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FUTURE OF IRISH AND UK GAAP Financial Reporting Exposure Drafts (FREDs) 46 to 48
23RD FEBRUARY 2012
Consultative Committee of Accountancy Bodies - Ireland
The Future of UK Financial Reporting Standards
Michelle Sansom & Jennifer Guest,
Project Directors
UK Accounting Standards Board
23 February 2012
Over 290 responses to FREDs 43 and 44
Over 100 responses to FRED 45
The status of ASB deliberations: Responses to FREDs 43, 44 & 45
Oct 2010
Nov 2010
Dec 2010
Jan 2011
Feb 2011
Mar 2011
Apr 2011
May 2011
Jun 2011
FRED 45 issued for public benefit
entities
FREDs 43/44 issued
Extensive outreach programme ends
and comment period closes
Extensive redeliberation and regular published updates on tentative
decisions
FREDs 46/47/48 issued
Jul 2011
Aug 2011
Sep 2011
Oct 2011
Nov 2011
Dec 2011
Jan 2012
3
Key Comments
Acceptance of a need for modernization
Approval of use of IFRS for SME’s
BUT
Should we mandate full IFRS for companies beyond those fully listed?
Why eliminate options currently in UK GAAP and also in full IFRS?
Why not update the FRSSE?
4
Amendments made to IFRS for SMEs in preparing FRED 48
The ASB agreed and updated its guidelines for amending
the IFRS for SMEs:
changes for accounting treatments that exist in current FRSs
and EU-adopted IFRS
changes should normally be consistent with EU-adopted
IFRS
make use, where possible, of existing exemptions in
company law to avoid gold-plating and
Formats simplified.
5
6
Amendments made to IFRS for SMEs in preparing FRED 48
Application of the guidelines re-introduced a number of accounting options for example:
Revaluation of property, plant and equipment
Capitalisation of development expenditure
Capitalisation of borrowing costs
7
What about public accountability?
The concept of public accountability has been eliminated: The costs of applying EU-adopted IFRS, were considered
to outweigh the benefits
Concerns continued to be raised about the practical application of the definition of public accountability.
For some of these entities additional requirements have been included in FRED 48, eg financial institutions
The proposed reporting framework (FRED 46)
A framework based on proportional financial reporting:
In addition, qualifying subsidiaries and ultimate parents may
apply FRED 47 ‘Reduced Disclosure Framework’ – EU-adopted IFRS with reduced disclosures.
FRSSE FRS 102 EU-adopted IFRS
Entities eligible for small companies regime
Entities eligible for the small companies regime
Entities eligible for the small companies regime
Entities not small and not required to apply EU-adopted IFRS
Entities not small and not required to apply EU-adopted IFRS
Entities required to apply EU-adopted IFRS.
8
Key facts about the proposals: How FRED 48 differs from current accounting
Revenue recognition – similar approach but different words: service contracts
construction contracts
contracts with contingent fees
Investment properties - recognised at fair value through profit & loss, rather than through reserves: increased volatility of profit/loss for the year
consider implications for distributable reserves
9
Key facts about the proposals: How FRED 48 differs from current accounting
Intangible assets – could see more recognised as part of future acquisitions
revised definition of intangible assets
Employee benefits – required to accrue for short-term employee benefits (holiday pay)
will need to measure holiday earned, but not taken
might be easier in practice if holiday year coincides with financial year
10
Key facts about the proposals: How FRED 48 differs from current UK accounting
Leases – high level definitions the same, but…
some differences in detailed application
no requirement to split land and buildings
retrospective – may need to restate operating leases as finance leases in opening balance sheet
leases incentives – same principle but period not specified; full IFRS differs from UK accounting standards
no reference to detail of IFRIC 4; presumption that outsourcing arrangements include a lease
11
Key facts about the proposals: How FRED 48 differs from current accounting
Foreign exchange: Not permitted to use contract rate for sales and purchases,
must be spot rate
no change in cash flows but …
if previously used contracted rates, gains and losses from exchange rate movements will now be disclosed separately – for example movement between spot rate and contracted rate
may need systems changes
May now choose a presentation currency other than functional currency
