Call for United States not to overlook IFRS for SMEs

  • United States Image

21 Sep 2010

The Institute of Chartered Accountants in England and Wales (ICAEW) has submitted a comment letter to the United States AICPA/FAF/NASBA "Blue-Ribbon" Panel on Standard Setting for Private Companies.

The 'Blue Ribbon' Panel is currently seeking input on the preparation of private company financial statements in the United States.

As noted in our earlier story, the 'Blue Ribbon' Panel appears to prefer a 'home grown' alternative to the possible adoption of the IFRS for SMEs in the United States. The ICAEW's comment letter recommends the Panel reconsiders the IFRS for SMEs. An extract follows:

We note... that the Panel has already decided not to consider any IFRS-based approaches, and to focus exclusively on US GAAP based options. We understand that the reason for this is that even if IFRS were to be adopted for US companies, adoption would not in fact take place for at least five years... we believe that there is a case for considering the IFRS for SMEs as an option even if IFRS is not adopted for US listed companies in the near future. If IFRS is in fact adopted, either in five years' time or at some later date, the experience that will have been gained through familiarity with the IFRS for SMEs would facilitate the eventual transition process. The Panel may therefore wish to reconsider its exclusion of any option based on IFRS, and in particular the IFRS for SMEs.

Click for:


Correction list for hyphenation

These words serve as exceptions. Once entered, they are only hyphenated at the specified hyphenation points. Each word should be on a separate line.