Canada - FYI Newsletter March 2010

Canada’s Accounting Standards Board (AcSB) has issued the March 2010 issue of its FYI Newsletter. The newsletter includes the message from the Chair and articles on other topics of interest to stakeholders, including: Handbook Structure; International Financial Reporting Standards (Consolidation Exemption for Investment Companies, Extractive Activities, Liabilities – Improving IAS 37); Private Enterprises (Accounting Standards –Moving Forward); Not-for-Profit Organizations (Proposed New Strategy); and Document for Comment Deadlines.

US – IFRS Convergence Need Not Be Completed by June 2011

While the Financial Accounting Standards Board (FASB) and the International Accounting Standards Board (IASB) work to complete an unprecedented 11 standards over the next 14 months, the US Securities and Exchange Commission (SEC) Chief Accountant James Kroeker said that he would support the boards’ cutting the number of projects due in June 2011, provided there was good rationale for a delay. Financial instruments and lease accounting are the two projects Kroeker suggested should remain atop the boards’ priority list. Others, such as financial statement presentation, could be completed through a more gradual process, he said. (Read the article SEC Chief Accountant Says Convergence Need Not Be Completed by June 2011 in the Journal f Accountancy online.)

IASB - Impairment user questionnaire

The International Accounting Standards Board (IASB) is seeking input from users of financial statements in the form of a questionnaire on the proposals regarding amortized cost measurement and impairment of financial instruments. The feedback will assist the Board in its deliberations by helping it to better understand the views and preferences of users of the financial statements. (Read the IASB Web Announcement and the Exposure Draft User Questionnaire.)

Global - IFRS for SMEs in Your Pocket

Deloitte's IFRS Global Office has published the IFRS for SMEs in Your Pocket (Global Edition). This 45-page guide summarizes each section of the IFRS for SMEs and highlights differences with full IFRS requirements. There is also a chronology of the development of the IFRS for SMEs and a discussion of how the IFRS for SMEs differs from full IFRS.

IASB - Paul Pacter appointed to the Board

The Trustees of the International Accounting Standards Committee (IASC) Foundation have announced the appointment of Paul Pacter as a Member of the International Accounting Standards Board (IASB). For the last six years, he has served as Director of Small and Medium sized Entities (SMEs) for the IASB. He has also been webmaster of IAS Plus since its inception in December 2000. Mr. Pacter will serve full-time from July 2010 to June 2012. As an IASB member, he will continue to chair the new SME Implementation Group on behalf of the IASB. (Read the IASB Press Release.)

Global - Guide to New IFRS for 2010

The International Accounting Standards Board (IASB) has published a number of new standards, interpretations and amendments to existing requirements arising from the 2009 annual improvements project. This practical guide by PricewaterhouseCoopers (PwC) provides an outline of the new IFRS standards and interpretations that come into effect in 2010, in question and answer format. (Read the PwC publication A Practical Guide to New IFRSs for 2010.)

IASB and FASB quarterly report on convergence

The International Accounting Standards Board (IASB) and the US Financial Accounting Standards Board (FASB) have published a report on their work to improve and achieve convergence of International Financial Reporting Standards (IFRS) and US generally accepted accounting principles. (Read the IASB Press Release and the IASB and FASB quarterly progress report.)

Canada - A Systems Perspective on IFRS

On April 27, 2010, Deloitte (Canada) will present an interactive 90-minute webcast on managing information system challenges during IFRS conversion. Topics include: risks associated with IFRS and your information system; key questions to ask your CIO; tips on handling multiple reporting requirements; short versus long-term conversion solutions and the impact on your organization; and resource requirements to effectively manage the IT implications of IFRS. A recording of the webcast will be available two days after the presentation. (For more information and to register for the webcast, visit the Deloitte Canada website.)

Canada - IFRS Conference for Financial Statement Users

The Canadian Institute of Chartered Accountants (CICA) is hosting an IFRS Conference for Financial Statement Users in Toronto Canada on November 25, 2010. This conference is dedicated specifically to financial statement users and the unique challenges that the adoption of International Financial Reporting Standards (IFRS) presents for this group. Investors and other stakeholders need to be able to differentiate reported performance changes caused by the adoption of IFRS from those caused by business activities. This conference will focus on the understanding and interpretation of a set of financial statements prepared under IFRS. The conference will include technical sessions explaining the key areas of differences between Canadian GAAP and IFRS as well as the implications of moving from more "rules based" to "principle based" accounting. The conference will also explore the need for effective communication among key stakeholders to ensure a smooth transition.

Canada - IFRS in North America 2010 Conference

The Canadian Institute of Chartered Accountants (CICA) and the IASC Foundation are hosting a conference IFRS in North America 2010 in Toronto Canada on November 23-24, 2010. This informative two-day event, with optional workshops, is critical for anyone involved in financial reporting with an organization that is moving to International Financial Reporting Standards (IFRS). It is a unique opportunity to hear the latest IFRS developments directly from the International Accounting Standards Board (IASB), the Canadian Accounting Standards Board (AcSB) and the US Financial Accounting Standards Board (FASB). The conference is being held in conjunction with the Financial Reporting and Accounting Conference.

