KPMG establishes new International Standards Group

KPMG International has set up a new International Standards Group, based in London, to support its goal of achieving global consistency in the application of International Financial Reporting Standards (IFRS) and International Standards on Auditing (ISAs). Mary Tokar is the new Head of the KPMG International Financial Reporting Group (IFRG). Previously she was a partner in the department of professional practice in KPMG’s US member firm. Sylvia Smith is a seconded partner from KPMG in Canada, previously based in Toronto. As Head of KPMG’s International Standards on Auditing (ISAs) Group since 2001, she will now operate the ISA Group out of London as part of the International Standards Group.

IFRS News from PricewaterhouseCoopers (PwC)

IFRS News is a monthly newsletter highlighting current developments at the International Accounting Standards Board (IASB) and International Financial Reporting Interpretations Committee (IFRIC). The December 2006 edition looks at the experts’ views on IFRS application in 2005 and 2006, and provides an update on the current standards and interpretations. Recent back issues of IFRS News and a list of subjects covered in previous editions are available at the PwC website.

Canadian Accounting Standards Board (AcSB) Decision Summaries

The AcSB monitors the activities of the International Accounting Standards Board (IASB) and US Financial Accounting Standards Board (FASB) (see www.iasb.org.uk and www.fasb.org, respectively). It has prepared executive summaries of discussions and decisions with respect to the following topics addressed at AcSB meetings on November 30 and December 4, 2006: International Activities; Public Company Strategy; Private Company Strategy; Financial Instruments; Accounting Policy Choice for Transaction Costs; AcSB Objectives and Work Plan — 2007-2008 Operating Year; AcSB’s Role, Processes, Structure and Resources; Internally Developed Intangible Assets.

IFRS model financial statements for 2006

Deloitte has published IFRS Model Financial Statements for 2006 (Preliminary Version). The final version will be available in January 2007. On the Model Financial Statements Page are links to an IFRS Presentation and Disclosure Checklist and an IFRS Compliance Questionnaire for the year ended December 31, 2006

IFRS: are you ready?

Have you started preparing for the upcoming International Financial Reporting Standards? According to a survey conducted by Resources Global Professionals, a majority of Canadian companies have not. More than 75% of respondents indicated their firms will implement IFRS but 54% haven’t done any preparation; 11% have done some “initial thinking,” and 3% have a completed plan.

XBRL can facilitate IFRS-US GAAP conversion

At the 14th International XBRL Conference in Philadelphia on December 5, 2006, the United States SEC Chairman Christopher Cox spoke about The Promise of Interactive Data. He noted that one of the benefits of XBRL could be to allow easy conversion between IFRS and US GAAP. IASB Chairman Sir David Tweedie also spoke at the conference.

Australia proposes to undo changes to IFRS

The Australian Accounting Standards Board (AASB) has issued for comment Exposure Draft ED 151 Australian Additions to, and Deletions from, IFRS. The ED reflects the recent decision to make Australian accounting requirements the same as IFRS regarding application to profit-oriented entities. It proposes reinstating various accounting policy options that were previously deleted and removing certain Australian-specific disclosures.

IASB Discussion Paper on Fair Value Measurements

The IASB has published for public comment a Discussion Paper on Fair Value Measurements (view the press release). The Paper sets out preliminary views on how to measure fair values prescribed under existing IFRS. It is based on the FASB’s recently issued SFAS No. 157 Fair Value Measurements which establishes fair value for financial reports prepared in accordance with US GAAP.

Update on Canada’s IFRS Advisory Committee (IAC)

Canada’s IFRS Advisory Committee (IAC) met on August 16 and November 3, 2006 to discuss various issues on the June 2006 “Implementation Plan for Incorporating IFRSs into Canadian GAAP” published by the Accounting Standards Board. The IAC also reviewed its Terms of Reference and the IASB’s structure and due process. The next meeting is on December 18, 2006 in Toronto. IAC meetings are open to the public.