Deloitte Canada IFRS transition newsletters

31 Jan 2010

Deloitte Canada has published the January 2010 issue of their Countdown IFRS transition newsletter, to discuss practical issues Canadian companies are facing in IFRS transition as well as to provide an update on recent IFRS events.

Articles in this issue include:
  • IFRS Predictions for 2010
  • iGAAP: IFRSs for Canada – the 2nd edition is now available
  • The Real Deal – a focus this month on dual reporting issues and maintaining and a shadow reporting calendar in 2010
  • It's official – IFRSs are now in the handbook
  • An update on International standard setting activities
Click below for: Related items:
  • You will find more information about financial reporting in Canada on our Canada page.


Japan proposes to 'designate' additional IFRSs

31 Jan 2010

The Financial Services Agency (FSA) of Japan has proposed to update the list of IFRSs designated for use by companies voluntarily applying IFRSs in Japan.

This proposal is an extension of the Ordinances that FSA adopted on 11 December 2009 (see IAS Plus News Story). Those Ordinances allow Japanese listed companies that meet certain requirements to apply voluntarily, starting in financial years ending on or after 31 March 2010, IFRSs designated by the Commissioner of the FSA through public notice. On 11 December 2009, the Commissioner of the FSA designated the entire IFRSs including IFRIC Interpretations issued by the IASB on or before 30 June 2009. This new proposal would add the following IFRSs and IFRIC interpretations released between 1 July and 31 December 2009 to the list of 'designated IFRSs':
  • IFRS 1 First-time Adoption of International Financial Reporting Standards (amendment)
  • IAS 32 Financial Instruments: Presentation (amendment)
  • IAS 24 Related Party Disclosures (amendment)
  • IFRS 9 Financial Instruments
  • IFRIC 14 IAS 19–The Limit on a Defined Benefit Asset, Minimum Funding Requirements and their Interaction (amendment)
  • IFRIC 19 Extinguishing Financial Liabilities with Equity Instruments
Click to Download the Proposal (English version) (PDF 29k). Comments on the proposal should be sent to FSA by 22 February 2010.


New SEC guidance on climate-related disclosures

31 Jan 2010

The US Securities and Exchange Commission has voted to provide public companies with interpretive guidance on certain existing disclosure rules that may require a company to disclose the impact that business or legal developments related to climate change may have on its business.

The relevant rules cover a company's risk factors, business description, legal proceedings, and management discussion and analysis. The SEC's interpretative guidance highlights the following areas as examples of where climate change may trigger disclosure requirements:
  • Impact of legislation and regulation
  • Impact of international accords
  • Indirect consequences of regulation or business trends
  • Physical impacts of climate change
Click for SEC Press Release (PDF 34k). Click for the SEC's Interpretive Release on Climate Change Disclosures(PDF 139k).


New public sector intangible assets standard

31 Jan 2010

The International Public Sector Accounting Standards Board (IPSASB) has issued IPSAS 31 'Intangible Assets'.

IPSAS 31 covers the accounting for and disclosure of intangible assets. It is primarily drawn from IAS 38 Intangible Assets. It also contains extracts from the SIC-32 Intangible Assets-Web Site Costs, adding application guidance and illustrations that have not yet been incorporated into the IAS.

At this point, IPSAS 31 does not deal with uniquely public sector issues, such as powers and rights conferred by legislation, a constitution, or by equivalent means; the IPSASB will reconsider the applicability of the standard to these powers and rights in the context of its conceptual framework project, which is currently in progress.

The IPSASB has also published Improvements to IPSASs, to conform with minor changes to IFRSs made by the IASB since the related IPSASs were originally released. These are part of a series of annual improvements that is modeled on a successful IASB annual update program.

Click for Press Release (PDF 22k).


IASB and Brazil sign Memorandum of Understanding

30 Jan 2010

On 28 January 2010, two accountancy bodies in Brazil signed a Memorandum of Understanding (MOU) with the IASB establishing principles for future cooperation aimed at supporting adoption of IFRSs in Brazil and fostering the engagement of the Brazilian accounting standard-setter in the international accounting standard setting process.

