unfluff
Version:
A web page content extractor
1,474 lines (971 loc) • 96.2 kB
HTML
<!DOCTYPE html PUBLIC "-//W3C//DTD XHTML 1.0 Transitional//EN" "http://www.w3.org/TR/xhtml1/DTD/xhtml1-transitional.dtd">
<html xmlns="http://www.w3.org/1999/xhtml" xml:lang="en" lang="en">
<head>
<meta http-equiv="Content-Type" content="text/html; charset=UTF-8"/>
<meta http-equiv="Content-Style-Type" content="text/css"/>
<link rel="apple-touch-icon" href=http://www.accountancyage.com/images/AccountancyAge.png>
<meta http-equiv="Content-Script-Type" content="text/javascript"/>
<meta name="google-site-verification" content="kiRLPgHcPX7EzY6NWvIRZAkKCIJwMbA1Nba4Zu94ZOw" />
<meta name="DCSext.topics" content="acca;icaew;ifrs">
<meta name="WT.cg_n" content="Analysis" />
<meta name="WT.cg_s" content="Institutes"/>
<meta name="WT.cg_s" content="Accounting standards"/>
<meta property="og:title" content="Institutes get behind IFRS big bang"/>
<meta property="og:type" content="article"/>
<meta property="og:url" content="http://www.accountancyage.com/aa/analysis/2111729/institutes-ifrs-bang"/>
<meta property="og:image" content="http://www.accountancyage.com/IMG/338/195338/lion-vs-eagle.jpg"/>
<meta property="og:description" content="UK institutes are all for rapid IFRS adoption in the US" />
<meta name="description" content="UK institutes are all for rapid IFRS adoption in the US
, Institutes,Accounting standards, ACCA,ICAEW,IFRS"/>
<LINK href="http://www.accountancyage.com/aa/analysis/2111729/institutes-ifrs-bang" rel="canonical">
<title>
Institutes get behind IFRS big bang -
26 Sep 2011 -
Accountancy Age
</title>
<link href="/stylesheets/accountancyage.css?1311147328" media="all" rel="stylesheet" type="text/css" />
<link href="/stylesheets/hoverbox.css?1285218754" media="all" rel="stylesheet" type="text/css" />
<link href="/stylesheets/skin.css?1285218754" media="all" rel="stylesheet" type="text/css" />
<link href="/stylesheets/jquery_jcarousel.css?1299166022" media="all" rel="stylesheet" type="text/css" />
<!‐‐GRAPESHOT ‐‐>
<SCRIPT type="text/javascript" language="Javascript">
//<!--
var gs_channels="DEFAULT";
document.write('<SCR' + 'IPT type="text/javascript" language="javascript" src="http://incisive.grapeshot.co.uk/finance/channels.cgi?url=' + escape(top.location.href) + '"></SCR' + 'IPT>');
// -->
</SCRIPT>
<!‐‐GRAPESHOT END‐‐>
<script type="text/javascript">
//<![CDATA[
var dartNum = Math.round(Math.random() * 10000000000);
function printAdvert(dartUrl){
var dartRef = document.referrer;
var dartSpl = dartRef.substring(dartRef.indexOf(':') + 3).split("/");
var dartArt = dartSpl[dartSpl.length - 1];
if (!(isNaN(parseInt(dartArt))))
dartUrl += (";ref=" + dartArt);
dartUrl += (";ord=" + dartNum + "?");
document.write("<SCRIPT language=\"JavaScript\" src=\"" + dartUrl + "\"><\/SCRIPT>");
}
//]]>
</script>
<script type="text/javascript">
//<![CDATA[
document.write('<meta name="DCSext.gs_cat" content="' + gs_channels + '"/>')
//]]>
</script>
</head>
<body>
<div class="top_image">
<div id="top">
<script language="JavaScript" type="text/javascript">
printAdvert("http://ad.uk.doubleclick.net/adj/aa3.uk/analysis/institutes;page=article;cat=institutes;cat=accounting-standards;;tag=acca;tag=icaew;tag=ifrs;artid=2111729;pos=wp1;dcopt=ist;tile=1;sz=1x1;gs_cat="+gs_channels+"");
</script>
<noscript>
<a target="_blank" href="http://ad.uk.doubleclick.net/jump/aa3.uk/analysis/institutes;page=article;cat=institutes;cat=accounting-standards;;tag=acca;tag=icaew;tag=ifrs;artid=2111729;tile=1;pos=wp1;sz=1x1;ord=server_side_number?">
<img border="0" alt="advertisement" src="http://ad.uk.doubleclick.net/ad/aa3.uk/analysis/institutes;page=article;cat=institutes;cat=accounting-standards;;tag=acca;tag=icaew;tag=ifrs;artid=2111729;tile=1;pos=wp1;sz=1x1;ord=server_side_number?"/>
</a>
</noscript>
</div>
<script language="JavaScript" type="text/javascript">
printAdvert("http://ad.uk.doubleclick.net/adj/aa3.uk/analysis/institutes;page=article;cat=institutes;cat=accounting-standards;;tag=acca;tag=icaew;tag=ifrs;artid=2111729;pos=wid1;tile=2;sz=980x60,915x60;gs_cat="+gs_channels+"");
</script>
<noscript>
<a target="_blank" href="http://ad.uk.doubleclick.net/jump/aa3.uk/analysis/institutes;page=article;cat=institutes;cat=accounting-standards;;tag=acca;tag=icaew;tag=ifrs;artid=2111729;tile=2;pos=wid1;sz=980x60,915x60;ord=server_side_number?">
<img border="0" alt="advertisement" src="http://ad.uk.doubleclick.net/ad/aa3.uk/analysis/institutes;page=article;cat=institutes;cat=accounting-standards;;tag=acca;tag=icaew;tag=ifrs;artid=2111729;tile=2;pos=wid1;sz=980x60,915x60;ord=server_side_number?"/>
</a>
</noscript>
</div>
<div id="wrapper">
<div id="wrapper_header">
<div class="header_top">
<div class="header_left">
<a href="/"><img alt="Go to AccountancyAge homepage" class="logo" src="/images/AA_logo.jpg?1285218184" title="Accountancy Age" /></a>
</div>
<div class="header_right">
<a href="http://www.ukaop.org.uk/news/2010aopawardwinners2131.html" target="_blank"><img alt="aop" src="/images/aop_header.jpg?1285391842" title="AOP" /></a>
<div class="header_search_block">
<form action="/search" id="search_form" method="get">
<label for="header_search">
Search
</label>
<input class="search_bar" id="search_header" name="query" type="text" />
<input class="hidden_style" id="header_search_page" name="per_page" type="hidden" value="25" />
<input class="hidden_style" id="header_search_sort" name="sort" type="hidden" value="relevance1" />
