history-of-accounting-standards by chenmeixiu

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									 Accounting Standards
By:Dr.Gholamhoss
                   ein Davani
Member of High Council of Iranian Association of
          Certified Public Accountants (IACPA)
Who issues standards.
   International Accounting Standards (IASs) were issued by the
    IASC from 1973 to 2000. The IASB replaced the IASC in 2001.
    Since then, the IASB has amended some IASs and has
    proposed to amend others, has replaced some IASs with new
    International Financial Reporting Standards (IFRSs), and has
    adopted or proposed certain new IFRSs on topics for which there
    was no previous IAS. Through committees, both the IASC and
    the IASB also have issued Interpretations of Standards. Financial
    statements may not be described as complying with IFRSs
    unless they comply with all of the requirements of each
    applicable standard and each applicable interpretation.
Accountancy Age timeline: 1969 - 2004



   1969: Accountancy Age is launched.
   DTI inquiry into Robert Maxwell's Pergamon Press causes its takeover
    by LeaseCo to fall apart.
   Touche, Ross, Bailey & Smart becomes Touche Ross
   1970: ICAEW's proposal to merge with ICAS, ICAI and other bodies
    fails
   1973: Henry Benson appointed first chairman of the International
    Accounting Standards Committee
   1974: The Consultative Committee of Accountancy Bodies (CCAB) is
    formed
   1977: IFAC is founded
   1979: Ernst and Whinney is formed
   1980: ACCA's Vera di Palma becomes the first female president of an
    international accounting body
   1984: Merger of Deloitte, Haskins & Sells and Price Waterhouse falls
    through
   1987: Peat Marwick International and KMG merger forms KPMG
   1989: Arthur Andersen/Price Waterhouse merger collapses in
    September.
   Ernst & Young is formed from Ernst & Whinney and Arthur Young.
    Touche Ross and Deloitte Haskins Sells merge to form Deloitte &
    Touche
   1990: The 'Guinness Four' are found guilty of fraud
   1991: Robert Maxwell drowns. BCCI collapses. Polly Peck and Coloroll
    scandals lead to Ian Cadbury's report on good corporate governance
   1995: Deloitte & Touche creates Deloitte Consulting. Barings collapses
   1996: Ian and Kevin Maxwell cleared of fraud, Coopers & Lybrand's
    audits of Maxwell companies face JDS investigation. KPMG produces
    the first annual report by an accountancy firm, which reveals senior
    partner Colin Sharman earns a total package of £740,000
   1998: Coopers & Lybrand and Price Waterhouse form
    PricewaterhouseCoopers.
   JDS turns the spotlight on Arthur Andersen in connection with the £50m
    overstatement of profits by Wickes
   2000: European Commission announces in July that it intends to
    make IAS mandatory from 2005.
   The IASC completes its three-year restructuring programme and
    creates the International Accounting Standards Board, effective
    from April 2001.
   Ernst & Young sells consulting arm to Cap Gemini
   2001: SEC's Enron investigation begins. Big Five issue a joint
    statement in December insisting that self-regulation remains the
    best policy following the collapse of Enron
   2002: Andersen's Houston office admits to shredding documents
    relating to Enron. WorldCom is accused of $4bn fraud, which
    drags Andersen into another scandal. Andersen UK acquired by
    Deloitte. SEC implements Sarbanes-Oxley
   2003: Grant Thornton is dragged into €4bn accounting 'black
    hole' at Parmalat.
   Deloitte & Touche rebrands as simply 'Deloitte'.
   Higgs and Smith reports take an evolutionary step on from
    Cadbury and Turnbull
   2004: The Financial Reporting Council is revamped. Inland
    Revenue merges with Customs & Excise.
Who Sets Accounting Standards in USA?


The following institutes work together to create new
and amend older standards in order to establish and
maintain a common language for communicating
financial information:
1-The Financial Accounting Standards Board (FASB),
2-American Institute of Certified Public Accountants
(AICPA),
3-Securities and Exchange Commission (SEC),
4-International Accounting Standards Board (IASB)
5-The passage of the Sarbanes-Oxley Act and the
creation of the Public Company Accounting Oversight
Board (PCAOB) signals many significant forthcoming
changes in GAAP and the current standards setting
process.
IASB Framework
   While not a standard, the IASB Framework for the Preparation
    and Presentation of Financial Statements serves as a guide to
    resolving accounting issues that are not addressed directly in a
    standard. Moreover, in the absence of a standard or an
    interpretation that specifically applies to a transaction, IAS 8
    requires that an entity must use its judgment in developing and
    applying an accounting policy that results in information that is
    relevant and reliable. In making that judgment, IAS 8.11 requires
    management to consider the definitions, recognition criteria and
    measurement concepts for assets, liabilities, income, and
    expenses in the Framework. The IASB adopted the Framework
    in April 2001. It had originally been adopted by the IASC in 1989.
    Currently, the IASB is working on a Project to Revise the
    Framework.
What is IFRSs’
   The term International Financial Reporting Standards (IFRSs)
    has both a narrow and a broad meaning. Narrowly, IFRSs refers
    to the new numbered series of pronouncements that the IASB is
    issuing, as distinct from the International Accounting Standards
    (IASs) series issued by its predecessor. More broadly, IFRSs
    refers to the entire body of IASB pronouncements, including
    standards and interpretations approved by the IASB and IASs
    and SIC interpretations approved by the predecessor
    International Accounting Standards Committee. [On this website,
    consistent with IASB policy, we abbreviate International Financial
    Reporting Standards (plural) as IFRSs and International
    Accounting Standards (plural) as IASs.]
IFRS
   International Financial Reporting Standards Preface to
    International Financial Reporting Standards
   IFRS 1 First-time Adoption of International Financial Reporting
    Standards
   IFRS 2 Share-based Payment
   IFRS 3 Business Combinations
   IFRS 4 Insurance Contracts
   IFRS 5 Non-current Assets Held for Sale and Discontinued
    Operations
   IFRS 6 Exploration for and Evaluation of Mineral Assets
   IFRS 7 Financial Instruments: Disclosures
   IFRS 8 Operating Segments Framework for the Preparation
    and Presentation of Financial Statements
   Framework for the Preparation and Presentation of Financial
    Statements
Which are international accounting
standards(IAS)?
   IAS 1 Presentation of Financial Statements
   IAS 2 Inventories IAS 3 Consolidated Financial Statements
    Originally issued 1976, effective 1 Jan 1977. Superseded in 1989 by IAS 27 and
    IAS 28.
   IAS 4 Depreciation Accounting
    Withdrawn in 1999, replaced by IAS 16, 22, and 38, all of which were issued or
    revised in 1998. IAS 5 Information to Be Disclosed in Financial Statements
    Originally issued October 1976, effective 1 January 1997. Superseded by IAS 1
    in 1997. IAS 6 Accounting Responses to Changing Prices
    Superseded by IAS 15, which was withdrawn December 2003 IAS 7 Cash Flow
    Statements IAS 8 Accounting Policies, Changes in Accounting Estimates and
    Errors IAS 9 Accounting for Research and Development Activities Superseded
    by IAS 38 effective 1.7.99 IAS 10 Events After the Balance Sheet Date IAS 11
    Construction Contracts IAS 12 Income Taxes IAS 13 Presentation of Current
    Assets and Current Liabilities
    Superseded by IAS 1. IAS 14 Segment Reporting
   Segment Reporting
   IAS 15 Information Reflecting the Effects of Changing
    Prices
    Withdrawn December 2003
   IAS 16 Property, Plant and Equipment
   IAS 17 Leases
   IAS 18 Revenue
   IAS 19 Employee Benefits
   IAS 20 Accounting for Government Grants and
    Disclosure of Government Assistance
   IAS 21 The Effects of Changes in Foreign Exchange
    Rates
   IAS 22 Business Combinations
    Superseded by IFRS 3 effective 31 March 2004.
   IAS 23 Borrowing Costs
   IAS 24 Related Party Disclosures
   IAS 25 Accounting for Investments
    Superseded by IAS 39 and IAS 40 effective 2001.
   IAS 26 Accounting and Reporting by Retirement Benefit Plans
   IAS 27 Consolidated and Separate Financial Statements IAS 28
    Investments in Associates
   IAS 29 Financial Reporting in Hyperinflationary Economies
   IAS 30 Disclosures in the Financial Statements of Banks and
    Similar Financial Institutions
    Superseded by IFRS 7 effective 2007.
   IAS 31 Interests In Joint Ventures
   IAS 32 Financial Instruments: Presentation
    Disclosure provisions superseded by IFRS 7 effective 2007.
   IAS 33 Earnings Per Share
   IAS 34 Interim Financial Reporting
   IAS 35 Discontinuing Operations
    Superseded by IFRS 5 effective 2005.
   IAS 36 Impairment of Assets
   IAS 37 Provisions, Contingent Liabilities and Contingent Assets
   IAS 38 Intangible Assets
   IAS 39 Financial Instruments: Recognition and Measurement
   IAS 40 Investment Property
   IAS 41 Agriculture
FASB

