International Accounting Standards Board
Encyclopedia
The International Accounting Standards Board (IASB) is an independent, privately funded accounting standard-setter based in London
, England.
The IASB was founded on April 1, 2001 as the successor to the International Accounting Standards Committee
(IASC). It is responsible for developing International Financial Reporting Standards
(the new name for International Accounting Standards issued after 2001), and promoting the use and application of these standards.
. On February 6, 2001, the International Financial Reporting Standards Foundation was also incorporated as a tax-exempt organization in Delaware. The IFRS Foundation is the parent entity of the International Accounting Standards Board (IASB), an independent accounting standard-setter based in London, England.
On 1 March 2001, the IASB assumed accounting standard-setting responsibilities from its predecessor body, the International Accounting Standards Committee
(IASC). This was the culmination of a restructuring based on the recommendations of the report Recommendations on Shaping IASC for the Future.
The IASB structure has the following main features: the IFRS Foundation is an independent organization having two main bodies, the Trustees and the IASB, as well as a IFRS Advisory Council and the IFRS Interpretations Committee (formerly the IFRIC). The IASC Foundation Trustees appoint the IASB members, exercise oversight and raise the funds needed, but the IASB has responsibility for setting International Financial Reporting Standards
(international accounting standards).
The IFRS Interpretations Committee has 14 members. Its brief is to provide timely guidance on issues that arise in practice.
A unanimous vote is not necessary in order for the publication of a Standard, exposure draft, or final "IFRIC" Interpretation. The Board's 2008 Due Process manual stated that approval by nine of the members is required.
The members (as of July 2011) are:
Former IASB members include James J. Leisenring
, Robert P. Garnett, Mary Barth, David Tweedie
, Gilbert Gélard, Warren McGregor, and Tatsumi Yamada.
succeeded David Tweedie as Chairman. David Tweedie had served as the Board's Chairman since its creation in 2001.
Discussions
London
London is the capital city of :England and the :United Kingdom, the largest metropolitan area in the United Kingdom, and the largest urban zone in the European Union by most measures. Located on the River Thames, London has been a major settlement for two millennia, its history going back to its...
, England.
The IASB was founded on April 1, 2001 as the successor to the International Accounting Standards Committee
International Accounting Standards Committee
International Accounting Standards Committee was founded in June 1973 in London and replaced by the International Accounting Standards Board on April 1, 2001...
(IASC). It is responsible for developing International Financial Reporting Standards
International Financial Reporting Standards
International Financial Reporting Standards are principles-based standards, interpretations and the framework adopted by the International Accounting Standards Board ....
(the new name for International Accounting Standards issued after 2001), and promoting the use and application of these standards.
Foundation
On January 25, 2001, the International Accounting Standards Foundation (IASF) was incorporated as a tax-exempt organization in the US state of DelawareDelaware
Delaware is a U.S. state located on the Atlantic Coast in the Mid-Atlantic region of the United States. It is bordered to the south and west by Maryland, and to the north by Pennsylvania...
. On February 6, 2001, the International Financial Reporting Standards Foundation was also incorporated as a tax-exempt organization in Delaware. The IFRS Foundation is the parent entity of the International Accounting Standards Board (IASB), an independent accounting standard-setter based in London, England.
On 1 March 2001, the IASB assumed accounting standard-setting responsibilities from its predecessor body, the International Accounting Standards Committee
International Accounting Standards Committee
International Accounting Standards Committee was founded in June 1973 in London and replaced by the International Accounting Standards Board on April 1, 2001...
(IASC). This was the culmination of a restructuring based on the recommendations of the report Recommendations on Shaping IASC for the Future.
The IASB structure has the following main features: the IFRS Foundation is an independent organization having two main bodies, the Trustees and the IASB, as well as a IFRS Advisory Council and the IFRS Interpretations Committee (formerly the IFRIC). The IASC Foundation Trustees appoint the IASB members, exercise oversight and raise the funds needed, but the IASB has responsibility for setting International Financial Reporting Standards
International Financial Reporting Standards
International Financial Reporting Standards are principles-based standards, interpretations and the framework adopted by the International Accounting Standards Board ....
(international accounting standards).
Members
The IASB has 15 Board members, each with one vote. They are selected as a group of experts with a mix of experience of standard-setting, preparing and using accounts, and academic work. At their January 2009 meeting the Trustees of the Foundation concluded the first part of the second Constitution Review, announcing the creation of a Monitoring Board and the expansion of the IASB to 16 members and giving more consideration to the geographical composition of the IASB.The IFRS Interpretations Committee has 14 members. Its brief is to provide timely guidance on issues that arise in practice.