<input class="search_button" id="search_box_submit" type="submit" value="Search" />
</form>
</div>
<div class="network_links">
<ul>
<li>
<a href="http://www.facebook.com/home.php?#!/pages/Accountancy-Age/163971273642857"><img alt="Join Accountancy Age on Facebook" src="/images/facebook_icon_16x16.gif?1291289269" title="Join Accountancy Age on Facebook" /></a>
</li>
<li>
<a href="http://signup.incisivemedia.com/newswires/accountancy_age/"><img alt="Subscribe to Accountancy Age newsletters" src="/images/newsletter_icon_16x16.gif?1291289281" title="Subscribe to Accountancy Age newsletters" /></a>
</li>
<li>
<a href="http://twitter.com/accountancyage"><img alt="Twitter" src="/images/twitter-icon.gif?1285218184" title="Follow Accountancy Age on Twitter" /></a>
</li>
<li>
<a href="http://www.linkedin.com/groups?home=&gid=2352548"><img alt="LinkedIn" src="/images/linkedin-icon.gif?1285218184" title="Join Accountancy Age's LinkedIn group" /></a>
</li>
<li>
<a href="http://www.accountancyage.com/sitemap#subscribe"><img alt="Subscribe" src="/images/email_alert_icon.gif?1285218184" title="Subscribe to Accountancy Age" /></a>
</li>
<li>
<a href="/change_to_mobile"><img alt="Accountancy Age on your mobile" src="/images/mobile_icon.gif?1285218184" title="Accountancy Age on your mobile" /></a>
</li>
<li>
<a href="http://www.accountancyage.com/sitemap#rss"><img alt="RSS feeds" src="/images/rss_icon.gif?1285218184" title="Accountancy Age RSS feeds" /></a>
</li>
</ul>
</div>
</div>
</div>
<div id="mainmenu" class="menucontainer">
<ul>
<li class="">
<a href="/" title="Home">Home</a>
</li>
<li class="">
<a href="/hot-topics" title="Hot Topics">Hot Topics</a>
</li>
<li class="">
<a href="/people" title="People">People</a>
</li>
<li class="">
<a href="/tax" title="Tax">Tax</a>
</li>
<li class="">
<a href="/business" title="Business">Business</a>
</li>
<li class="">
<a href="/practice" title="Practice">Practice</a>
</li>
<li class="">
<a href="/category/technology" title="Technology">Technology</a>
</li>
<li class="active">
<a href="/regulation" class="active" title="Regulation">Regulation</a>
</li>
<li class="">
<a href="/services" title="Services">Services</a>
</li>
<li class="">
<a href="/static/top50-this-year" title="Top 50+50">Top 50+50</a>
</li>
<li class="">
<a href="/seminars-events" title="Training & Events">Training & Events</a>
</li>
<li class="">
<a href="http://www.accountancyagejobs.com" target="_blank" title="Jobs">Jobs</a>
</li>
</ul>
</div>
<div class="menucontainer submenu">
<ul title="Home" class="">
<li class="">
<a href="/type/news" title="News">News</a>
</li>
<li class="">
<a href="/news/all" title="7 Days">7 Days</a>
</li>
<li class="">
<a href="/comments/latest" title="Visitor Comments">Visitor Comments</a>
</li>
<li class="">
<a href="/type/feature" title="Features">Features</a>
</li>
<li class="">
<a href="/type/opinion" title="Opinion">Opinion</a>
</li>
<li class="">
<a href="/type/interview" title="Interviews">Interviews</a>
</li>
<li class="">
<a href="/type/analysis" title="Analysis">Analysis</a>
</li>
<li class="">
<a href="/video-audio" title="Video & Audio">Video & Audio</a>
</li>
<li class="">
<a href="/blog" title="Blogs">Blogs</a>
</li>
<li class="">
<a href="/taking-stock" title="Taking Stock">Taking Stock</a>
</li>
<li class="">
<a href="/type/special" title="Reports">Reports</a>
</li>
<li class="">
<a href="/sitemap" title="Site Map">Site Map</a>
</li>
</ul>
<ul title="Hot Topics" class="">
<li class="">
<a href="http://www.accountancyage.com/tag/legal-privilege" title="Legal Privilege">Legal Privilege</a>
</li>
<li class="">
<a href="http://www.accountancyage.com/tag/audit-reform-special" title="Audit Reform Special.">Audit Reform Special.</a>
</li>
<li class="">
<a href="http://www.accountancyage.com/tag/investigations" title="Investigations">Investigations</a>
</li>
<li class="">
<a href="http://www.accountancyage.com/tag/football-finance" title="Football Finance">Football Finance</a>
</li>
<li class="">
<a href="http://www.accountancyage.com/tag/convergence" title="Convergence">Convergence</a>
</li>
<li class="">
<a href="http://www.accountancyage.com/tag/celebrities" title="Celebrities">Celebrities</a>
</li>
<li class="">
<a href="http://www.accountancyage.com/tag/vantis" title="Vantis">Vantis</a>
</li>
<li class="">
<a href="http://www.accountancyage.com/tag/tax-amnesty" title="Tax Amnesty">Tax Amnesty</a>
</li>
<li class="">
<a href="http://www.accountancyage.com/polls">Polls</a>
</li>
<li class="">
<a href="http://www.accountancyage.com/comments/latest">Visitor comments</a>
</li>
</ul>
<ul title="People" class="">
<li class="">
<a href="http://www.accountancyagejobs.com" target="_blank" title="Accountancy Age Jobs">Accountancy Age Jobs</a>
</li>
<li class="">
<a href="http://www.accountancyage.com/2256096" target="_blank" title="Financial Power List">Financial Power List</a>
</li>
<li class="">
<a href="/category/recruitment" title="Recruitment">Recruitment</a>
</li>
<li class="">
<a href="/category/people-practice" title="People in Practice">People in Practice</a>
</li>
<li class="">
<a href="/category/people-business" title="People in Business">People in Business</a>
</li>
<li class="">
<a href="/category/training-and-cpd" title="Training & CPD">Training & CPD</a>
</li>
<li class="">
<a href="http://www.aabestemployer.co.uk/" target="_blank" title="Best Employer Survey">Best Employer Survey</a>
</li>
</ul>
<ul title="Tax" class="">
<li class="">
