03 April 2007

IASB: Clarification on SME Project

After publishing its draft IFRS for SMEs on 15 February the IASB now issued a staff overview of the exposure draft of the proposed IFRS for SMEs. It is intended as a high level introduction to the proposals and to clarify the projects objective. The objective of this project is to develop an International Financial Reporting Standard tailored to meet the needs of SMEs. The Board is developing financial reporting standards for SMEs to provide a simplified, self-contained set of standards that are appropriate for smaller, non-listed companies but still based on full IFRSs, with modifications based on user needs and cost-benefit considerations.

It will provide emerging economies with an internationally recognised basis for financial reporting, helping to significantly raise standards in many countries whilst offering a clear upgrade path to full IFRS compliance

The project is not part of the Memorandum of Understanding which sets out a Roadmap of Convergence between IFRSs and US GAAP 2006-2008. US GAAP does not have a separate financial reporting standard for SMEs.

The Board plans to issue a final IFRS for SMEs in the second half of 2008.

Press release
Full project summary
2004 Discussion Paper Preliminary views on Accounting Standards for Small and Medium-sized Entities and for comments received on the Discussion Paper
Comment letters received on this Discussion Paper
Staff Questionnaire on Possible Recognition and measurement Modifications for Small and Medium-sized Entities (SMEs)
Responses received
MoU
Press release on MoU
Working Group on SMEs
Press release on Exposure Drafts for SMEs
Exposure Draft of a Proposed IFRS for Small and Medium-sized Entities
Exposure Draft of a Proposed IFRS for Small and Medium-sized Entities - Basis for Conclusions
Exposure Draft of a Proposed IFRS for Small and Medium-sized Entities- Draft Implementation Guidance - Illustrative Financial Statements and Disclosure Checklist

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