   Since 1973 the FASB has been the organization
    designated to establish authoritative financial
    accounting and reporting standards (Statements of
    Financial Accounting Standards, SFAS) for business
    and other private-sector entities. Its mission is to be
    responsive to the entire economic community and to
    operate in full view of the entire community through
    a due-process system.
SEC.


   Under the Securities and Exchange Act of 1934, the SEC has
    statutory authority to establish financial accounting and reporting
    standards for publicly-held companies. Recent accounting-
    related scandals, such as Enron, prompted the SEC and
    Congress to get more directly involved in the oversight of the
    standards setting process and the monitoring of corporate
    governance. In August 2002, as part of the Sarbanes-Oxley Act,
    the SEC's Public Company Accounting Oversight Board
    (PCAOB) was created to crack down on corporate accounting
    scandals. Authorized to conduct inspections and discipline
    accountants, the oversight board supplants the self-regulation of
    CPAs who audit public companies.
IASB

   Formed in January 2001, the ISAB replaced its predecessor, the
    International Accounting Standards Committee (IASC), as the
    international standards setting body. Looking towards greater
    formalization of international accounting standards, IASB is
    structured similarly to the FASB. It is currently the focus of the
    IASB, in collaboration with the FASB and other accounting
    focused organizations, to "converge" standards and develop a
    single, universally accepted set of biding international accounting
    standards. The IASC, and now IASB, issue a series of standards
    known as International Financial Reporting Standards (IFRS),
    formerly called International Accounting Standards (IAS).
IASB, IASCF, and IASC Defined


   The International Accounting Standards Board is an independent, private-sector
    body that develops and approves International Financial Reporting Standards.
    The IASB operates under the oversight of the International Accounting
    Standards Committee Foundation. The IASB was formed in 2001 to replace the
    International Accounting Standards Committee.
   IASCF: International Accounting Standards Committee Foundation
   The International Accounting Standards Committee Foundation is the
    independent, non-profit foundation, created in 2000 to oversee the IASB. Click
    for more information about the IASCF Structure.
   IASC: International Accounting Standards Committee
   From 1973 until a comprehensive reorganization in 2000, the structure for
    setting International Accounting Standards was known as the International
    Accounting Standards Committee. There was no actual "committee" of that
    name. The standard-setting board was known as the IASC Board.
Description of IFAC


    The International Federation of Accountants (IFAC) is an
    association of national professional accountancy organizations
    that represent accountants employed in public practice, business
    and industry, the public sector, and education, as well as some
    specialized groups that interface frequently with the profession.
    IFAC works to develop the profession globally and to harmonies
    professional standards worldwide to enable accountants to
    provide services of consistently high quality in the public interest
    across political borders. Currently, IFAC has 155 member bodies
    and associates in 118 countries, representing over 2.5 million
    accountants.
International Accounting Education
Standards Board
   The International Accounting Education Standards
    Board (IAESB) – formerly the IFAC Education
    Committee – develops guidance to improve the
    standards of accountancy education around the
    world and focuses on two key areas:
   The essential elements of accreditation, which are
    education, practical experience and tests of
    professional competence; and
   The nature and extent of continuing professional
    education needed by accountants.
International Auditing and Assurance
Standards Board