<a href="/category/corporate-tax" title="Corporate Tax">Corporate Tax</a>
</li>
<li class="">
<a href="/category/tax-bodies" title="Tax Bodies">Tax Bodies</a>
</li>
<li class="">
<a href="/category/personal-tax" title="Personal Tax">Personal Tax</a>
</li>
</ul>
<ul title="Business" class="">
<li class="">
<a href="/category/company-news" title="Company News">Company News</a>
</li>
<li class="">
<a href="/category/corporate-finance" title="Corporate Finance">Corporate Finance</a>
</li>
<li class="">
<a href="/category/business-regulation" title="Business Regulation">Business Regulation</a>
</li>
<li class="">
<a href="/category/business-recovery" title="Business Recovery">Business Recovery</a>
</li>
<li class="">
<a href="/category/people-business" title="People in Business">People in Business</a>
</li>
<li class="">
<a href="http://www.financialdirector.co.uk/" target="_blank" title="Financial Director">Financial Director</a>
</li>
</ul>
<ul title="Practice" class="">
<li class="">
<a href="/category/audit" title="Audit">Audit</a>
</li>
<li class="">
<a href="/category/business-recovery" title="Business Recovery">Business Recovery</a>
</li>
<li class="">
<a href="/category/consulting" title="Consulting">Consulting</a>
</li>
<li class="">
<a href="/category/accounting-firms" title="Accounting Firms">Accounting Firms</a>
</li>
<li class="">
<a href="/category/practice-regulation" title="Practice Regulation">Practice Regulation</a>
</li>
<li class="">
<a href="/category/people-practice" title="People in Practice">People in Practice</a>
</li>
<li class="">
<a href="/practicebroker" title="Practice Broker">Practice Broker</a>
</li>
<li class="">
<a href=" http://accountancyage.hccint.com/" target="_blank" title="PI Insurance">PI Insurance</a>
</li>
<li class="">
<a href="http://www.aabestemployer.co.uk/" target="_blank" title="Best Employer Survey">Best Employer Survey</a>
</li>
</ul>
<ul title="Technology" class="">
<li class="">
<a href="/category/accounting-software" title="Accounting software">Accounting software</a>
</li>
<li class="">
<a href="http://www.ithound.com/accountancyage?ith_ref=NavLink" target="_blank" title="Whitepapers">Whitepapers</a>
</li>
<li class="">
<a href="http://www.softcomparison.com/" target="_blank" title="Software Selection Tool">Software Selection Tool</a>
</li>
<li class="">
<a href="http://www.softworld.co.uk/" title="Softworld">Softworld</a>
</li>
</ul>
<ul title="Regulation" class="active">
<li class="">
<a href="/category/csr" title="CSR Update">CSR Update</a>
</li>
<li class="">
<a href="/category/practice-regulation" title="Practice Regulation">Practice Regulation</a>
</li>
<li class="">
<a href="/category/regulatory-bodies" title="Regulatory Bodies">Regulatory Bodies</a>
</li>
<li class="">
<a href="/category/business-regulation" title="Business Regulation">Business Regulation</a>
</li>
<li class="active">
<a href="/category/accounting-standards" class="active" title="Accounting Standards">Accounting Standards</a>
</li>
<li class="">
<a href="/category/politics" title="Politics">Politics</a>
</li>
<li class="">
<a href="/category/green" title="Green">Green</a>
</li>
<li class="">
<a href="/category/governance" title="Governance">Governance</a>
</li>
</ul>
<ul title="Services" class="">
<li class="">
<a href="http://accountancyage.hccint.com/%28S%28vjd15i45g4mnelmhv0vl5m55%29%29/default.aspx" target="_blank" title="PI Insurance">PI Insurance</a>
</li>
<li class="">
<a href="http://www.findmeanaccountant.com/" target="_blank" title="Find Me An Accountant">Find Me An Accountant</a>
</li>
<li class="">
<a href="/practicebroker" title="Practice Broker">Practice Broker</a>
</li>
<li class="">
<a href="http://www.accountancyagejobs.com/" target="_blank" title="Accountancy Age Jobs">Accountancy Age Jobs</a>
</li>
<li class="">
<a href="http://www.ithound.com/accountancyage?ith_ref=NavLink" target="_blank" title="IThound.com">IThound.com</a>
</li>
<li class="">
<a href="http://shareprices.accountancyage.com/" target="_blank" title="Share Price Centre">Share Price Centre</a>
</li>
</ul>
<ul title="Top 50+50" class="">
<li class="">
<a href="http://www.accountancyage.com/1776670" target="_blank" title="Top 30 International Networks">Top 30 International Networks</a>
</li>
<li class="">
<a href="http://www.accountancyage.com/1779624" target="_blank" title="Financial Power List">Financial Power List</a>
</li>
</ul>
<ul title="Training & Events" class="">
<li class="">
<a href="http://ev997.eventive.incisivecms.co.uk/" target="_blank" title="Training">Training</a>
</li>
<li class="">
<a href="http://www.britishaccountancyawards.co.uk/" target="_blank" title="British Accountancy Awards">British Accountancy Awards</a>
</li>
<li class="">
<a href="http://finance.brighttalk.com" target="_blank" title="Web Seminars">Web Seminars</a>
</li>
<li class="">
<a href="http://www.softworld.co.uk/" target="_blank" title="Softworld">Softworld</a>
</li>
<li class="">
<a href="http://www.aabestemployer.co.uk/" target="_blank" title="Best Employer Survey">Best Employer Survey</a>
</li>
</ul>
<ul title="Jobs" class="">
<li>
</li>
</ul>
</div>
<div class="header_advertisement_parent">
<div class="header_advertisement">
<table cellpadding="0" cellspacing="0">
<tbody>
<tr>
<td class="headerleft_ad">
<img src="/images/ad_title.jpg" alt="ad" />
<script language="JavaScript" type="text/javascript">