Canada - IFRS adopters falling short of CSA expectations

A recent Ontario Securities Commission (OSC) review suggests a large number of IFRS adopters in Canada have not adequately disclosed information related to their transition efforts. After reviewing 106 entities’ IFRS transition disclosures, the regulator is concerned that some entities may not meet future filing obligations. (Read the article IFRS adopters falling short of CSA expectations in the April 2010 issue of CAmagazine online.)

IASB - Calendar of public events

The Calendar of Public Events section of the IASB website lists forthcoming public events of the IASC Foundation, the IASB and the IFRS Interpretations Committee, including their regular meetings, conferences and meetings of working groups or other formal advisory bodies such as the IFRS Advisory Council. It also contains information such as the meeting agenda, observer notes and venue address, as well as details of how to register as an observer or to access the live webcast of the meetings.

US - SEC activity on IFRS for US public companies

In this brief video, Arleen Thomas, AICPA senior vice-president, discusses the Securities and Exchange Commission (SEC) recent announcement regarding a work plan for possible adoption of International Financial Reporting Standards (IFRS) by US public companies. (View the video IFRS Update 2010 to learn what will go into the SEC's decision in 2011 on whether to allow or require use of IFRS.)

US - Countdown to Convergence

In November 2009, the US Financial Accounting Standards Board (FASB) and the International Accounting Standards Board (IASB) reaffirmed their commitment to a 2006 Memorandum of Understanding (MoU) that outlines major convergence projects scheduled for completion by June 2011. The affirmed convergence plan continues the commitment made by the two boards seven years ago in “The Norwalk Agreement” to “make their existing financial reporting standards fully compatible as soon as is practicable.” But it also expands the convergence plan to include the much more ambitious goal of creating new standards where the existing standards of both boards were deemed to need improvement. As a result, many of the MoU projects—and all of the projects covered in this article—are collaborative efforts by the boards to develop entirely new standards. (Read the article Countdown to Convergence in the Journal of Accountancy online.)

US - Stakeholders react to timeline that would not require IFRS until 2015 or later

The US Securities and Exchange Commission (SEC) unanimous approval in February 2010 of a new policy statement sets the scene for the transition to International Financial Reporting Standards (IFRS). It proposes 2015 as the earliest possible date for the required use of IFRS by US public companies. It also calls for more study of IFRS and a 2011 vote on whether to move ahead. In addition, the SEC directed its staff to publish periodic progress reports, starting no later than October 2010. (Read the article The SEC's IFRS Work Plan for highlights of the major points and initial reactions of stakeholders interviewed by the Journal of Accountancy.)

US - What exactly is going on with IFRS?

The debate on IFRS in the US is still unfolding. In one camp, there are those who are disenchanted with it and, in another, those who can gain monetarily. But the two camps do agree on one thing, that the SEC is moving too slowly on clarifying its long-term intentions. (Read the article IFRS: dead in the USA? in the April 2010 issue of CAmagazine online.)

Canada - Countdown IFRS transition newsletter by Deloitte

Deloitte Canada has published its Countdown IFRS transition newsletter for March 2010. It discusses practical issues Canadian companies are facing in IFRS transition and provides an update on recent IFRS events. (For previous issues of the newsletter, visit the Deloitte Canada website.)

Global - Spotlight on Brazil’s plans to adopt IFRS

Brazil is one of a number of large economies making plans to adopt International Financial Reporting Standards (IFRS). Robert Bruce, a financial journalist, looks into why the country has chosen to embrace international standards and how Brazil's increasing influence on the global stage is extending to financial reporting. (Read the feature article on the IASB website.)

IASB - Podcast summaries of Board meetings

The International Accounting Standards Board (IASB) is currently testing Board meeting audio summaries (podcasts). These podcasts are recorded shortly after each Board meeting and provide a short (approximately 30 minutes) summary of the main topics and projects discussed. (The IASB meeting podcasts for December 2009 to March 2010 are now available on the IASB website.)

Global - IFRS Outlook: March 2010 by Ernst & Young

IFRS Outlook is a monthly newsletter published by Ernst & Young. The following matters are covered in the IFRS Outlook March 2010 issue:

• SEC reaffirms US commitment to IFRS;
• Investment companies — consolidate or measure at fair value?
• Effective date of IFRIC 18 for European entities;
• Rate-regulated activities;
• Financial reporting developments;
• Resources.

Global - IFRS in brief / briefing sheets by KPMG

IFRS in brief, provides news and factual information on developments concerning International Financial Reporting Standards (IFRS). It includes summaries of new standards and interpretations, comments on the IASB and IFRIC meetings, the agendas and projects of those bodies, as well as KPMG's views on specific issues when appropriate. IFRS in brief is supplemented by IFRS briefing sheets that consider individual issues or requirements in more depth.

Canada - Countdown IFRS transition newsletter by Deloitte

Deloitte Canada has published its Countdown IFRS transition newsletter for February 2010. It discusses practical issues Canadian companies are facing in IFRS transition and provides an update on recent IFRS events. (For previous issues of the newsletter, visit the Deloitte Canada website.)