might be useful for subsidiaries of global groups
12
Key facts about the proposals: How FRED 48 differs from current accounting
Equity investments: where fair value is reliably measurable, use fair value
through profit and loss;
little practical impact? but more volatility where applies
Impairment of financial assets: includes ‘bad debt’ provision for trade debtors, no change
must be based on objective evidence
can still include ‘collective’ provision, as long as based on objective evidence
13
Key facts about the proposals: How FRED 48 differs from current accounting
Pensions For defined benefit (final salary) schemes:
Group schemes can no longer recognise surplus/deficit in group accounts only
Where contractual agreement for charging the cost as a whole for the scheme between members - cost recognised
Where no agreement the legal sponsor recognises the full surplus/deficit in its individual accounts
Consider implications for distributable reserves
14
Key facts about the proposals: How FRED 48 differs from current accounting
Pensions For defined benefit schemes presentation requirements are
changed:
Recognised in the period
Profit or loss
Other
comprehensive
income
Service cost
Net Interest Income
Remeasurements
15
Key facts about the proposals: How FRED 48 differs from current accounting
Acquisitions
Goodwill has a finite useful life
amortise on a systematic basis over life
prospective, but in practice, unlikely to need to ‘re-life’ existing goodwill
12 months to make adjustments eg to fair values
16
Key facts about the proposals: How FRED 48 differs from current accounting
Taxation
Not IFRS for SMEs, nor IAS 12, but UK solution
Less complex than IAS 12, but in many cases will lead to same deferred tax
Differences include no discounting
must provide for deferred tax on revaluations
17
Key facts about the proposals: How FRED 48 differs from current accounting
Financial instruments:
Changing requirements for recognition & measurement determine whether financial instruments are ‘basic’
straight-forward accounting for ‘basic’ instruments
Derivatives are not ‘basic’ and are fair valued foreign currency forward contracts.
interest rate swaps
Possible use of hedge accounting more complex than SSAP 20
18
Key facts about the proposals: How FRED 48 differs from current accounting
Proposed additional disclosures for financial
institutions:
ASB tentatively decided that to include additional disclosures for financial institutions
financial instruments central to the business model
necessary to reflect risks arising from financial instruments
19
Key facts about the proposals: Sectors and industries with particular financial reporting issues
Public benefit entities (PBEs) additional PBE requirements worked in to FRED 48
all current SORPs to be retained and updated
Other SORPs
Update or withdraw? SORPs
Retain and update Pension funds
Oil and gas
Limited liability partnerships
Investment companies
Authorised funds
Separate consultation Insurance
Withdraw Leasing
Banking segments
20
Key facts about the proposals: What is FRED 47?
FRED 47 sets out reduced disclosures for qualifying entities that otherwise apply the requirements of EU-adopted IFRS.
A qualifying entity is a subsidiary or an ultimate parent.
21
Key facts about the proposals: What is FRED 47?
Qualifying entities need not disclose: A cash flow statement (IAS 7);
Related party transactions between wholly-owned members of the same group (IAS 24); and
Selected disclosures from IFRS 1, IFRS 2, IFRS 5, IAS 1, IAS 8, IAS 16, IAS 36 and IAS 38
Also, qualifying entities which are not financial institutions need not provide the disclosures required by IFRS 7 and IFRS 13
22
Next steps in the project: Update FRSSE
Current FRSSE
One-stop-shop for accounting and legal
requirements for small entities
Offers some simplifications from full UK accounting standards
23
Next steps in the project: Update FRSSE
Options for revision of FRSSE
Required Consistency with legal requirements
Possible options Non-mandatory guidance on disclosure?
Consistency with draft FRS 102
Update language?
Update accounting requirements?
24
Micro-companies
European agreement to simplify accounting requirements
BIS consultation later in 2012
FRSSE would not be applicable to micro-companies?
25
26
Conclusion
ASB has listened to feedback
Short modern standard suitable for wide range of companies
Firmly rooted in IFRS
Many companies will see little change
Updating under ASB control – normally every 3 years
No change to the FRSSE – yet!