printAdvert("http://ad.uk.doubleclick.net/adj/aa3.uk/analysis/institutes;page=article;cat=institutes;cat=accounting-standards;tag=acca;tag=icaew;tag=ifrs;artid=2111729;dcopt=ist;tile=3;pos=ldb1;sz=728x90,468x60,234x60;gs_cat="+gs_channels+"");
</script>
<noscript>
<a target="_blank" href="http://ad.uk.doubleclick.net/jump/aa3.uk/analysis/institutes;page=article;cat=institutes;cat=accounting-standards;tag=acca;tag=icaew;tag=ifrs;artid=2111729;tile=3;pos=ldb1;sz=728x90,468x60,234x60;ord=987654321?">
<img border="0" alt="advertisement" src="http://ad.uk.doubleclick.net/ad/aa3.uk/analysis/institutes;page=article;cat=institutes;cat=accounting-standards;tag=acca;tag=icaew;tag=ifrs;artid=2111729;tile=3;pos=ldb1;sz=728x90,468x60,234x60;ord=987654321?"/>
</a>
</noscript>
</td>
<td class="headerright_ad">
<script language="JavaScript" type="text/javascript">
printAdvert("http://ad.uk.doubleclick.net/adj/aa3.uk/analysis/institutes;page=article;cat=institutes;cat=accounting-standards;tag=acca;tag=icaew;tag=ifrs;artid=2111729;tile=4;pos=bby1;sz=175x90,120x90,120x60;gs_cat="+gs_channels+"");
</script>
<noscript>
<a target="_blank" href="http://ad.uk.doubleclick.net/jump/aa3.uk/analysis/institutes;page=article;cat=institutes;cat=accounting-standards;tag=acca;tag=icaew;tag=ifrs;artid=2111729;tile=4;pos=bby1;sz=175x90,120x90,120x60;ord=987654321?">
<img border="0" alt="advertisement" src="http://ad.uk.doubleclick.net/ad/aa3.uk/analysis/institutes;page=article;cat=institutes;cat=accounting-standards;tag=acca;tag=icaew;tag=ifrs;artid=2111729;tile=4;pos=bby1;sz=175x90,120x90,120x60;ord=987654321?"/>
</a>
</noscript>
</td>
</tr>
</tbody>
</table>
</div>
</div>
</div>
<div id="container">
<div id="container_left">
<div class="breadcrumb_block">
<ul>
<li>
<a href="/" title="Home">Home</a>
</li>
<li>
<a href="/type/analysis">Analysis</a>
</li>
<li>
<a href="/category/institutes">Institutes</a>
</li>
</ul>
</div>
<div class="common_left_block">
<div class="common_content_block">
<div class="article_title_block">
<h1>Institutes get behind IFRS big bang</h1>
<div class="article_details_block">
<div class="article_details_left">
<p id="flame_author_id">
<a href="#">by Rose Orlik</a>
</p>
<p>
<a href="/author/profile/1709/rose-orlik">More from this author</a>
</p>
</div>
<div class="article_details_left article_details_right">
<p class="common_date">
26 Sep 2011
</p>
<ul class="commnet_list">
<li>
<a href="#comments">Comments: 9</a>
</li>
</ul>
</div>
</div>
</div>
<div class="two_block_section">
<div class="block_left">
<div class="article_content" id="content_print">
<div class="article_title_img">
<img alt="lion-vs-eagle" src="/IMG/338/195338/lion-vs-eagle-370x229.jpg?1316793416" title="lion-vs-eagle" />
</div>
<div class="article_description">
<p><strong>UK INSTITUTES </strong>have thrown their weight behind rapid adoption of international financial reporting standards in the US.</p>
<p>This so-called big bang approach would see large companies immediately empowered to prepare accounts in IFRS, with smaller businesses following suit.</p>
<div class="further_reading_block">
<div class="section_title">
<p>
Further reading
</p>
</div>
<ul class="list_block">
<ul>
<li>
<h4><a href="/aa/news/2111012/investors-ifrs-unfit-purpose" title="Investors: IFRS unfit for purpose">Investors: IFRS unfit for purpose</a>
</h4>
</li>
<li>
<h4><a href="/aa/news/2098564/banks-favour-ifrs" title="Banks favour IFRS 9">Banks favour IFRS 9</a>
</h4>
</li>
<li>
<h4><a href="/aa/news/2108026/credibility-funding-focus-ifrs-debate" title="Credibility and funding in focus at IFRS debate">Credibility and funding in focus at IFRS debate</a>
</h4>
</li>
</ul>
</ul>
</div>
<p>ACCA said a speedy jump would facilitate trade and the transfer of skills, warning an extended convergence period could diminish the comparability of accounts and affect the quality of global standards.</p>
<p>Head of financial reporting Richard Martin said US regulator the SEC "will ultimately want to see a consistent reporting base", but questioned the proposed convergence timescale of seven years.</p>
<p><strong>Seven-year itch</strong></p>
<p>A protracted transfer could undermine the quality of global standards and attraction for preparers and users of accounts, he warned, by allowing irregularities to creep in.</p>
<p>Some slow-and-steady advocates have argued that the US's huge pool of domestic companies would suffer unnecessarily if forced to drop US GAAP, reaping none of the benefits of international comparability.</p>
<p>Martin disagreed, questioning how many companies would choose to remain resolutely closed to foreign investment, even if their current shareholders are all American Pie.</p>
<p>And accounting standards are not just about what companies want. Investors are interested in cross-border comparison and IFRS should be the facilitator, even if businesses themselves have no global aspirations.</p>
<p><strong>Comparable questions</strong></p>
<p>America argues that even with a long lead time to IFRS, pressure for comparability would keep standards on the straight and narrow, avoiding the drift some commentators fear.</p>
<p>Dr Nigel Sleigh-Johnson, head of financial reporting at the ICAEW, is unconvinced. He warned gradual change could "result in a rather incoherent and complex accounting framework", saying rapid adoption would minimise market disruption and be "easier for everyone".</p>
<p>Big bang advocates point to countries like Canada and Australia as evidence of the strategy's success. However, the vast majority of adopters spend a few years settling in to the standards, often debating or implementing regional variations.</p>
