074 Report on works towards the completion of convergence between IFRS and US-GAAP
Currently, IASB (International Accounting Standards Board) and FASB (Financial Accounting Standards Board) are collaborating to urge convergence of accounting standards between IFRS and US-GAAP. They planned to complete all the process by June 2011 at first, but they announced a Progress Report on April 21 2011. The followings are its contents.
They are going to issue new standards on “Consolidated Financial Statements,” “Joint Arrangement,” “Retirement Benefit” within a several weeks from now. And also new rules on “measurement of fair value” and “other comprehensive income” are going to be issued within a several weeks.
They say that priority of “Financial Instruments,” “Leases,” “Revenue,” and “Insurance Contract” is higher than any other ones in the process, pushing them towards the completion.
On the other hand, they permitted delay of convergence projects on “Presentation of Financial Statements” and “financial instruments with equity feature,” making its completion set after the second half of 2011.
This revision of the schedule could affect the IFRS convergence schedule in Japan.
