News

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New Google search engine for IASPlus website

20 Jul 2004

We have replaced our old search engine for IASPlus with the Google search engine.

Three big improvements:
  • The Google search engine will search within PDF files.
  • The results are returned with the search terms highlighted in the context (one or two sentences) in which they appear in the documents that were found.
  • Google is extremely fast.
Click Search at the top of any page or the button at the left on this Home Page.
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Agenda for IFRIC 29 July 2004 meeting is announced

20 Jul 2004

The International Financial Reporting Interpretations Committee will hold a one-day meeting on 29 July 2004 at the IASB's offices in London.

The meeting will not continue to 30 July, as had been previously announced. Here is the agenda:

AGENDA OF THE IFRIC MEETING 29 JULY 2004

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FASB response on principles-based accounting

19 Jul 2004

The US Financial Accounting Standards Board has submitted a Response to July 2003 SEC Staff Report to Congress on a Principles-Based Accounting System (PDF 97k).

The 2003 SEC Report (PDF 495k) had been prepared pursuant to Section 108(d) of the Sarbanes-Oxley Act of 2002. The FASB response states that "the Board welcomes the SEC's study and agrees with the recommendations." A section of the FASB response (pages 10-11) relates to international convergence. The SEC staff report had made the following recommendations:
  • The FASB should issue objectives-oriented standards.
  • The FASB should address deficiencies in the conceptual framework.
  • The FASB should be the only organization setting authoritative accounting guidance in the United States.
  • The FASB should continue its convergence efforts.
  • The FASB should work to redefine the GAAP hierarchy.
  • The FASB should increase access to authoritative literature.
  • The FASB should perform a comprehensive review of its literature to identify standards that are more rules-based and adopt a transition plan to change those standards.
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US House may vote this week on stock options legislation

19 Jul 2004

The United States House of Representative may vote as early as Tuesday 20 July on legislation (known as H.R.

3574, the Stock Option Accounting Reform Act) that would restrict the SEC from recognising a FASB standard on expensing stock options to options granted to the top five officers of a company, would exclude volatility from the calculation of fair value for those options, and would delay implementation for at least a year. The Senate must also pass the same legislation before the bill becomes law. On 8 July 2004, FASB Chairman Robert H. Herz testified on the bill before the Commerce, Trade, and Consumer Protection Subcommittee of the House Committee on Energy and Commerce. Mr. Herz's testimony may be found on FASB's Website.
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IAASB proposes to enhance its operating procedures

19 Jul 2004

The International Auditing and Assurance Standards Board (IAASB) has issued an exposure draft proposing certain enhancements to its due process and working procedures.

The enhancements are designed to increase confidence that the activities of the IAASB are properly responsive to the public interest and will lead to high quality international standards. Proposed enhancements include:
  • Public forums or round-tables, or the issue of consultation papers, where wider or further input would be appropriate.
  • Enhanced meeting agenda material and easier access to comment letters to assist in its deliberative process.
  • An expanded description of the process by which the IAASB considers the need to re-expose a draft IAASB international standard or practice statement.
  • The possibility of issuing a separate document explaining its basis for conclusions on final IAASB international standards or practice statements where necessary.
  • A process to address circumstances where issues over due process are raised with the IAASB.
For IAASB's press release, including a link to download the exposure draft, Click Here (PDF 89k). Comment deadline is 15 October 2004.
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FASB may adopt IASB's black letter/gray letter style

19 Jul 2004

FASB's Response to July 2003 SEC Staff Report to Congress on a Principles-Based Accounting System (see story below) indicates that FASB " -->is considering using the black letter/gray letter style of the International Accounting Standards Board (IASB) and will use that style in its business combinations Exposure Draft.

The Board intends to request constituent input on that style and will address the advantages and disadvantages of using that style in all FASB standards at a later date."
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The evolution of US GAAP

18 Jul 2004

Professor Stephen A.

Zeff, Rice University, presented an all-day seminar on the Evolution of US Generally Accepted Accounting Principles (1932 to today) at an International Symposium on Accounting Standards sponsored by the Ministry of Finance of the People's Republic of China, Beijing, 12 July 2004. We are grateful to Prof. Zeff for permitting us to post a comprehensive Outline of the Presentation (PDF 75k). The outline will remain available on the USA Page.
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Australian companies slow to begin implementing IFRSs

17 Jul 2004

A survey of 122 Australian corporate entities conducted by the Institute of Chartered Accountants in Australia (ICAA) has found that less than half of those surveyed (49%) have begun the process for implementing International Financial Reporting Standards (IFRSs).

61% believe that IFRSs will assist Australian companies in general, while only 40% feel that IFRSs will assist their own business. Click for (PDF 19k). As noted in the story immediately below this one, IFRSs as of 31 March 2004 are now Australian GAAP and go into effect in 2005.
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Australia brings all IFRSs as of 31 March 2004 into effect

17 Jul 2004

The Australian Accounting Standards Board (AASB) has voted to formally adopt all IASs and IFRSs existing at 31 March 2004 as Australian Accounting Standards, thereby effectively introducing those international accounting standards into Australian law for all companies and other entities for reporting periods commencing on or after 1 January 2005. The AASB's policy is to have standards in place one year before entities must adopt them, to allow time for entities to address systems changes and other transition problems.

Thus – with one exception – any further changes to IFRSs would take effect in Australia after 2005. The one exception is the standard expected to result from IASB's ED 6 on exploration and evaluation costs in the extractive industries. That exposure draft would, in effect, "grandfather" Australia's existing national GAAP for those industries. Thus, transition problems are not expected. Because they are delegated legislation, the standards still must pass through a final endorsement process in both houses of the Australian Parliament. They can be rejected in whole or part by a majority vote in either house. Click for (PDF 39k).
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Agenda for the July 2004 IASB meeting in London

16 Jul 2004

The IASB will hold its July meeting at its offices, 30 Cannon Street, London, United Kingdom, on 20-22 July 2004. The agenda is presented below. .

The IASB will hold its July meeting at its offices, 30 Cannon Street, London, United Kingdom, on 20-22 July 2004. The agenda is presented below.

AGENDA OF THE IASB MEETING 20-22 JULY 2004

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