<p>Much of the IFRS Interpretations Committee's time is spent helping new converters work through contentious issues, and it is rare that a seamless switch sees countries merrily accept IFRS without a backward glance.</p>
<p>It could be argued that the US's proposed convergence period is simply an official version of this adaptation process, one that all nations go through, but others are too compliant to suggest.</p>
<p>Nevertheless, it is undoubted that a fast switch to IFRS allows companies to gather together financial metrics and restate key figures all at once, potentially reaping greater benefits from comparability.</p>
<p><strong>At what price change?</strong></p>
<p>Countries that adapt IFRS to their own needs could lose the advantage of global standards, Martin suggested, as each minor change introduces a host of unanswerable questions for the investor.</p>
<p>How important is the variation? What are its implications? Each layer of disparity takes accounts further from the goal of global comparability.</p>
<p>Ultimately, the success or otherwise of a US switch to IFRS depends upon commitment to comparability. If the US insists on a long convergence window and ultimately arrives at the same place as other IFRS users, it will fulfil the goal of global standards - albeit a little late.</p>
<p>If, however, slow convergence brings with it a slew of nips and tucks that result in the bastardisation of IFRS, no one will have won, and least of all US businesses.</p>
</div>
<div class="related_topics_block">
<span>Related topics:</span>
<ul>
<li><a href="/category/institutes" title="Institutes">Institutes</a></li><li><a href="/category/accounting-standards" title="Accounting standards">Accounting standards</a></li>
<li><a href="/tag/acca" title="ACCA">ACCA</a></li><li><a href="/tag/icaew" title="ICAEW">ICAEW</a></li><li><a href="/tag/ifrs" title="IFRS">IFRS</a></li>
</ul>
</div>
</div>
<div class="visitors_comment_block">
<div class="section_title right_button_fix dynamic_comment_button" id="comments">
<p>
<span>Visitor comments</span>
<a href="#thanks_for_comment" class="add_comment_button display_form">Add your comment</a>
</p>
</div>
<div class="common_inner_block">
<div class="visitors_comment_content">
<h3>
USA & IFRS??<a href="javascript:void(0)" name="comment_562384"></a>
</h3>
<p>Last time I checked, there was NO decision that we will implement IFRS! There is a significant number of CPAs and organizations in the USA that do NOT support IFRS! Why do we need to change our GAAP? It isn't like IFRS makes anything better and this promotion of IFRS by various groups should NOT influence our decision. My clients are quite content with GAAP and do NOT plan to go to IFRS. IFRS is nothing more than busy work and change for the sake of change. Enough already!</p>
<p class="common_date">
Posted by:
Florida CPA, 27 Sep 2011 | 15:22
</p>
</div>
<div class="visitors_comment_content">
<h3>
Get Real<a href="javascript:void(0)" name="comment_562456"></a>
</h3>
<p>The US is about 25% of the world economy. While the rest of the world has not made an agreement we are the major influence but when they have then we are the minority. Or does anyone think we are not a part of the world? IFRS is not perfect but we can have a big influence if we partake but none if we remain isolated. Even if we try to reject IFRS it will have an increasing influence in the USA which will accelerate in the years ahead. US GAAP has a lot to offer and we need to offer it - it will be considered and we will all be better off. The Internationalization of our Public companies cannot be held back so we will have to prepare IFRS FinStats anyway. The aim is to have one set of standards! The Accountancy profession is leading this one and they are responding to what users want. Clients may not want to produce Financials at all but then where would we be?</p>
<p class="common_date">
Posted by:
Cliff Beacham California CPA, 27 Sep 2011 | 18:53
</p>
</div>
<div class="visitors_comment_content">
<h3>
US GAAP & IFRS<a href="javascript:void(0)" name="comment_562596"></a>
</h3>
<p>US GAAP has evolved over years and is most suited for the American businesses and its reporting. It is accepted around the world as valid and applicable principles of accounting. Change to IFRS is preposterous. There are huge implications with the change and it will be many years before public will begin to understand and accept IFRS. America has been a market maker and a leader and its US GAAP is ably supported by FASB and enforced by SEC. US should not converge just for the sake of changing the system to comply with reporting requirements of the world. US businesses and capital markets dominate the world and if the world needs to deal with US, then they need to follow US GAAP and the US companies dealing with other countries needs to comply with the respective standards. There are several anti arguments against IFRS, so it is fair to say that US GAAP should remain and not converge with IFRS
</p>
<p class="common_date">
Posted by:
MM Texas CPA, 28 Sep 2011 | 05:41
</p>
</div>
<div class="visitors_comment_content">
<h3>
Please leave us alone!<a href="javascript:void(0)" name="comment_562653"></a>
</h3>
<p>We don’t need cross boarder British accountants to tell us what to do! It is the US regulatory regime. US GAAP did and will continue to serve US corporations and investors well in the decades to come.