   International Standards on Auditing (ISAs) are set by the International
    Auditing and Assurance Standards Board (IAASB) -- until 2002 known
    as the International Auditing Practices Committee (IAPC). The ISA on
    the auditor's report on financial statements requires that the auditor's
    opinion must clearly indicate the financial reporting framework used to
    prepare the financial statements (including the country of origin of the
    financial reporting framework when the framework used is not
    International Accounting Standards) and state the auditor's opinion as
    to whether the financial statements give a true and fair view (or are
    presented fairly, in all material respects) in accordance with that
    financial reporting framework and, where appropriate, whether the
    financial statements comply with statutory requirements
AICPA
   Originally, the AICPA, the memberships association for CPAs, was the body
    responsible for defining accounting standards.
   1939-1959 - issues Accounting Research Bulletins (ARB)
   1959-1973 - Accounting Principles Board (APB) issues series of opinions
   1973 - Accounting Principles Board dissolved and standards setting
    responsibility is transferred to FASB. The AICPA continues its role as
    authoritative body for establishing auditing standards (Statement of Auditing
    Standards, SAS)
   In 1973, the AICPA shifted its focus to supporting it membership and
    constituency and bringing to the attention of the FASB and SEC issues that it
    determined important to the accounting and auditing professional communities.
    While the AICPA continued issuing auditing standards, this responsibility is now
    being assumed by the Public Company Accounting Oversight Board (PCAOB),
    a body created by the Sarbanes-Oxley Act of 2002. The Oversight Board's
    recent authorization to become directly involved with issues auditing standards
    could have significant impact on the current standards setting process.
Accounting -- The House of GAAP
   The role that accounting standards play in establishing the rules for disclosing both public
    and private financial reporting assumes levels of authority of "more to less" which guide
    reliance on and determines the weight of the standards. Understanding this hierarchy is
    paramount to grasping the meaning of "generally accepted accounting principles" (GAAP),
    and the many supporting documents.
   The concept of the "house of GAAP" was introduced in a 1984 article from the Journal of
    Accountancy. The author describes and defines the vast universe of accounting standards
    as a hierarchy structured along the lines of the floor plan of a house. "Like any other
    structure, the house of GAAP rests on a foundation, in this case a foundation of the basic
    concepts and broad principles that underlie financial reporting, without which, like a house
    of cards, the house of GAAP would tumble." 1
   In 199I the AICPA's Auditing Standards Board remodeled the house of GAAP by changing
    some of the levels of authority of certain accounting pronouncements and distinguishing
    between the standards defining state and local government entities, established by the
    Government Accounting Standards Board (GASB) and those for all others, falling under the
    FASB's jurisdiction. 2
   Using Rubin's visual model of a house, following is the floor plan adapted to the revised
    hierarchy:
First Floor (Category A)
   Constitutes the highest level of GAAP authority. Officially established,
    authoritative accounting principles; also referred to as authoritative literature or
    pronouncements.
   FASB Statements of Financial Accounting Standards (SFAS)
   FASB Interpretations (FIN) which modify, extend, clarify and elaborate on
    existing SFAS, AICPA Accounting Principles Board Opinions and Accounting
    Research Bulletins
   AICPA Opinions and their Interpretations which have not been superseded
   AICPA Accounting Research Bulletins which have not been superseded
   Examples:
       Statement of Financial Accounting Standards No. 131, Disclosures about
        Segments of an Enterprise and Related Information
       APB Opinion No. 18, The Equity Method of Accounting for Investments in Common
        Stock
   Second Floor (Category B) Pronouncements
Second Floor (Category B)
   Pronouncements of organizations, composed of expert
    accountants, that discuss and analyze accounting issues in
    public for the purpose of establishing accounting principles or
    describing existing accounting practices that are generally
    accepted and approved by FASB and GASB and have been
    exposed for public comment:
   FASB Technical Bulletins (TB)
   AICPA Industry Audit and Accounting Guides
   AICPA Statements of Position (SOP)
   Examples:
     SOP 97-2, Software Revenue Recognition
     FASB Technical Bulletin No. 01-1, Effective Date for Certain
       Financial Institutions of Certain Provisions of Statement 140
       Related to the Isolation of Transferred Financial Assets
Third Floor (Category C) Includes
   Includes pronouncements of organizations, composed of expert
    accountants, organized by FASB, that discuss and debate
    accounting issues in public forums for the purpose of interpreting
    and establishing accounting principles or describing existing
    accounting practices that are generally accepted:
   FASB Emerging Issues Task Force (EITF) consensus position
   AICPA Practice Bulletins approved by the FASB
   Examples:
     EITF Issue No. 98-10, Accounting for Contracts Involved in
       Energy Trading and Risk Management Activities
     AICPA Practice Bulletin 14, Accounting and Reporting by
       Limited Liability Companies and limited Liability Partnerships
Fourth Floor (Category D)
   If an accounting treatment is not specified in a source from any of the
    first three floors, the accountant may consider other accounting
    literature; the appropriateness of the source depends on its relevance
    to particular circumstances, the specificity of the guidance, and the
    general recognition of the author as an authority:
   AICPA Accounting Interpretations
   FASB Implementation Guides in Q and A format
   Unlearned AICPA Statements of Position and Industry Audit and
    Accounting Guides
   Industry practices that are widely recognized and prevalent
   Examples:
       FASB Special Report, A Guide to Implementation of Statement 125 on
        Accounting for Transfers and Servicing of Financial Assets and
        Extinguishments of Liabilities
       AICPA Accounting Interpretations, Reporting the Results of Operations:
        Accounting Interpretations of APB Opinion No. 30
Fifth Floor (Category E)
   When a generally accepted accounting pronouncement is not covered
    by Categories A-D, the independent auditor may use other sources of
    guidance as deemed relevant:
   FASB Financial Accounting Concepts (CON)
   AICPA Accounting Principles Board Statements
   AICPA Issues Papers
   Pronouncements of other professionals associations or regulatory
    agencies
   AICPA Technical Practice Aids
   Accounting textbooks, handbooks and articles
   Examples:
       AICPA Issues Paper, Identification and Discussion of Certain Financial
        Accounting and Reporting Issues Concerning LIFO Inventories
       FASB Concept No. 5, Recognition and Measurement in Financial
        Statements of Business Enterprise
PCAOB
    Formed in 2002 to oversee the audit of public companies that are
    subject to the securities laws in the preparation of informative, fair and
    independent audit reports. The Board's authority includes:
   ..Registering public accounting firms that prepare audit reports for
    issuers
    ..Conducting inspections of registered public accounting firms
    ..Conducting investigations and disciplinary proceedings and impose
    appropriate sanctions
    ..Enforcing compliance by registered public accounting firms relating to
    the preparation and issuance of audit reports and the obligations and
    liabilities of accountants
    ..Establishing auditing, quality control, ethics, independence, and other
    standards relating to the preparation of audit reports for issuers
   Click HERE to research IASB accounting
CAAS
   Generally Accepted Auditing Standards (GAAS). Established by
    the AICPA, these standards govern the conduct of external
    audits by public accountants. The Statement of Auditing
    Standards (SAS) provide guidelines for the auditors' field work
    and financial reporting. They frame the format and contents of
    the Auditor's Report or Opinion, which is the formal expression of
    their examination of a company's financial statements. In May
    2003, the PCAOB was given the official go-ahead to assume
    responsibility for establishing GAAS. It remains to be seen
    exactly how the PCAOB's new role will play out, its impact on the
    AICPA's responsibilities, and the form in which the two entities
    will co-exist.
GAS
   Governmental Accounting Standards (GAS). While
    GAAP defines the accounting for public and private
    business entities, there also exist standards specific
    to governmental organizations. Organized in 1984 to
    establish standards of financial accounting and
    reporting for state and local governmental entities,
    the Governmental Accounting Standards Board
    (GASB), began issues these standards to guide the
    preparation of external reports for these types of
    organizations.
Industry Accounting Practices
   Some industries have created their won
    accounting practices to fill gaps not covered
    by floors 1-4 of GAAP. These practices are
    often available in print publications issued by
    the overseeing industry association. On
    occasion they are also posted on the
    associations web site. Examples of industries
    which have adopted their own practices are
    healthcare and insurance.
Sarbanes-Oxley Act of 2002
   The S-O Act was passed as a direct result of a series of major
    corporate financial accounting scandals. This legislation directly
    impacts accountants and attorneys, officers and owners of publicly
    traded companies, as well as brokers, dealers, investment bankers, and
    financial analysts. The Act, PL 107-204, established the Public
    Company Accounting Oversight Board (PCAOB), responsible for
    registering, monitoring, investigating, and disciplining the activities of
    public accounting firms, including establishing the guidelines for the
    conduct of several key auditing procedures no delineating the types of
    services that CPAs are prohibited from providing to audit clients. The
    Act additionally sets forth a number of requirements for corporations,
    their officers and Board members, by redefining working and reporting
    relationships with their internal audit committee members and public
    accounting firms, creating changes in internal controls procedures and
    enhancing financial disclosures.
What is Corporate
Governance?
   A framework which should ensure that timely and accurate disclosure is made
    on all matters regarding the corporation, including the financial, performance,
    ownership, and governance of the company. It relies on mechanisms and rules
    which ensure the protection of all interest groups and help to build and
    consolidate the reputation and the market value of the company.
   The mechanisms of corporate governance apply to every level of authority in the
    corporation - Board of Directors, Audit Committee, Compensation Committees
    and others. The Board of Directors must have strong independent
    representation. The Audit Committee provides the main point of communication
    between the external auditors and the shareholders.
   Auditors also play a primary role in corporate governance. An important aspect
    of their work involves independence from any pressure, from either
    management or shareholders. The terms of engagement of their work, and
    constant contact with both operating management, boards of directors and
    related committees will guarantee the independence and reliability of financial
    statements
CHRONOLOGY OF IASC AND IASB                    (1)
   1966
   Proposal to create an Accountants International Study Group is
    agreed to by professional accountancy bodies in Canada, United
    Kingdom, and United States to develop comparative studies of
    accounting and auditing practices in the three nations.
     1967
   Accountants International Study Group is created. Precursor to
    IASC.
     1968
   First AISG study: comparative accounting practices for
    inventories in Canada, UK, and US. AISG published a total of 20
    studies through 1977, when it was disbanded. Some were used
    by IASC in its early standards.
CHRONOLOGY OF IASC AND IASB           (2)
   1972
   Proposal for IASC is put forward by Sir Henry
    Benson at 10th World Congress of Accountants in
    Sydney. Discussed with the three AISG countries
    (Canada, UK, and US).
   Further discussions of the Benson proposal
    including representatives of Australia, France,
    Germany, Japan, the Netherlands, and Mexico.
International Accounting Standards
Committee (IASC) 1973-2000

