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IFRS presentation and disclosure checklist 2006

20 Aug 2006

We have posted Deloitte's new for the year ended 31 December 2006 (PDF 1,181k).

This checklist addresses the presentation and disclosure requirements of IFRSs in issue at 30 June 2006. It does not address the requirements of IFRSs as regards recognition and measurement. The checklist is formatted to allow the recording of a review of financial statements, with a place to indicate yes/no/not-applicable for each presentation and disclosure item. You can always find Deloitte's model IFRS financial statements, IFRS presentation and disclosure checklists, and IFRS compliance questionnaires Here.
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IFRIC will meet 7-8 September 2006

19 Aug 2006

The International Financial Reporting Interpretations Committee (IFRIC) will meet at the IASB's offices in London on Thursday 7 September and Friday 8 September 2006. The agenda will be announced shortly. .

The International Financial Reporting Interpretations Committee (IFRIC) will meet at the IASB's offices in London on Thursday 7 September and Friday 8 September 2006. The agenda will be announced shortly.

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Update on accounting standards in Morocco

18 Aug 2006

Following consultation with the banking and finance industry, the Central Bank of Morocco (Bank Al Maghrib) is developing a regulation that is expected to require Moroccan banks and other financial institutions to prepare their 2008 consolidated financial statements using International Financial Reporting Standards.

Currently, the Moroccan Stock Exchange Law requires all companies listed on the Casablanca Stock Exchange other than banks and financial institutions to choose between IFRSs and Moroccan GAAP.

 

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Update on accounting standards in Vietnam

15 Aug 2006

We have updated our Vietnam Page with the latest information about Vietnamese Accounting Standards (VASs), including a list of VASs currently in force.

VASs have been developed by the Ministry of Finance (MOF) based on IASs issued prior to 2003. The MOF is considering a proposal to grant rights to the Vietnam Association of Certified Public Accountants (VACPA) to formulate and update Vietnamese Accounting Standards. You will find links to all of our jurisdiciton pages Here.
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Innovation in emerging markets

15 Aug 2006

In recent years, global manufacturers have been enticed by the enormous business potential presented by emerging markets.

But what is required to succeed in these markets whose cultures, customer requirements, labor practices, and regulatory regimes are very different than those in developed markets? How are companies adjusting their product offerings, human resource strategies, and supply chains? A new publication from Deloitte Innovation in Emerging Markets: Strategies for Achieving Commercial Success identifies five challenges that companies must innovatively tackle to achieve success in emerging markets:
  • Build new value propositions to deliver different product offerings that meet the unique needs of emerging market customers. In many cases, this will be at dramatically lower price points than in developed markets.
  • Globalise research and development by locating R&D; facilities in emerging markets to acquire deeper customer knowledge, and to build, market and distribute tailored products.
  • Tailor talent management strategies to the unique needs of employees in emerging markets, rethinking how to effectively recruit, develop, deploy, and connect people.
  • Master the complexity of global value chains to provide autonomy at the local level, while leveraging the strengths of headquarters, including governance and management know-how.
  • Build risk management capabilities to effectively detect, correct and manage the unique profile of risks presented by emerging markets, such as the protection of intellectual property.
The research report is based on a global survey of more than 400 executives, as well as in-depth interviews with senior executives at several global manufacturers. Learn more by downloading (PDF 647k).
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Comparison of Canadian GAAP and IFRSs

14 Aug 2006

The staff of the Accounting Standards Board of Canada (AcSB) has published a high-level comparison of current Canadian standards and IFRSs.

Its purpose is to provide information about the extent of similarity between Canadian GAAP and IFRSs. The comparison reflects AcSB and IASB standards at 31 March 2006. The comparison covers significant differences only and does not include all of the differences that might arise in a particular entity's circumstances. It is not intended for use in preparing financial statements. AcSB staff is also maintaining a more detailed comparison for those interested in comparison at a technical level. It is available on the AcSB's Website. Click to (PDF 286k). There's a permanent link on our Canada Page. Deloitte is grateful to the AcSB for allowing us to post this comparison. We have Other Comparisons Here.
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Two Swedish accountancy bodies merge

13 Aug 2006

Two main Swedish professional accountancy organisations have agreed to merge effective 1 September 2006. The two groups are the Swedish Organisation of Certified Public Accountants (Foreningen for Auktoriserade Revisorer, or FAR) and the Swedish Organisation of Auditors (Svenska Revisorsamfundet or SRS).