</p><p>
</p><p>The Brits should put their house in order first! IFRS isn’t better than even the Chinese GAAP.
</p>
<p class="common_date">
Posted by:
G. Moore, US CPA, 28 Sep 2011 | 08:54
</p>
</div>
<div class="visitors_comment_content">
<h3>
IFRS isn't British<a href="javascript:void(0)" name="comment_563905"></a>
</h3>
<p>Reading your comments I am stunned! Have you ever read one of th IFRSs?? I don't even think you know that IFRS is principle based, while US GAAP is all rules. IFRS is about 900 pages excluding guidance and other material compared to 2000 pages plus rules.
</p><p>
</p><p>IFRS has the potential to be an excellent tool to transform global markets. It's transparent and gives users of statements a lot of useful info.
</p><p>
</p><p>IFRS is also continuously being transformed and updated as markets require change.
</p><p>
</p><p>The US is one country while most of the world implement IFRS. You don't always have to be difficult for the sake of being difficult. Do the right thing for once!</p>
<p class="common_date">
Posted by:
MJ CA(SA), 01 Oct 2011 | 18:12
</p>
</div>
<div class="visitors_comment_content">
<h3>
What is US GAAP?<a href="javascript:void(0)" name="comment_565285"></a>
</h3>
<p>TO: MJ CA(SA)
</p><p>
</p><p>What do you mean US GAAP is all rules?
</p><p>
</p><p>Do you know what US GAAP means?
</p><p>
</p><p>Do you know anything about hierarchy of GAAP?
</p><p>
</p><p>IFRS is in fact part of US hierarchy of GAAP!
</p><p>
</p><p>By the same token, why Brits won’t adopt EU Constitution and EUROs?
</p>
<p class="common_date">
Posted by:
california cpa, 04 Oct 2011 | 10:02
</p>
</div>
<div class="visitors_comment_content">
<h3>
IFRS - Anti-Innovation<a href="javascript:void(0)" name="comment_566167"></a>
</h3>
<p>The demand for a big bang transition is nothing new. Advocates for mandating IFRS in the USA have wanted a big bang transition since the mid-1990's.
</p><p>
</p><p>The IFRS advocates just have no tolerance for ingenuity, innovation, or capitalism in general.
</p><p>
</p><p>Global accounting firms are the only beneficiary for a mandated IFRS - that much has not changed.</p>
<p class="common_date">
Posted by:
Joe Jefferis, 06 Oct 2011 | 13:30
</p>
</div>
<div class="visitors_comment_content">
<h3>
Calm Down and take a breath<a href="javascript:void(0)" name="comment_566174"></a>
</h3>
<p>The current convergence of IFRS toward most of US GAAP seems to be on track. I think US GAAP is already making IFRS better so that the differences upon eventual adoption will be minimal. That being said, I think IFRS needs more teeth and supporing guidance like US GAAP has achieved over the years. Thus IFRS has a way to go to replace US GAAP here in the US.</p>
<p class="common_date">
Posted by:
SJ, 06 Oct 2011 | 13:59
</p>
</div>
<div class="visitors_comment_content">
<h3>
Another soon declining US industry<a href="javascript:void(0)" name="comment_566208"></a>
</h3>
<p>I'm amazed at the narrow minded opinions here. If we don't adopt IFRS, the USA will slowly drift away as the world's primary capital market. We're already no longer #1 in IPOs. It's only a matter of time when we're no longer #1 in total market cap if we don't adopt the accounting standards used by what 90+% of the world? Do you really think we can ignore them? They're going to go elsewhere.
</p><p>
</p><p>Used to be that all global companies wanted to be listed on US exchanges. Not anymore.
</p><p>
</p><p>But IFRS should be voluntary. Any company should be allowed to file with the SEC under IFRS.