   1973 Events
   Agreement to establish IASC signed by representatives of the professional
    accountancy bodies in Australia, Canada, France, Germany, Japan, Mexico,
    Netherlands, United Kingdom/Ireland, and United States.
   IASB opens an office at 3 St. Helen's Place, London.
   Paul Rosenfield (US, on secondment from AICPA) is appointed first Secretary of
    IASC.
   IASC holds its inaugural meeting 29 June, London.
   Sir Henry Benson elected first Chairman of IASC.
   IASC adopts its initial agenda of three technical projects: Accounting Policies,
    Inventories, Consolidated Financial Statements.
   Steering committees are appointed for the above three projects (the first IASC
    steering committees).
   First meeting of an IASC steering committee (IAS 1, Disclosure of Accounting
    Policies).
   IASC holds Board meetings in London
1974
   Events
   First associate members of IASC are admitted: Belgium, India,
    Israel, New Zealand, Pakistan, and Zimbabwe.
   IASC holds Board meetings in London (3) and Paris.
   Exposure Drafts Published:
   E1 Disclosure of Accounting Policies
   E2 Valuation and Presentation of Inventories in the Context of
    the Historical Cost System
   E3 Consolidated Financial Statements and the Equity Method of
    Accounting
   Final Standards Published:
   None
1975
   Events
   Proposal to create an International Federation of Accountants
    (IFAC) to replace the International Coordinating Committee for
    the Accounting Profession (ICCAP).
   IASC holds Board meetings in London (3) and Montreal.
   Exposure Drafts Published:
   E4 Depreciation Accounting
   E5 Information to be Disclosed in Financial Statements
   Final Standards Published:
   IAS 1 (1975) Disclosure of Accounting Policies
   IAS 2 (1975) Valuation and Presentation of Inventories in the
    Context of the Historical Cost System
1976
   Events
   Joseph P. Cummings of the United States becomes chairman of IASC.
   'Group of Ten' Bank Governors funds an IASC project on bank financial
    statements.
   IASC holds Board meetings in London (2) and Washington.
   Exposure Drafts Published:
   E6 Accounting Treatment of Changing Prices
   E7 Statement of Source and Application of Funds
   E8 The Treatment in the Income Statement of Unusual Items and
    Changes in Accounting Estimates and Accounting Policies
   Final Standards Published:
   IAS 3 (1976) Consolidated Financial Statements
   IAS 4 (1976) Depreciation Accounting
   IAS 5 (1976) Information to be Disclosed in Financial Statements
1977

   Events
   IASC Constitution is revised to add to two seats to the IASC Board (in addition
    to the 9 founder countries), bringing the total to 11. Nine votes are required to
    adopt a Standard, giving the 9 founder members substantial control. Also, this
    revised Constitution identified the standards-setting body as the 'Board' of the
    IASC, not a 'committee'.
   IFAC is formed. AISG is disbanded.
   IASC holds Board meetings in London, Amsterdam, and Edinburgh.
   Exposure Drafts Published:
   E9 Accounting for Research and Development Costs
   E10 Contingencies and Events Occurring After the Balance Sheet Date
   E11 Accounting for Foreign Transactions and Translation of Foreign Financial
    Statements
   E12 Accounting for Construction Contracts
   Final Standards Published:
   IAS 6 (1977) Accounting Responses to Changing Prices
   IAS 7 (1977) Statement of Changes in Financial Position
1978

   Events
   John A. Hepworth of Australia becomes chairman of IASC.
   South Africa and Nigeria join Board, increasing Board size to 11.
   IASC holds Board meetings in London (2) and Perth (Australia).
   For the first time, IASC rejects a proposed standard (based on E11, Accounting for Foreign
    Transactions and Translation of Foreign Financial Statements), and a new steering
    committee is appointed for a fresh start.
   IASC begins discussions with the International Federation of Accountants (IFAC) on
    'mutual commitments' regarding the relationship between the two bodies.
   Exposure Drafts Published:
   E13 Accounting for Taxes on Income
   E14 Current Assets and Current Liabilities
   Final Standards Published:
   IAS 8 (1978) Unusual and Prior Period Items and Changes in Accounting Policies
   IAS 9 (1978) Accounting for Research and Development Activities
   IAS 10 (1978) Contingencies and Events Occurring After the Balance Sheet Date
1979
   Events
   Allan V. C. Cook becomes secretary of IASC.
   IASC meets OECD working group on accounting standards.
   IASC holds Board meetings in London (2) and Mexico City.
   Exposure Drafts Published:
   None
   Final Standards Published:
   IAS 11 (1979) Accounting for Construction Contracts
   IAS 12 (1979) Accounting for Taxes on Income
   IAS 13 (1979) Presentation of Current Assets and Current
    Liabilities
1980
   Events
   J. A. (Hans) Burggraaff of Netherlands becomes chairman of IASC.
   IASC publishes a discussion paper on bank disclosures (project funded by 'Group of Ten'
    Bank Governors).
   IASC holds Board meetings in London, Berlin, and Dublin
   United Nations Intergovernmental Working Group on Accounting and Reporting meets for
    first time. IASC proposes a cooperative working arrangement with UN group.
   Exposure Drafts Published:
   E15 Reporting Financial Information by Segment
   E16 Accounting for Retirement Benefits in the Financial Statements of Employers
   E17 Information Reflecting the Effects of Changing Prices
   E18 Accounting for Property, Plant and Equipment in the Context of the Historical Cost
    System
   E19 Accounting for Leases
   Final Standards Published:
   None
1981
   Events
   Geoffrey B. Mitchell becomes Secretary of IASC. Title is changed to Secretary-General
    during his tenure.
   IASC Consultative Group is formed to advise IASC on agenda projects and priorities.
    Consultative Group members represent both accounting and non-accounting organizations
    with an interest in financial reporting (stock exchanges, bankers, lawyers, business, unions,
    government, United Nations, World Bank, OECD, etc.). First meeting in October 1981.
   IASC begins a joint project on accounting for income taxes with standard setters from the
    Netherlands, UK, and USA.
   IASC holds Board meetings in London (2) and Tokyo.
   Exposure Drafts Published:
   E20 Revenue Recognition
   E21 Accounting for Government Grants and Disclosure of Government Assistance
   E22 Accounting for Business Combinations
   Final Standards Published:
   IAS 14 (1981), Reporting Financial Information by Segment
   IAS 15 (1981), Information Reflecting the Effects of Changing Prices
1982
   Events
   Stephen Elliott of Canada becomes chairman of IASC. IASC and IFAC make
    mutual commitments. The IASC Board is expanded to up to 17 members,
    including 13 country members appointed by the Council of IFAC and up to 4
    representatives of organizations with an interest in financial reporting. All
    members of IFAC are members of IASC. IFAC recognizes and will look to IASC
    as the global accounting standard setter. Special constitutional status of the 9
    founder members of IASC is eliminated.
   IASC holds Board meetings in London (2) and Amsterdam.
   Exposure Drafts Published:
   E23 Accounting for the Effects of Changes in Foreign Exchange Rates
   E24 Capitalization of Borrowing Costs
   Final Standards Published:
   IAS 16 (1982) Accounting for Property, Plant and Equipment
   IAS 17 (1982) Accounting for Leases
   IAS 18 (1982) Revenue Recognition
1983
   Events
   Italy joins IASC Board.
   Expanded IASC Board under the revised Constitution takes effect.
   IASC holds Board meetings in London, Edinburgh, and Paris.
   Title of senior staff executive changed from 'Secretary' to 'Secretary-General'.
   Exposure Drafts Published:
   E25, Disclosure of Related Party Transactions
   Final Standards Published:
   IAS 19 (1983) Accounting for Retirement Benefits in the Financial Statements of
    Employers
   IAS 20 (1983) Accounting for Government Grants and Disclosure of
    Government Assistance
   IAS 21 (1983) Accounting for the Effects of Changes in Foreign Exchange
    Rates
   IAS 22 (1983) Accounting for Business Combinations
1984
   Events
   Taiwan joins IASC Board.
   IASC holds a formal meeting with the US Securities and
    Exchange Commission.
   IASC holds Board meetings in London, Toronto, and Düsseldorf.
   Exposure Drafts Published:
   E26 Accounting for Investments
   Final Standards Published:
   IAS 23 (1984) Capitalization of Borrowing Costs
   IAS 24 (1984) Related Party Disclosures
1985
   Events
   John L. Kirkpatrick of UK becomes chairman of IASC.
   David Cairns becomes Secretary-General of IASC.
   IASC participates in an OECD forum on global accounting
    harmonization.
   IASC responds to SEC proposals for a multinational prospectus.
   IASC holds Board meetings in London, Rome, and New York.
   Exposure Drafts Published:
   E27, Accounting and Reporting by Retirement Benefit Plans
   Final Standards Published:
   None
1986
   Events
   Financial analysts (International Coordinating Committee of
    Financial Analysts Associations) get a seat on the IASC Board.
   IASC co-sponsors a conference with New York Stock Exchange
    and International Bar Association on the globalization of financial
    markets.
   IASC holds Board meetings in London, Dublin, and Amsterdam
   Exposure Drafts Published:
   E28 Accounting for Investments in Associates and Joint Ventures
   Final Standards Published:
   IAS 25 (1986) Accounting for Investments
1987
   Events
   Georges Barthes de Ruyter of France becomes chairman of IASC.
   IASC begins its Comparability and Improvements Project. Objective is to reduce
    or eliminate alternatives and make standards more detailed and prescriptive
    rather than flexible and descriptive of current practice.
   International Organization of Securities Commissions (IOSCO) joins the
    Consultative Group and supports the Comparability project.
   IASC publishes its first Bound Volume of International Accounting Standards,
    containing the standards extant at 1 September 1987.
   IASC holds Board meetings in Sydney and Edinburgh.
   Exposure Drafts Published:
   E29 Disclosures in the Financial Statements of Banks
   E30 Consolidated Financial Statements and Accounting for Investments in
    Subsidiaries
   E31 Financial Reporting in Hyperinflationary Economies
   Final Standards Published:
   IAS 26 (1987), Accounting and Reporting by Retirement Benefit Plans
1988
   Events
   Jordan, Korea and the Nordic Federation (representing accounting
    bodies in Norway, Denmark, Sweden, Finland, and Iceland) join the
    IASC Board, replacing Mexico, Nigeria, and Taiwan.
   Financial instruments project started in conjunction with Canadian
    Accounting Standards Board.
   IASC publishes a survey on the use of IAS.
   FASB joins the Consultative Group and becomes an observer at the
    IASC Board table.
   IASC holds Board meetings in Düsseldorf, Toronto, and Copenhagen.
   Exposure Drafts Published:
   Exposure Draft: Framework for the Preparation and Presentation of
    Financial Statements
   Final Standards Published:
   None
1989
   Events
   European Accounting Federation (FEE) supports international harmonization and greater
    European involvement in IASC.
   IFAC adopts a public sector guideline to require government business enterprises to follow
    IAS.
   IASC holds Board meetings in Brussels and New York.
   IASC publishes its Framework for the Preparation and Presentation of Financial
    Statements.
   Exposure Drafts Published:
   E32 Comparability of Financial Statements
   E33 Accounting for Taxes on Income
   E34 Disclosures in the Financial Statements of Banks and Similar Financial Institutions
   E35 Financial Reporting of Interests in Joint Ventures
   Final Standards Published:
   IAS 27 (1989) Consolidated Financial Statements and Accounting for Investments in
    Subsidiaries
   IAS 28 (1989) Accounting for Investments in Associates
   IAS 29 (1989) Financial Reporting in Hyperinflationary Economies
1990
   Events
   Statement of Intent - Comparability of Financial Statements.
   Arthur R. Wyatt of the United States becomes chairman of IASC.
   European Commission joins the Consultative Group and takes a seat at
    the IASC Board table as an observer. Bank regulators and asset
    valuers also join the Consultative Group.
   A programmed to seek external funding is launched.
   IASC holds Board meetings in Amsterdam, Paris, and Singapore.
   Exposure Drafts Published:
   None
   Final Standards Published:
   IAS 30 (1990) Disclosures in the Financial Statements of Banks and
    Similar Financial Institutions
   IAS 31 (1990) Financial Reporting of Interests in Joint Ventures
1991
   Events
   IASC organizes a conference of national standard setters in
    conjunction with FEE and FASB.
   US FASB indicates its support for international accounting
    standards.
   IASC holds Board meetings in London, Milan, and Seoul
   Exposure Drafts Published:
   E36 Cash Flow Statements
   E37 Research and Development Activities
   E38 Inventories
   E39 Capitalization of Borrowing Costs
   E40 Financial Instruments
   Final Standards Published:
   None
1992
   Events
   IASC constitution revised.
   IASC holds Board meetings in Madrid, Amman, and Chicago
   Exposure Drafts Published:
   E41 Revenue Recognition
   E42 Construction Contracts
   E43 Property, Plant and Equipment
   E44 The Effects of Changes in Foreign Exchange Rates
   E45 Business Combinations
   E46 Extraordinary Items, Fundamental Errors and Changes in Accounting
    Policies
   E47 Retirement Benefit Costs
   Final Standards Published:

    Revision:
1993
   Events
   Eiichi Shiratori of Japan becomes chairman of IASC.
   India replaces Korea on Board.
   IASC and IOSCO agree on a list of core standards.
   Comparability and Improvements project completed with approval of ten revised IAS. However, IOSCO
    did not endorse IAS at that time for use in cross-border securities offerings.
   South African Institute of Chartered Accountants decides that South African accounting standards should
    be based on IAS -- existing South African GAAP to be revised.
   IASC holds Board meetings in Tokyo, London, and Oslo.
   Exposure Drafts Published:
   None
   Final Standards Published:
   Revisions:

   IAS 2 (revised 1993) Inventories
   IAS 8 (revised 1993) Net Profit or Loss for the Period, Fundamental Errors and Changes in Accounting
    Policies
   IAS 9 (revised 1993) Research and Development Costs
   IAS 11 (revised 1993) Construction Contracts
   IAS 16 (revised 1993) Property, Plant and Equipment
   IAS 18 (revised 1993) Revenue
   IAS 19 (revised 1993) Retirement Benefit Costs
   IAS 21 (revised 1993) The Effects of Changes in Foreign Exchange Rates
   IAS 22 (revised 1993) Business Combinations
   IAS 23 (revised 1993) Borrowing Costs
1994
   Events
   Board meets with standard setters to discuss E48, Financial Instruments.
   Accounting educators join Consultative Group.
   World Bank agrees to fund Agriculture project.
   Establishment of IASC Advisory Council approved, with responsibilities for oversight and
    finances.
   IOSCO accepts 14 IAS and identifies some specific issues to be addressed in the
    remaining core standards (the so-called 'Shiratori letters').
   FASB agrees to work with IASC on a joint earnings per share project.
   The G4+1 group, which includes IASC as the '+1', publishes its first study on Future
    Events.
   IASC holds Board meetings in Edinburgh and Budapest.
   Exposure Drafts Published:
   E48 Financial Instruments
   E49 Income Taxes
   Final Standards Published:
   None
1995
   Events
   Michael Sharpe of Australia becomes chairman of IASC.
   Sir Bryan Carsberg becomes Secretary-General of IASC.
   IASC agrees with IOSCO to complete the core standards by 1999. IOSCO states that if the core
    standards are successfully completed, IOSCO will review them with the objective of endorsing IAS for
    cross-border offerings.
   First German companies report under IAS.
   Federation of Swiss Holding Companies takes a seat on the IASC Board.
   Malaysia and Mexico replace Italy and Jordan on Board. India and South Africa agree to share Board
    seats with Sri Lanka and Zimbabwe, respectively.
   World Bank's accounting handbook states that 'in the absence of any superior national standards, the
    Bank requires the use of IASs in the preparation of financial statements'.
   European Commission supports the IASC/IOSCO agreement and concludes that IAS should be followed
    by EU multinationals.
   IASC holds Board meetings in Düsseldorf, Amsterdam, and Sydney.
   Exposure Drafts Published:
   E50 Intangible Assets
   E51 Reporting Financial Information by Segment
   Final Standards Published:
   New:

