to [our] letter."

You will find all past comment letters Here.

The articles included in this edition were drawn primarily from issues of Accounting Roundup published in the second quarter of 2005, and have been updated where appropriate. Accounting Roundup is published by the National Office Accounting Standards and Communications Group of Deloitte & Touche LLP (United States). You will find links to all past issues Here.

The SAC is a forum for organisations and business leaders to advise the IASB on the Board's work programme and priorities. The recent Revision of the IASCF's Constitution created the position of an independent chairman of the SAC. In addition to his role at the University of Sao Paulo, Nelson Carvalho serves on the boards of several Brazilian corporations and as an arbitrator for two the International Courts of Arbitration. Professor Carvalho has served as the Head of Banking Supervision of the Central Bank of Brazil (1991-1993) and a Commissioner of the Brazilian Securities and Exchange Commission (1990-1991). Prior to joining public sector, he was an auditor and financial consultant for 25 years. He has served as a member of the SAC since its formation in 2001 and is also a member of the Consultative Advisory Group of the International Auditing and Assurance Standards Board. He also was a board representative on the IASC, the IASB's predecessor. Professor Carvalho's term as chairman of the SAC expires 31 December 2008. Click for Press Release (PDF 28k).

 

The European Financial Reporting Advisory Group (EFRAG) has submitted its comments on the following two IFRIC Draft Interpretations, both of which EFRAG supports but with recommendations for changes:

• EFRAG Letter (PDF 14k) on IFRIC Draft Interpretation D16 Scope of IFRS 2
• EFRAG Letter (PDF 16k) on IFRIC Draft Interpretation D17 IFRS 2 - Group and Treasury Share Transactions

These modules cover the concepts of hedge accounting and derecognition of financial instruments. Click on the light bulb icon on our home page to access. This brings the total available modules to 35, including the intro-help module, and completes our suite of modules for the 'stable platform' IFRSs for 2005. Well over 250,000 modules have already been downloaded – not counting downloads by Deloitte people, who access IFRS e-learning via an internal network.

We have updated the following agenda project summaries (and other pages on IAS Plus) to reflect decisions at the June 2005 Board meeting:

• Amendments to IFRS 6 and IFRS 1
• Conceptual Framework
• Financial Instruments – Convertible Bonds Denominated in a Foreign Currency
• IAS 21 – Net Investment in a Foreign Operation
• IASB Technical Corrections Policy
• IFRIC 3 Emission Rights
• Management Commentary
• Performance Reporting
• Revenue Recognition
• Short-term Convergence – Income Taxes
• Short-term Convergence – Segment Reporting