</p><p>Those that don't want to switch can stay.</p>
<p class="common_date">
Posted by:
John, 06 Oct 2011 | 15:34
</p>
</div>
<a href="#thanks_for_comment" class="add_comment_button display_form">Add your comment</a>
</div>
<div class="thanks_comment" id="thanks_for_comment">
</div>
</div>
<div class="add_comment_block dynamic_disp" id="comment_form">
<a href="" name="disp" class="hide">display:none</a>
<div class="section_title">
<p>
Add your comment
</p>
</div>
<div id="error_comment">
</div>
<div class="innerbox" id="comment_submit">
<div class="add_comment_table">
<form action="/accountancyage/save_comment/2111729/institutes-ifrs-bang" id="comment_ajax" method="post" name="comment">
<input class="hidden_style" id="id" name="id" type="hidden" value="2111729" />
<input class="hidden_style" id="render_to_article_page" name="render_to_article_page" type="hidden" value="true" />
<input class="hidden_style" id="thanks_comment" name="thanks_comment" type="hidden" value="Thanks for your comments" />
<input class="hidden_style" id="comment_ip_address" name="comment[ip_address]" type="hidden" value="174.79.34.214" />
<table cellpadding="0" cellspacing="0" id="comment_table">
<tbody>
<tr>
<td>
<label for="name">
Your name
</label>
</td>
<td>
<input class="comment_text" id="for_name" name="comment[user_name]" size="30" type="text" />
</td>
</tr>
<tr>
<td>
<label for="email">
Your email address
</label>
</td>
<td>
<input class="comment_text" id="for_email" name="comment[email]" size="30" type="text" />
<span>We won't publish your address</span>
</td>
</tr>
<tr>
<td>
<label for="title">
Your comment title
</label>
</td>
<td>
<input class="comment_text" id="for_title" name="comment[title]" size="30" type="text" />
</td>
</tr>
<tr>
<td>
<label for="comment">
Your comment:
</label>
</td>
<td>
<textarea class="comment_area" cols="40" id="for_comment" name="comment[description]" rows="4"></textarea>
</td>
</tr>
</tbody>
</table>
<br/>
<div id="captcha"></div>
<br/>
<p class="terms_condition">
By submitting a comment you agree to abide by our <a href="/static/contribution-policy" target="_blank">Terms & Conditions</a>
</p>
<p class="moderate_comment">
Your comment will be moderated before publication
</p>
<label for="comment_button" class="hide">
button
</label>
<a class="add_comment_blue_button" href="javascript:void(0);" onclick="comment_submission();">Submit</a>
</form>
</div>
</div>
</div>
</div>
<div class="block_right">
<div class="inner_section_block">
<div class="article_related_links">
<ul>
<li class="print_icon">
<a href="/print_article/aa/analysis/2111729/institutes-ifrs-bang" target="_blank">Print</a>
</li>
<li class="send_icon" id="send_id">
<a href="#">Send</a>
</li>
<li class="save_icon">
<a href="/print_article/aa/analysis/2111729/institutes-ifrs-bang" target="_blank">Save</a>
</li>
</ul>
<ul>
<li class="share_icon">
<script type="text/javascript">
var addthis_pub = "incisivemedia";
var addthis_brand = "Accountancy Age";
var addthis_options = 'linkedin, facebook, twitter, email, favorites, more';
//var addthis_offset_top = 40;
//var addthis_offset_left = 60;
//var addthis_hover_delay = 200;
</script>
<a href="http://www.addthis.com/bookmark.php?v=20" onmouseover="return addthis_open(this, '', '', '')" onmouseout="addthis_close()" onclick="return addthis_sendto()">Share</a>
<script type="text/javascript" src="http://s7.addthis.com/js/200/addthis_widget.js">
</script>
<noscript>
</noscript>
</li>
<li class="digg_icon">
<a href="http://digg.com/submit?url=http://www.accountancyage.com/aa/analysis/2111729/institutes-ifrs-bang&title=Institutes%20get%20behind%20IFRS%20big%20bang&bodytext=UK%20institutes%20are%20all%20for%20rapid%20IFRS%20adoption%20in%20the%20US&media=analysis&topic= ACCAICAEWIFRS" target="_blank">Digg</a>
</li>
<li class="tweet_icon">
<a href="http://twitter.com/share?url=http://www.accountancyage.com/aa/analysis/2111729/institutes-ifrs-bang&text=Institutes get behind IFRS big bang" target="_blank">Tweet</a>
</li>
</ul>
</div>
<div class="signup_block">
<h4>Have similar articles sent directly to your inbox</h4>
<FORM action="http://newswires.accountancyage.co.uk/f/">
<p>
<INPUT type="hidden" name="_form_id" value="26">
<INPUT type="hidden" name="_account_id" value="421">
<INPUT type="hidden" name="brand_id" value="6">
<INPUT type="checkbox" name="3.accountancy_age_daily_newsletter" value="True" class="checkBox" checked="true">
<LABEL for="3.accountancy_age_daily_newsletter">
Daily Newsletter
</LABEL>
</p>
<INPUT name="submit" class="common_input_button sign_up_button" type="submit" value="Sign up">
</FORM>
</div>
</div>
<div class="inner_section_block">
<div class="section_title">
<p>
<a href="http://www.accountancyageinsight.com" target="_blank">Related briefings</a>
</p>
</div>
<div class="inner_section_content">
<ul class="list_block">
<ul>
<li>
<h4><a href="http://www.accountancyageinsight.com/abstract/business-confidence-monitor-optimism-2011-despite-quarter-gdp-slump-6955?utm_campaign=RSS&utm_medium=RSS" target="_blank" title="Business Confidence Monitor optimism for 2011, despite last quarter's GDP slump">Business Confidence Monitor optimism for 2011, despite last quarter's GDP slump</a></h4>
</li>
</ul>
</ul>
</div>
</div>
<div class="inner_section_block">
<div class="section_title">
<p>
You may also like
</p>
</div>
<div class="inner_section_content">
<ul class="list_block">
<ul>
<li>
<h4><a href="/aa/news/2097719/icaew-bang-ifrs-adoption" title="ICAEW: 'Big Bang' IFRS adoption best for US">ICAEW: 'Big Bang' IFRS adoption best for US</a>
</h4>
</li>
<li>
<h4><a href="/aa/news/2071985/accounting-standards-reform" title="Accounting standards reform 'should go further'">Accounting standards reform 'should go further'</a>
</h4>
</li>
<li>