A unanimous vote is not necessary in order for the publication of a Standard, exposure draft, or final "IFRIC" Interpretation. The Board's 2008 Due Process manual stated that approval by nine of the members is required.
The members (as of July 2011) are:
- Hans HoogervorstHans HoogervorstHans Hoogervorst is a Dutch political and business figure. He is chairman of the International Accounting Standards Board.-Career:...
(Chairman), Netherlands, former Minister of Finance, Minister of FinanceMinistry of Finance (Netherlands)The Ministry of Finance is the Dutch ministry of finance: it is occupied with the national budget, taxation and financial economic policy, including supervision of financial markets... - Ian Mackintosh (Vice-chairman), New Zealand, former Coopers & Lybrand, Chief Accountant Australian Securities and Investments CommissionAustralian Securities and Investments CommissionThe Australian Securities & Investments Commission is an independent Australian government body that acts as Australia's corporate regulator...
- Stephen Cooper, UK, UBS Investment Research
- Phillipe Danjou, France, former Arthur AndersenArthur AndersenArthur Andersen LLP, based in Chicago, was once one of the "Big Five" accounting firms among PricewaterhouseCoopers, Deloitte Touche Tohmatsu, Ernst & Young and KPMG, providing auditing, tax, and consulting services to large corporations...
, AMF (Financial Markets Authority of France) - Jan Engström, Sweden, former VolvoVolvoAB Volvo is a Swedish builder of commercial vehicles, including trucks, buses and construction equipment. Volvo also supplies marine and industrial drive systems, aerospace components and financial services...
Group - Patrick Finnegan, USA, formerly of the CFA InstituteCFA InstituteCFA Institute is headquartered in the United States of America at Charlottesville, Virginia, with offices in Hong Kong and London. Formerly known as the Association for Investment Management and Research , CFA Institute awards the Chartered Financial Analyst designation...
. - Amaro Luiz de Oliveira Gomes
- Prabhakar Kalavacherla (‘PK’) (was an audit partner at KPMG LLP in the San Francisco office )
- Dr Elke König (Germany)
- Patricia McConnell, USA, formerly of Bear StearnsBear StearnsThe Bear Stearns Companies, Inc. based in New York City, was a global investment bank and securities trading and brokerage, until its sale to JPMorgan Chase in 2008 during the global financial crisis and recession...
- Takatsugu Ochi (Japan)
- Paul Pacter (US)
- Darrel Scott (South Africa)
- John T. Smith, USA, former Deloitte, FASB
- Zhang Wei-Guo, China, former Professor in Shanghai, China Acc. Standards Committee
Former IASB members include James J. Leisenring
James J. Leisenring
-Biography:He was director of research and director of international activities of the Financial Accounting Standards Board , and was the first chairman of FASB's Emerging Issues Task Force...
, Robert P. Garnett, Mary Barth, David Tweedie
David Tweedie
Sir David Tweedie is a Scottish accountant. As Chairman of the International Accounting Standards Board from 2001 until June 2011, he has been a global leader in the accounting profession.-Career:...
, Gilbert Gélard, Warren McGregor, and Tatsumi Yamada.
Chairmen
On July 1, 2011, Hans HoogervorstHans Hoogervorst
Hans Hoogervorst is a Dutch political and business figure. He is chairman of the International Accounting Standards Board.-Career:...
succeeded David Tweedie as Chairman. David Tweedie had served as the Board's Chairman since its creation in 2001.
Due process
The IASB Handbook describes the consultative arrangements of the IASB. The Board also publishes a brief guide on how standards are developed.Funding
The IFRS Foundation raises funds for the operation of the IASB. Most contributors are banks and other companies which use or have an interest in promoting international standards. In 2008, American companies gave £2.4m, more than those of any other country. However, contributions fell in the wake of the financial crisis of 2007–2010, and a shortfall was reported in 2010.External links
National accounting standard-setting bodies- The Institute of Chartered Accountants of Pakistan (ICAP)
- Accounting Standards Board of Japan
- Australian Accounting Standards Board
- Accounting Standards Board - South Africa
- Accounting Standards Review Board - NZ
- Federal Accounting Standards Advisory Board - US
- Financial Accounting Standards Board - US
- Malaysian Accounting Standards Board
- The Accounting Standards Board Limited - UK
- International Public Sector Accounting Standards Board - US
- Iranian accounting standards board
- Singapore Accounting Standards Council
Discussions
- IFRS List - The online community about IFRS/IAS and Auditing
- CFO.com's FASB-IASB news archive
- FASB and IASB: Dependence Despite Independence (Social Science Research Network paper)