The combined organisation has about 4,000 members comprising authorized public accountants, approved public accountants, and other highly qualified professionals in the accountancy sector in Sweden. The new body is known as FAR SAS.

 

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AICPA-AAA-IAASB research on auditor's report

12 Aug 2006

The American Institute of Certified Public Accountants (AICPA), the American Accounting Association (AAA), and the International Auditing and Assurance Standards Board (IAASB) have launched a research initiative aimed at providing a better understanding of users' perceptions of the financial statement audit and the auditor's report.

A joint request for proposals solicits academic research to identify and provide information about such perceptions. Proposals must be submitted by 2 October 2006. The AICPA and IAASB will fund between US$10,000 and $20,000 for each project. Researchers are required to submit a summary of results by 1 October 2007, with a more detailed report by 7 January 2008.

Click for:

 

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Interview on new IFRS-based Chinese standards

10 Aug 2006

We have posted an interview with Stephen Taylor, head of the Deloitte Asia-Pacific IFRS Centre of Excellence, about China's new Accounting Standards for Business Enterprises that are based on IFRSs.

The interview, titled (PDF 563k) was included in Issue 3/2006 of Australian CPA Network magazine, published by the Hong Kong branch of CPA Australia. Stephen highlights some of the differences between the new Chinese standards and IFRSs and comments on their efficacy and wider implications. Several of the interview questions relate to convergence. Here's one:

Question: Why can't you have one set of IFRS standards with exceptions for specific circumstances in each country? Stephen's response: Ideally, that's where we should be but it's mainly the lack of sovereignty that is the issue. In China the standards are laws. So you would be allowing a body of people sitting in London to dictate their laws. Hong Kong won't do it, neither will the European Union. Even in the European Union if an IFRS standard is issued by the IASB it has to be endorsed by the European Union for use in Europe because it's a legal issue. What we will probably see more of in China's case is a reconciliation requirement. In other words, it will be alright to use this Chinese standard but please reconcile and show us the potential impact of these minor differences.

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Section 404 relief for small companies, FPIs

10 Aug 2006

The US Securities and Exchange Commission has offered smaller public companies and many foreign private issuers further relief from compliance with Section 404 of the Sarbanes-Oxley Act of 2002. Two aspects of Section 404 are at issue: Section 404(a), which requires a report by management assessing the effectiveness of the company's internal control over financial reporting Section 404(b), which requires an auditor's attestation on internal controls The SEC would offer relief in three areas: Relief from Section 404 compliance dates for smaller companies (non-accelerated filers). The Commission proposes to: extend the date by which non-accelerated filers must provide the Section 404(a) management report from fiscal years ending on or after 15 July 2007, until fiscal years ending on or after 15 December 2007; and extend the date by which non-accelerated filers must begin to provide the Section 404(b) auditor's attestation to the first annual report for a fiscal year ending on or after 15 December 2008. These extensions would benefit about 44% of the domestic companies and 38% of the foreign private issuers that file periodic reports with the SEC. Relief from Section 404(b) compliance date for certain foreign private issuers. The SEC has adopted final rules allowing foreign private issuers that are accelerated filers but not large accelerated filers, and that file their annual reports on Form 20-F or 40-F, to defer their Section 404(b) auditor's attestation until fiscal years ending on or after 15 July 2007. These companies will be required to include the Section 404(a) management report in their annual reports for their first fiscal year ending on or after 15 July 2006. This extension would apply to about 23% of the foreign private issuers (these are in addition to the 38% mentioned previously). Transition relief for newly public companies. The Commission proposes a newly public company, including a foreign private issuer that is listing on a US exchange for the first time, would not be required to provide either a Section 404(a) management assessment or 404(b) auditor attestation report until it has previously filed one annual report with the Commission. Note that no relief is offered to a foreign private issuer that is a large accelerated filer.

Such companies must still comply with both the Section 404(a) and 404(b) requirements in their annual reports for years ending on or after 15 July 2006. Click for (PDF 45k). The press release has hyperlinks to the full text of the SEC rules.

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