Accounting & Auditing | Corporate Finance & Governance | Leadership / Management | Legislative / Regulatory
Everywhere you turn, it’s IFRS
You can't escape IFRS. It's everywhere these days. Here's the latest:
- The International Accounting Standards Committee has released the "IFRS Taxonomy 2008," a translation of international financial accounting standards into XBRL. Of course, "XBRL" are four other letters we've been hearing a lot about lately, but that's another story.
- CFO.com's Tim Reason says the Financial Accounting Standards Board might suggest implementing a moratorium on new accounting rules if IFRS is adopted in the United States. "Companies need a break," FASB member George Batavick told Reason.
- Reason's article makes it sound as though U.S. companies are suffering from compliance fatigue, but a Deloitte study implies that an increasing number of companies are up for the challenge of adopting IFRS. According to the study, 30 percent of companies would consider adopting IFRS if given the option by the SEC, up from 20 percent from six months ago. “The movement toward IFRS is being driven largely by the markets and we’ve seen the successful adoption in Europe and Asia," said D.J. Gannon, a partner with the Deloitte & Touche LLP IFRS Solutions Center. "As more companies outside the U.S. report using IFRS, there will likely be increasing pressure on U.S. companies to do the same in order to stay competitive in increasingly global capital markets.”
What's your take on IFRS? Are we moving too fast, or is it time to bite the bullet and just get it done?