021 Accounting Standards Board of Japan announced a new standard of Comprehensive Income
ASBJ announced a new standard of Comprehensive Income on 30 Jun, 2010.
They were going to announce during March at first, but postponed till today.
This brings to everyone’s attention because valuation adjustment, which is directly reported as a component of shareholders’ equity, now should be reported as a part of profit. This is going to be effective against financial statements for the year ended after 31 March, 2011.
However, this is not going to be applied to all the financial statements. Individual financial statements and ones of unlisted companies do not have to be presented because users’ needs are different, and whether they also have to present theirs in IFRS basis has yet to decide.
It is understandable that coordination of many people’s opinion, but we expect them to determine what to do with this pending issue of unlisted companies which occupies the vast majority of all the companies in entire nation.
