IASB Vice Chair Denounces FASB’s Separate Agenda
After working with the Financial Accounting Standards Board (“FASB”) for 12 years on merging U.S. GAAP and International Financing Accounting Standards (IFRS), the International Accounting Standards Board’s (“IASB”) Ian Mackintosh recently criticized the FASB for its decision to stray from their original course of action. Speaking at the IFRS Foundation Conference on June 23rd, the IASB Vice Chair acknowledged the successes of IFRS adoption in over 100 nations, but condemned the FASB for diverging from the goal of creating a single set of global standards. In his speech, Mackintosh called out FASB Vice Chair James Kroeker for comments perceived as. Read More.
Topics: Convergence, Financial Accounting Foundation "FAF", Financial Accounting Standards Board "FASB", Global Standards, Ian Mackintosh, International Accounting Standards Board "IASB", International Financial Reporting Standards "IFRS", James Kroeker, Mary Jo White, Revenue Recognition, U.S. GAAP
Christopher Cox Responds to IFRS Comments
Showing longstanding support for International Financial Reporting Standards (IFRS), a change in stance seemed highly unlikely by Christopher Cox. However, after criticizing the potential U.S. adoption of IFRS during a conference speech earlier this month , the former U.S. Securities and Exchange Commission (“SEC”) Chair has received backlash from attendees and others who viewed the remarks as contradictory to his years as the agency’s leader. Cox recently addressed the outcry by saying his IFRS views haven’t changed, but rather the current state of financial reporting. In a phone interview last week with Accounting & Compliance Alert, Cox iterated that global standards are a good idea, but the policies in place have to adjust. Read More.
Mary Jo White Says SEC Statement on IFRS Coming Soon
Despite uncertainty regarding the agency’s next steps, U.S. Securities and Exchange Commission’s (“SEC”) Mary Jo White reaffirmed that International Financial Reporting Standards (IFRS) continue to be a top priority. After a June 20th speaking engagement with the Economic Club of New York, the SEC Chair remarked that her agency will have an updated IFRS statement in the near future, but is unsure what details it could contain. Per White, the last major issue relates to whether or not, and to what degree could IFRS be offered to domestic issuers. When issued, the SEC’s statement will be the first concerning IFRS. Read More.
Topics: Convergence, Domestic Issuers, Economic Club of New York, Global Accounting Standards, International Accounting Standards Board "IASB", International Financial Reporting Standards "IFRS", Mary Jo White, U.S. Securities and Exchange Commission "SEC"
IASB Chairman, Ex-SEC Chair Swap Words over U.S. IFRS Adoption
After hearing former U.S. Securities and Exchange Commission (“SEC”) Chairman Christopher Cox drop support of the U.S. adopting International Financial Reporting Standards (IFRS), International Accounting Standards Board (“IASB”) Chairman Hans Hoogervorst expressed disproval of Cox’s newfound stance. Although Cox supported U.S. adoption last fall, his comments at the June 5th University of Southern California’s Financial Reporting Conference reflect criticisms of the IASB and the IFRS Foundation. Cox claimed the IASB lacked independence from regional predispositions, accountability to regulators and other standard-setting bodies, and believes the board is unresponsive to the country’s interests. Regarding Cox’s reversal of opinion, Hoogervorst reaffirmed the IASB’s support of serving investors, and believed Cox’s viewpoint has changed from. Read More.
Former SEC Chair Uncertain of U.S. IFRS Adoption
Speaking at the recent “SEC and Financial Reporting Institute Conference”, former U.S. Securities and Exchange Commission (“SEC”) Chair Christopher Cox opined that he doubts a U.S. adoption of International Financial Reporting Standards (IFRS) could occur. Sharing thoughts contradictory from his actions as SEC Chair, Cox concluded that the opportunity for the U.S. to adopt IFRS has passed and too much time had wasted without any significant progress being made. Referencing the lack of a current plan that considers U.S public companies to utilize IFRS voluntarily, Cox used the shortcoming as an example of resistance to convergence. Despite Cox suggesting the. Read More.
Revenue Recognition Will Never Be the Same
It has taken over five years of debate to develop, but on May 28th the Financial Accounting Standards Board (“FASB”) released Accounting Standards Update (“ASU”) 2014-09, Revenue from Contracts with Customers: Topic 606, creating a new codification topic and ushering in a new era of revenue recognition. This new standard is a major achievement of the International Accounting Standards Board (“IASB”) and FASB joint project to converge U.S. GAAP and International Financial Reporting Standards (“IFRS”). With this release, the FASB has now replaced hundreds of industry specific guidance pages with a single, comprehensive standard applicable to virtually all industries that. Read More.
Topics: Accounting Standards Update "ASU", Financial Accounting Standards Board "FASB", International Accounting Standards Board "IASB", International Financial Reporting Standards "IFRS", Revenue Recognition