The two Brazilian organisations are:
  • Conseho Federal de Contabilidade (CFC, the Brazilian Federal Council of Accounting), and
  • Comitê de Pronunciamentos Contábieis (CPC, the Brazilian Accounting Pronouncements Committee – the standard-setter).
IASB Chairman Sir David Tweedie was in Brazil for the signing. Full IFRSs take effect in Brazil starting in 2010 for listed companies and financial institutions. CPC will eliminate the remaining differences between Brazilian GAAP and IFRSs by the end of 2010. Regarding small and medium-sized entities, the MOU states:
The CPC will endeavour efforts in order to have all relevant documents issued by the IASB or the International Accounting Standards Committee Foundation with respect to SMEs translated into Brazilian Portuguese, including educational material. CPC shall also engage its best efforts in its endorsement process and in its broad dissemination, including support to training, aiming at facilitating adoption of the IFRS for SMEs in Brazil.
Click to download the IASB-Brazil Memorandum of Understanding (Bilingual)(PDF 2,429k).


IASB amends IFRS 1 to add IFRS 7 disclosure exemption

29 Jan 2010

The International Accounting Standards Board (IASB) has amended IFRS 1 'First-time Adoption of International Financial Reporting Standards' to exempt first-time adopters of IFRSs from providing the additional disclosures introduced in March 2009 by 'Improving Disclosures about Financial Instruments (Amendments to IFRS 7)'.

The amendment gives first-time adopters the same transition provisions that Amendments to IFRS 7 provides to current IFRS preparers. The amendment is effective on 1 July 2010, with earlier application permitted. Click for IASB press release.


Revised CEBS guidelines on supervisory disclosure

29 Jan 2010

The Committee of European Banking Supervisors (CEBS) has published revised Guidelines on Supervisory Disclosure.

CEBS'S framework for supervisory disclosure has been implemented at both EU and national levels since early 2007. This revision is the result of a public consultation in September 2009.


IASB/IASCF complete first two IFRS for SMEs workshops

29 Jan 2010

The IASB and IASCF have completed the first two three-day workshops to 'train the trainers' on the IFRS for Small and Medium-sized Entities.

The two workshops were organised by the Confederation of Asian and Pacific Accountants (CAPA) and funded, in part, by the Asian Development Bank. They took place on 20-22 January 2010 in Kuala Lumpur, Malaysia, and on 25-27 January 2010 in Hyderabad, India (the latter at a new residential training facility provided by the Institute of Chartered Accountants of India). Instructors were Paul Pacter, the IASB's Director of Standards for SMEs, and Michael Wells, Director of the IASCF's IFRS Education Initiative. There were 85 participants from 15 jurisdictions: Bangladesh, Cambodia, Hong Kong, India, Indonesia, Malaysia, Mongolia, Nepal, North Korea, Papua New Guinea, Philippines, Samoa, Singapore, Sri Lanka, and Vietnam. All participants have committed to organise similar IFRS for SMEs training workshops in their own country. The IASB will provide the training materials and PowerPoint presentations for those workshops. For more information contact Michael Wells at mwells@iasb.org.


New PCAOB auditing standard on EQR

28 Jan 2010

The US Public Company Accounting Oversight Board (PCAOB) has published Auditing Standard 7 Engagement Quality Review, and a conforming amendment to PCAOB Interim Quality Control Standards (as set out in the PCAOB's Bylaws and Rules), which were approved by the US Securities and Exchange Commission.

Both are effective for engagement quality reviews of audits and interim reviews for financial years beginning on or after 15 December 2009:


First of two IFRS 2010 bound volumes now available

28 Jan 2010

The IASB has published IFRS Consolidated Without Early Application – the first of two bound volumes (BV) of IFRSs for 2010. This volume (nicknamed the "Blue Book") contains all official pronouncements that are mandatory on 1 January 2010. It does not include IFRSs with an effective date after 1 January 2010. For example, the Blue Book does not include IFRS 9 Financial Instruments because it has an effective date of 1 January 2013. The Blue Book differs from the traditional BV, which includes all pronouncements issued at the publication date, including those that do not become mandatory until a future date.

The IASB intends to publish the traditional BV (the "Red Book") in the next two months or so (it will be printed in two books because of the amount of content). The Blue Book and the Red Book set will each sell for £60 plus shipping (academic, developing country, and volume discounts apply). You will find more information and ordering details in this Bound Volume Brochure for 2010 (PDF 801k).


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