Thursday, August 25, 2011

Losing the excess baggage - reducing disclosures in financial statements to what's important

The Institute of Chartered Accountants of Scotland (ICAS) and the New Zealand Institute of Chartered Accountants (NZICA) have undertaken a project for the International Accounting Standards Board (IASB). The joint project is to review International Financial Reporting Standards (IFRS) disclosure requirements, to remove much of the detailed information in financial statements so that they can focus on what is important.



Following the Group's detailed review of financial reporting standards, the paper recommends enhancing the use of materiality in financial reporting disclosures and deletion of many disclosure requirements that do not contain material information. It is expected that later this year the discussion paper and its recommendations will be issued by the IASB for exposure and comment. Read the July 2011 paper, Losing the excess baggage - reducing disclosures in financial statements to what's important.