<h4><a href="/aa/news/2070719/accounting-standards-welcome-challenging" title="New accounting standards 'welcome but challenging'">New accounting standards 'welcome but challenging'</a>
</h4>
</li>
<li>
<h4><a href="/aa/news/2042138/international-standards-credibility-threatened-board-changes" title="International standards' credibility 'threatened' by board changes">International standards' credibility 'threatened' by board changes</a>
</h4>
</li>
<li>
<h4><a href="/aa/analysis/1939598/ixbrl-software-delays-dent-confidence-sage" title="Will iXBRL software delays dent confidence in Sage?">Will iXBRL software delays dent confidence in Sage?</a>
</h4>
</li>
</ul>
</ul>
</div>
</div>
<div class="inner_section_block">
<div class="section_title">
<p>
<a href="http://www.accountancyagejobs.com/">Related jobs</a>
</p>
</div>
<div class="inner_section_content">
<ul class="list_block">
<ul>
<li>
<h4><a href="http://www.AccountancyAgeJobs.com/job/733479/senior-finance-controller/?TrackID=1" target="_blank" title="NISSAN: Senior Finance Controller">NISSAN: Senior Finance Controller</a></h4>
</li>
<li>
<h4><a href="http://www.AccountancyAgeJobs.com/job/734724/associate-director-business-modelling/?TrackID=1" target="_blank" title="MARKS SATTIN: Associate Director Business Modelling">MARKS SATTIN: Associate Director Business Modelling</a></h4>
</li>
<li>
<h4><a href="http://www.AccountancyAgeJobs.com/job/734716/trade-accountant/?TrackID=1" target="_blank" title="MARKS SATTIN: Trade Accountant">MARKS SATTIN: Trade Accountant</a></h4>
</li>
<li>
<h4><a href="http://www.AccountancyAgeJobs.com/job/734714/assistant-finance-manager/?TrackID=1" target="_blank" title="GOODMAN MASSON: Assistant Finance Manager">GOODMAN MASSON: Assistant Finance Manager</a></h4>
</li>
<li>
<h4><a href="http://www.AccountancyAgeJobs.com/job/734707/financial-controller/?TrackID=1" target="_blank" title="FD UNLIMITED: Financial Controller">FD UNLIMITED: Financial Controller</a></h4>
</li>
</ul>
</ul>
</div>
</div>
<div class="inner_section_block">
<div class="section_title">
<p>
<a href="/category/institutes">Institutes latest</a>
</p>
</div>
<div class="inner_section_content">
<div class="img_content_list">
<div class="img_content_list_left">
<a href="/aa/news/2115251/icaew-warns-law-society-restricting-mdps"><img alt="mike-izza-4" src="/IMG/096/119096/mike-izza-4-60x60.jpg?1288024549" title="mike-izza-4" /></a>
</div>
<div class="img_content_list_right">
<h4><a href="/aa/news/2115251/icaew-warns-law-society-restricting-mdps" title="ICAEW warns Law Society against restricting MDPs">ICAEW warns Law Society against restricting MDPs</a>
</h4>
</div>
</div>
<ul class="list_block">
<li>
<h4><a href="/aa/news/2114150/adopts-cipfa-financial-management-toolkit" title="US adopts CIPFA financial management toolkit ">US adopts CIPFA financial management toolkit </a>
</h4>
</li>
<li>
<h4><a href="/aa/news/2113569/heavyweights-chew-accountancy-challenges" title="Heavyweights chew over accountancy challenges">Heavyweights chew over accountancy challenges</a>
</h4>
</li>
<li>
<h4><a href="/aa/news/2113446/icas-grills-alexander-regulation" title="ICAS grills Alexander on regulation ">ICAS grills Alexander on regulation </a>
</h4>
</li>
<li>
<h4><a href="/aa/news/2112656/acca-lashes-hmrc-vat-guidance" title="ACCA lashes out at HMRC VAT guidance">ACCA lashes out at HMRC VAT guidance</a>
</h4>
</li>
</ul>
</div>
</div>
<div class="inner_section_block">
<div class="section_title">
<p>
<a href="/">Recommended reading</a>
</p>
</div>
<div class="inner_section_content today_list">
<div class="img_content_list">
<div class="img_content_list_left">
<a href="/aa/news/2115251/icaew-warns-law-society-restricting-mdps"><img alt="mike-izza-4" src="/IMG/096/119096/mike-izza-4-60x60.jpg?1288024549" title="mike-izza-4" /></a>
</div>
<div class="img_content_list_right">
<h4><a href="/aa/news/2115251/icaew-warns-law-society-restricting-mdps" title="ICAEW warns Law Society against restricting MDPs">ICAEW warns Law Society against restricting MDPs</a>
</h4>
</div>
</div>
<div class="img_content_list">
<div class="img_content_list_left">
<a href="/aa/taking-stock-blog/2114756/colins-audit-reform"><img alt="Colin Audit Predictions" src="/IMG/154/197154/colin-audit-predictions-60x60.jpg?1317821386" title="Colin Audit Predictions" /></a>
</div>
<div class="img_content_list_right">
<h4><a href="/aa/taking-stock-blog/2114756/colins-audit-reform" title="Colin's take on audit reform...">Colin's take on audit reform...</a>
</h4>
</div>
</div>
<div class="img_content_list">
<div class="img_content_list_left">
<a href="/aa/analysis/2114809/rti-timetable-remains-tight"><img alt="paye-hmrc" src="/IMG/572/118572/paye-hmrc-60x60.jpg?1287758953" title="paye-hmrc" /></a>
</div>
<div class="img_content_list_right">
<h4><a href="/aa/analysis/2114809/rti-timetable-remains-tight" title="Real-time PAYE timetable remains too tight">Real-time PAYE timetable remains too tight</a>
</h4>
</div>
</div>
<div class="img_content_list">
<div class="img_content_list_left">
<a href="/aa/opinion/2114674/cloud-load-hot-air"><img alt="Concept image of a cloud question mark" src="/IMG/131/125131/cloud-question-mark-original-60x60.jpg?1290165549" title="Concept image of a cloud question mark" /></a>
</div>
<div class="img_content_list_right">
<h4><a href="/aa/opinion/2114674/cloud-load-hot-air" title="Is the Cloud a load of hot air?">Is the Cloud a load of hot air?</a>
</h4>
</div>
</div>
<div class="img_content_list">
<div class="img_content_list_right without_image">
<h4><a href="http://finance.brighttalk.com/node/827" target="_blank">Accounting for the future of practice</a>
</h4>
</div>
</div>
<div class="img_content_list">
<div class="img_content_list_right without_image">
<h4><a href="/aa/discussion/2100462/video-audit-braced-competition-commission-probe