   IAS 32 (1995), Financial Instruments: Disclosure and Presentation
1996
   Events
   IASB accelerates its core standards programmed by one year, with completion planned by the end of
    1998.
   International Association of Financial Executives Institutes joins IASC Board. IOSCO takes a seat at the
    IASC Board table as an observer.
   IASC starts a joint project on Provisions with UK Accounting Standards Board.
   A study by the EU Contact Committee finds IAS compatible with EU directives, with minor exceptions.
   US SEC announces its support of the IASC's objective to develop, as expeditiously as possible,
    accounting standards that could be used for preparing financial statements used in cross-border
    offerings.
   US Congress calls for 'a high-quality comprehensive set of generally accepted international accounting
    standards'.
   Australian Stock Exchange supports a programmed to harmonies Australian standards with IAS.
   World Trade Organization encourages successful completion of international accountancy standards.
   IASC holds Board meetings in Brussels, Stockholm, and Barcelona.
   Exposure Drafts Published:
   E52 Earnings Per Share
   E53 Presentation of Financial Statements
   E54 Employee Benefits
   Final Standards Published:
   Revision:

   IAS 12 (revised 1996), Income Taxes
1997 (1)
   Events
   Standing Interpretations Committee is formed. 12 voting members.
   IASC and FASB issue similar EPS standards. IASC, FASB, and CICA issue new Segments standards
    with relatively minor differences.
   IASC discussion paper proposes fair value for all Financial Assets and Financial Liabilities. IASC holds
    45 consultation meetings in 16 countries.
   Actuaries join Consultative Group.
   Arab Society of Certified Accountants calls for all of its 22 member countries to adopt IAS as their
    national GAAP ('Dubai Declaration').
   APEC (Asia-Pacific Economic Cooperation) expresses its support of the efforts of the International
    Accounting Standards Committee to develop international accounting standards.
   Joint Working Group on financial instruments formed with national standard setters.
   People's Republic of China becomes a member of IFAC and joins the IASC Board as observer.
   IASC sponsors a conference of accounting standard setters from 20 countries in Hong Kong.
   FEE calls on Europe to use IASC's Framework.
   US SEC reports to Congress on the outlook for successful completion of a set of international accounting
    standards that would be acceptable in the US.
   IASC appoints a Strategy Working Party (SWP) to make recommendations regarding the future structure
    and operation of IASC following completion of the core standards. First meeting in April.
   IASC sets up its Internet website.
   IASC holds Board meetings in London, Johannesburg, Beijing, and Paris.
1997(2)
   Exposure Drafts Published:
   E55 Impairment of Assets
   E56 Leases
   E57 Interim Financial Reporting
   E58 Discontinuing Operations
   E59 Provisions, Contingent Liabilities and Contingent Assets
   E60 Intangible Assets
   E61 Business Combinations
   Final Standards Published:
   New:

   IAS 33 (1997) Earnings Per Share Revisions:

   IAS 1 (revised 1997) Presentation of Financial Statements
   IAS 14 (revised 1997) Segment Reporting
   IAS 17 (revised 1997) Leases
   Final Interpretations Published:
   SIC 1 Consistency - Different Cost Formulas for Inventories
   SIC 2 Consistency - Capitalization of Borrowing Costs
   SIC 3 Elimination of Unrealized Profits and Losses on Transactions with Associates
1998(1)
   Events
   Stig Enevoldsen of Denmark becomes chairman of IASC.
   New laws in Belgium, France, Germany, and Italy allow large companies to use
    IAS domestically in their consolidated financial statements.
   First official translation of IAS (German).
   IFAC/IASC membership expands to Latin America (new member bodies in
    Bolivia, Costa Rica, El Salvador, Guatemala, Honduras, and Nicaragua) as well
    as Haiti, Iran, and Vietnam, bringing membership to 140 bodies in 101 countries.
   IFAC Public Sector Committee begins a programmed to develop International
    Public Sector Accounting Standards based on IAS.
   Strategy Working Party proposes structural changes (including a bicameral
    standard-setting structure) and closer ties to national standard-setters.
   In response to Asian financial crisis, the G8 Summit, the G7 finance ministers
    and central bank governors, the World Bank, and the IMF all call for rapid
    completion and global adoption of high quality international accounting
    standards.
   International Federation of Stock Exchanges expresses support for IAS.
   IAS published on CD ROM.
   IASC completes the core standards with approval of IAS 39 in December.
   IASC holds Board meetings in London, Kuala Lumpur, Niagara-on-the-Lake,
    Zurich, and Frankfurt.
1998(2)
   Exposure Drafts Published:
   E62 Financial Instruments: Recognition and Measurement
   E63 Events After the Balance Sheet Date
   Final Standards Published:
   New:

   IAS   34 (1998) Interim Financial Reporting
   IAS   35 (1998) Discontinuing Operations
   IAS   36 (1998) Impairment of Assets
   IAS   37 (1998) Provisions, Contingent Liabilities and Contingent Assets
   IAS   38 (1998) Intangible Assets
   IAS   39 (1998) Financial Instruments: Recognition and Measurement Revisions:

   IAS 16 (revised 1998) Property, Plant and Equipment
   IAS 19 (revised 1998) Employee Benefits
   IAS 22 (revised 1998) Business Combinations
   IAS 32 (revised 1998) Financial Instruments: Disclosure and Presentation
   Final Interpretations Published:
   SIC 5 Classification of Financial Instruments - Contingent Settlement Provisions
   SIC 6 Costs of Modifying Existing Software
   SIC 7 Introduction of the Euro
   SIC 8 First-Time Application of IASs as the Primary Basis of Accounting
   SIC 9 Business Combinations - Classification either as Acquisitions or Uniting of Interests
   SIC 10 Government Assistance - No Specific Relation to Operating Activities
   SIC 11 Foreign Exchange - Capitalization of Losses Resulting from Severe Currency Devaluations
   SIC 12 Consolidation - Special Purpose Entities
   SIC 13 Jointly Controlled Entities - Non-Monetary Contributions by Ventures
   SIC 14 Property, Plant and Equipment - Compensation for the Impairment or Loss of Items
1999(1)
   Events
   IOSCO begins its review of IASC core standards.
   IASC Board meetings are opened to public observation. First public meeting is held in
    Washington in March.
   G7 Finance Ministers and IMF urge support for IAS to 'strengthen the international financial
    architecture'.
   New IFAC International Forum on Accountancy Development (IFAD) commits to support
    'use of International Accounting Standards as the minimum benchmark for raising national
    accounting standards' worldwide.
   EC study fins no significant conflicts between IAS and the European Directives. EC adopts
    a financial services action plan that includes use of IAS as 'European GAAP'.
   FEE 'reporting strategy for Europe' strongly supports use of IAS in Europe without requiring
    compliance with EC accounting Directives, plus phase-out of US GAAP.
   Eurasian Federation of Accountants and Auditors plans adoption of IAS in CIS countries.
   Various meetings of SWP to discuss the comments on their initial proposal and to develop
    final recommendations. SWP publishes a revised proposal.
   IASC Board unanimously approves restructuring into 14-member board (12 full-time) under
    an independent board of trustees.
   IASC Board appoints a Nominating Committee, chaired by US SEC Chairman Arthur Levitt,
    to select first Trustees under new IASC structure.
   Looking beyond financial statements, IASC publishes a study of business reporting on the
    Internet.
   IASC holds Board meetings in Washington, Warsaw, Venice, and Amsterdam.
1999(2)
   Exposure Drafts Published:
   E64 Investment Property
   E65 Agriculture
   Final Standards Published:
   Revision:

   IAS 10 (revised 1999) Events After the Balance
    Sheet Date
   Final Interpretations Published:
   SIC 15 Operating Leases - Incentives
   SIC 16 Share Capital - Reacquired Own Equity
    Instruments (Treasury Shares)
2000 (1)
   Events
   Thomas E. Jones (UK citizen, career primarily in the United States) becomes chairman of
    IASC.
   SIC meetings open to public observation.
   Basel Committee expresses support for IAS and for efforts to harmonies accounting
    internationally.
   SEC issues a concept release inviting comments on the use of international accounting
    standards in the United States.
   As part of restructuring programmed, IASC Board approves a new Constitution.
   IOSCO recommends that its members allow multinational issuers to use IASC standards in
    cross-border offerings and listings.
   Nominating Committee announces initial Trustees of the restructured IASC. Paul Volcker,
    former US Federal Reserve Board Chairman, will chair the board of trustees.
   IASC Member Bodies approve IASC's restructuring and a new IASC Constitution.
   European Commission announces a plan to require all EU listed companies to use IAS
    starting no later than 2005.
   Trustees name Sir David Tweedie (chairman of the UK Accounting Standards Board) as
    the first Chairman of the restructured IASC Board.
   Trustees announce search for new Board members. Over 200 applications are received.
   IASC Board approves limited revisions to IAS 12, IAS 19, and IAS 39.
   IASC publishes first batch of Implementation Guidance Q&A on IAS 39.
   IAS 41 Agriculture is approved at the last meeting of the IASC Board (published in 2001).
   IASC holds Board meetings in Sao Paulo, Copenhagen, Tokyo, London.
   As one of its last official acts, the IASC Board approves a Statement to the new IASC
    Board commenting on projects to be carried forward and possible additional projects to be
    undertaken.
2000 (2)
   Exposure Drafts Published:
   E66 Financial Instruments: Recognition and Measurement - Limited Revisions to IAS 39
   E67 Pension Plan Assets
   E68 Income Tax Consequences of Dividends
   Final Standards Published:
   New:

   IAS 40 (2000), Investment Property Revisions:

   IAS 12 (revised 2000) Income Taxes
   IAS 19 (revised 2000) Employee Benefits
   IAS 28 (revised 2000) Accounting for Investments in Associates
   IAS 31 (revised 2000) Financial Reporting of Interests in Joint Ventures
   Final Interpretations Published:
   SIC 17 Equity - Costs of an Equity Transaction
   SIC 18 Consistency - Alternative Methods
   SIC 19 Reporting Currency - Measurement and Presentation of Financial Statements
    under IAS 21 and IAS 29
   SIC 20 Equity Accounting Method - Recognition of Losses
   SIC 21 Income Taxes - Recovery of Revalued Non-Depreciable Assets
   SIC 22 Business Combinations - Subsequent Adjustment of Fair Values and Goodwill
    Initially Reported
   SIC 23 Property, Plant and Equipment - Major Inspection or Overhaul Costs
   SIC 24 Earnings Per Share - Financial Instruments that May Be Settled in Shares
   SIC 25 Income Taxes - Changes in the Tax Status of an Enterprise or its Shareholders
2001 (1)
   Events
   Trustees appoint the initial 14 members of the International Accounting Standards Board.
   In March 2001, IASC Trustees activate Part B of IASC's new Constitution and establish a non-profit Delaware corporation,
    named the International Accounting Standards Committee Foundation, to oversee the IASB.
   On 1 April 2001, the new IASB takes over from the IASC the responsibility for setting International Accounting Standards.
    New Board holds its first meeting, adopts existing IAS and SICs, and deliberates its agenda and other issues.
   Trustees appoint 49 charter members to the IASB Standards Advisory Council. First SAC meeting is held in July.
   European Commission presents legislation to require use of IASC Standards for all listed companies no later than 2005.
   EFRAG (European Financial Reporting Advisory Group) is created by the accounting profession, preparers, users, and
    national standard-setters in EU countries to advise the European Commission on acceptability of individual IAS for Europe,
    as well as to respond to IASB comment documents.
   European Directives amended to allow compliance with IAS 39.
   IASB moves into new offices at 30 Cannon Street, London.
   IASB meets with chairs of those national accounting standards-setting bodies that have a formal liaison relationship with
    IASB - Australia/New Zealand, Canada, France, Germany, Japan, UK, and US - to begin coordinating agendas and setting
    out convergence goals.
   IASB adopts its initial agenda of nine technical projects and agrees to have an advisory or monitoring role on 16 additional
    projects being worked on by partner national standard setters.
   Debate over IASB's stock options project reaches US Congress.
   Seven largest accounting firms strongly endorse IAS for Europe.
   New SEC Chief Accountant urges global convergence of accounting standards.
   Trustees appoint the members of the restructured Standing Interpretations Committee.
   IFAD publishes GAAP 2000 – a comparison of IAS and GAAP in 53 countries – as part of its effort to bring national GAAP up
    to an IAS benchmark.
   IASB holds Board meetings in London (6), Washington, and Paris.
2001 (2)

   Exposure Drafts Published:
   Preface to International Financial Reporting Standards
   Final Standards Published:
   New:

   IAS 41 (2001) Agriculture (approved by old IASC Board in December
    2000).
   Final Interpretations Published:
   SIC 27 Evaluating the Substance of Transactions in the Legal Form of a
    Lease
   SIC 28 Business Combinations - 'Date of Exchange' and Fair Value of
    Equity Instruments
   SIC 29 Disclosure - Service Concession Arrangements
   SIC 30 Reporting Currency - Translation from Measurement Currency
    to Presentation Currency
   SIC 31 Revenue - Barter Transactions Involving Advertising Services
   SIC 33 Consolidation and Equity Method - Potential Voting Rights and
    Allocation of Ownership Interests
2002 (1)
   Events
   IASB Chairman Sir David Tweedie and IASC Foundation Chairman Paul Volcker testify at
    US Senate hearing on Accounting and Investor Protection Issues Raised by Enron and
    Other Public Companies.
   IASB issues its first exposure draft and final Standard on an accounting issue (IAS 19,
    Employee Benefits: The Asset Ceiling).
   SIC renamed to International Financial Reporting Interpretations Committee, with a
    mandate not only to interpret existing IAS and IFRS but also to provide timely guidance on
    matters not addressed in an IAS or IFRS.
   Europe adopts regulation requiring all listed companies, including banks and insurance
    companies, to prepare their consolidated accounts in accordance with IAS starting 2005.
   IASB Board member Robert Herz is appointed chairman of the U.S. Financial Accounting
    Standards Board.
   IASB issues its first exposure draft of a Standard that will be in its new series of
    International Financial Reporting Standards: ED1 First-Time Application of International
    Financial Reporting Standards.
   US accounting reform legislation requires FASB to consider international convergence in
    adopting US GAAP.
   IASB Chairman Sir David Tweedie and IASC Foundation Chairman Paul Volcker both
    speak at the opening plenary session of the World Congress of Accountants in Hong Kong.
   FASB and IASB hold a joint meeting and issue a memorandum of understanding pledging
    convergence of their accounting standards and coordination of their work programmes.
2002 (2) Published:
Exposure Drafts
   Amendment to IAS 19, Employee Benefits: The Asset Ceiling
   Improvements to International Accounting Standards
   Amendments to IAS 32, Financial Instruments: Disclosure and Presentation,
    and IAS 39: Financial Instruments: Recognition and Measurement
   ED 1: First-Time Application of International Financial Reporting Standards
   ED 2: Share-Based Payment
   ED 3: Business Combinations
   Amendments to IAS 36 and IAS 38
   Final Standards Published:
   Revisions:

   Preface to International Financial Reporting Standards (2002), replaced Preface
    to Statements of International Accounting Standards (1982).
   IAS 19 (Revised 2002) Employee Benefits.
   Final Interpretations Published:
   SIC 32 Intangible Assets - Website Costs
2003 (1)
   Events
   IASB holds public roundtable discussions on financial
    instruments. Representatives of 108 organization participate.
   IASB adopts the first standard in its new series of International
    Financial Reporting Standards: IFRS 1, First-time Adoption of
    IFRS.
   IFRIC publishes its first draft Interpretation.
   Based on the recommendation of its Accounting Regulatory
    Committee, the European Commission endorses all existing IAS
    (except IAS 32 and 39) for use in Europe. Official translations are
    published.
   IFAC proposes that, to be a member of IFAC, an accountancy
    body must commit to use its best endeavors to persuade
    governments and standard setting bodies that published private
    sector financial statements should comply with IFRSs.
   IASC Foundation trustees begin a constitution review.
2003 (2)
   Exposure Drafts Published:
   ED 4 Disposal of Non-current Assets and Presentation of Discontinued Operations
   ED 5 Insurance Contracts
   Fair Value Hedge Accounting for a Portfolio Hedge of Interest Rate Risk
   Final Standards Published:
   New:

   IFRS 1 (2003), First-time Adoption of International Financial Reporting Standards
    Revisions:

   IAS 1 Presentation of Financial Statements
   IAS 2 Inventories
   IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors
   IAS 10 Events after the Balance Sheet Date
   IAS 15 Information Reflecting the Effects of Changing Prices – Withdrawn
   IAS 16 Property, Plant and Equipment
   IAS 17 Leases
   IAS 21 The Effects of Changes in Foreign Exchange Rates
   IAS 24 Related Party Disclosures
   IAS 27 Consolidated and Separate Financial Statements
   IAS 28 Investments in Associates
   IAS 31 Interests in Joint Ventures
   IAS 32 Financial Instruments: Presentation and Disclosure
   IAS 33 Earnings per Share
   IAS 39 Financial Instruments: Recognition and Measurement
   IAS 40 Investment Property
2004 (1)
   Events
   IASB and various European groups engage in extensive discussions about IAS 32 and IAS 39.
   European Commission endorses all IASs and IFRSs for use in Europe except that two sections of IAS 39
    are 'carved out'
   Australia, Hong Kong, New Zealand, and Philippines adopt improved IASs and IFRSs virtually word for
    word as national GAAP.
   IASB and Accounting Standards Board of Japan begin convergence project.
   IASB initiates an internal review of its deliberative processes.
   IASC Foundation trustees propose constitutional changes, including super-majority vote.
   First web casts of an IASB board meeting.
   First IFRIC interpretation is published.
   First IASB Discussion Paper is published: Preliminary Views on Accounting Standards for Small and
    Medium-sized Entities.
   Exposure Drafts Published:
   ED 6 Exploration for and Evaluation of Mineral Resources
   ED 7 Financial Instruments: Disclosures
   Amendments to IFRS 3 Business Combinations: Combinations by Contract Alone or Involving Mutual
    Entities
   Amendments to IAS 19 Employee Benefits: Actuarial Gains and Losses, Group Plans and Disclosures
   Amendments to IAS 39 Financial Instruments: Recognition and Measurement - The Fair Value Option
   Amendments to IAS 39 Financial Instruments: Recognition and Measurement - Financial Guarantee
    Contracts and Credit Insurance
   Amendments to IAS 39 Financial Instruments: Recognition and Measurement - Cash Flow Hedge
    Accounting of Forecast Intragroup Transactions
   Amendments to IAS 39 Financial Instruments: Recognition and Measurement - Transition and Initial
    Recognition of Financial Assets and Financial Liabilities
2004 (2)
   Final Standards Published:
   New:

   IFRS 2 Share-based Payment
   IFRS 3 Business Combinations
   IFRS 4 Insurance Contracts
   IFRS 5 Non-current Assets Held for Sale and Discontinued Operations
   IFRS 6 Exploration for and Evaluation of Mineral Assets Revisions:

   IAS 19 Employee Benefits (Actuarial Gains and Losses, Group Plans and Disclosures)
   IAS 36 Impairment of Assets
   IAS 38 Intangible Assets
   IAS 39 Financial Instruments: Recognition and Measurement (Macro Hedging, Transition)
   Final Interpretations Published:
   New:

   IFRIC 1 Changes in Existing Decommissioning, Restoration and Similar Liabilities
   IFRIC 2 Members' Shares in Co-operative Entities and Similar Instruments
   IFRIC 3 Emission Rights
   IFRIC 4 Determining Whether an Arrangement Contains a Lease
   IFRIC 5 Rights to Interests Arising from Decommissioning, Restoration and Environmental
    Rehabilitation Funds Revisions:

   SIC 12 Consolidation–Special Purpose Entities (Scope amendment)
2005 (1)
   Events
   Meetings of IASB working groups opened to public observation.
   Constitutional changes adopted including expanding IASCF trustees from 19 to
    22, raising IASB vote from simple majority to 9 out of 14, and independent chair
    of SAC.
   IASB Board member appointed as chair of IFRIC.
   SEC publishes 'roadmap' to eliminating reconciliation from IFRSs to US GAAP.
   First independent chairman of SAC appointed.
   New IASB publication series proposed, but abandoned after public comments:
    Technical Corrections.
   IASCF Trustees form Trustee Appointments Advisory Group.
   Exposure Drafts Published:
   Amendments to IFRS 1 First-time Adoption of International Financial Reporting
    Standards and IFRS 6 Exploration for and Evaluation of Mineral Resources.
   Amendments to IAS 19 Employee Benefits
   Amendments to IAS 27 Consolidated and Separate Financial Statements
   Amendments to IAS 37 Provisions, Contingent Liabilities and Contingent Assets
   Replacement of IFRS 3 Business Combinations
2005 (2)
   Final Standards Published:
   New:

   IFRS 7 Financial Instruments: Disclosures Revisions:

   IAS 39 Financial Instruments: Recognition and Measurement – Cash Flow Hedge
    Accounting of Forecast Intragroup Transactions
   IAS 39 Financial Instruments: Recognition and Measurement – Fair Value Option
   Amendments to IFRS 1 First-time Adoption of International Financial Reporting Standards
    and IFRS 6 Exploration for and Evaluation of Mineral Resources
   Amendments to IAS 39 Financial Instruments: Recognition and Measurement and IFRS 4
    Insurance Contracts with respect to financial guarantee contracts
   Amendments to IAS 1 Presentation of Financial Statements with respect to capital
    disclosures
   Amendment to IAS 21 The Effects of Changes in Foreign Exchange Rates with respect to
    net investment in a foreign operation
   Final Interpretations Published:
   New:

   IFRIC 6 Liabilities Arising from Participating in a Specific Market - Waste Electrical and
    Electronic Equipment
   IFRIC 7 Applying the Restatement Approach under IAS 29 Financial Reporting in
    Hyperinflationary Economies Revisions:

   IFRIC 3 Emission Rights – Withdrawn
2006 (1)
   Events
   Updated IASB-FASB agreement on convergence
   IASB statement on working relationships with other accounting
    standard setters
   Trustees publish Due Process Handbook for the IASB
   Trustees propose due process steps for IFRIC
   IOSCO database on enforcement of IFRSs by securities regulators
   IASB announces that no new major standards will be effective before
    2009
   Exposure Drafts Published:
   ED 8 Operating Segments
   Amendments to IAS 1 Presentation of Financial Statements: A Revised
    Presentation
   Amendment to IFRS 2 Share-based Payment: Vesting Conditions and
    Cancellations
   Amendment to IAS 23 Borrowing Costs
   Financial Instruments Put table at Fair Value and Obligations Arising on
    Liquidation
2006 (2)
   Final Standards Published:
   New:

   IFRS 8 Operating Segments Revisions:

   Final Interpretations Published:
   New:

   IFRIC 8 Scope of IFRS 2
   IFRIC 9 Reassessment of Embedded Derivatives
   IFRIC 10 Interim Financial Reporting and Impairment
   IFRIC 11 IFRS 2 Group and Treasury Share
    Transactions
   IFRIC 12 Service Concession Arrangements
2007
   Events
   Board proposes a separate IFRS for entities that are not in the public
    capital markets
   Trustees publish Due Process Handbook for the IFRIC
   Trustees propose to expand IFRIC to 14 members, from 12
   Exposure Drafts Published:
   International Financial Reporting Standard for Small and Medium-sized
    Entities
   Amendments to IAS 24 Related Party Disclosures
   Amendments to IFRS 1 First-time Adoption of International Financial
    Reporting Standards
   Final Standards Published:
   New:
    Revisions:

   IAS 23 Borrowing Costs
   Final Interpretations Published:
   New:
    Revisions:

								
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