FUTURE OF IRISH AND UK GAAP Financial Reporting Exposure Drafts (FREDs) 46 to 48
23RD FEBRUARY 2012
Consultative Committee of Accountancy Bodies - Ireland
FRED 46 – 48 – CAI/ASB Forum
23 February 2012
A Practitioner Perspective
Liam McQuaid
Managing Partner
28
FRED 46 – 48
Overview of Practitioner Issues
• Introducing – Liam McQuaid
• Congratulations
• Some Issues with the FRED 46 – 48
• Key issues for CASE constituency
• FRSSE changes
• Basic differences to the FRSSE
• Conclusion
FRED 46 – 48 – CAI / ASB Forum 23/02/2012 29
Introducing Liam McQuaid
• Managing Partner - Duignan Carthy O’Neill
• Director AGN International – International
Association of Duignan Carthy O’Neill
• Member of ASB CASE Committee
• Member of Accounting Committee
Chartered Accountants Ireland
FRED 46 – 48 – CAI / ASB Forum 23/02/2012 30
Congratulations
• To ASB on FRED 46/47/48 - Excellent document
However
FRED 46 – 48 – CAI / ASB Forum 23/02/2012 31
Some Issues with FRED 46 – 48
• Simplification opportunity missed
• Now have excellent compendium of FRS/UITF/IFRS
in one document
• Significant changes from FRED 43 – 45 and may be
more
• IAS 39 update
• Related parties
• Merger accounting
• Respondent favourites
FRED 46 – 48 – CAI / ASB Forum 23/02/2012 32
Some Issues with FRED 46 – 48
• Financial instruments - Section 11 & 12 to change
- Fair value measurement
• Not stand alone - Cross reference to IFRS
• Pension funds - Need SORP update
- Exclude actuarial liabilities
• Co-operatives - Fair value investments
• Disclosure exemptions for subsidiaries are welcome
Fred 46 – 48 – CAI / ASB Forum 23/02/2012 33
Key issues for CASE Constituency
FRED 46 – 48 – CAI / ASB Forum 23/02/2012
Two of the following three
Sales Gross Assets Employees
R.O.I. €3.8m €1.9m <50
U.K. Stg£6.5m Stg£3.2m <50
EU Directive Proposal €10.0m €5.0m <50
• Number of UK Entities
• Small Entity not so small
Number %
Small / FRSSE 1,959,000 97.6
Medium 40,000 2.0
Quoted parent & subsidiaries using IFRS
7,200
________
2,006,200
________
0.4
_____
100
_____
• Increase small thresholds in R.O.I.
34
Key Issues for CASE Constituency
• EU Plans for Small Entities - Mandatory limited disclosures
- True and fair accounts
- Micros exempt
• Major revision of FRSSE when directive issues
• Opportunity to simplify accounting for small entities
• Consider strongly move to revised FRSSE if small entity
“All the great things are simple” Winston Churchill
FRED 46 – 48 – CAI / ASB Forum 23/02/2012 35
FRED 48 FRSSE Changes
• Capitalised Goodwill & Intangible - useful life 20 to
5 years
• Asset impairment to be reviewed
• Related Party - Exemption for wholly owned entity
- Close family definition
- Related party definition
FRED 46 – 48 – CAI / ASB Forum 23/02/2012 36
FRSSE & FRED 48 Compared
FRED 46 – 48 – CAI / ASB Forum 23/02/2012
Topic FRSSE FRED 48
Scope Small Entities Entities not required to apply EU -
adopted IFRS and not small
Cash Flow Statement None Required (with exceptions)
Investment Property Market value changes
to STRGL
Fair value changes to P/L account
Listed Investments At cost or fair value At fair value
Deferred Tax No recognition on
revaluations
Recognition on revaluations
Employee Benefit No guidance Recognise holiday pay accrual
Foreign currency
translation
Can use contract rate Cannot use contract rate
Specialised activities Not addressed Addressed
Company Law Included Excluded
37
Conclusion
• FRED 46 – 48 is an excellent compendium of
FRS/UITF and IFRS and not a simplified set of
standards as envisaged by IFRS for SMEs.
• The development of the FRSSE as a standard for small
entities, which is EU compliant, presents a unique
opportunity to simplify accounting for small entities
and is now essential to service the accounting needs of
the CASE constituency.
“The secret of all victory lies in the organisation of the non-obvious”
Marcus Aurelius
FRED 46 – 48 – CAI / ASB Forum 23/02/2012 38
Duignan Carthy O’Neill, Chartered Accountants
84 Northumberland Road, Dublin 4, Ireland.
Contact: Liam McQuaid
(01) 668 2404
liammcquaid@dcon.ie
Website: www.dcon.ie
FRED 46 – 48 – CAI / ASB Forum 23/02/2012 39
FUTURE OF IRISH AND UK GAAP Financial Reporting Exposure Drafts (FREDs) 46 to 48
23RD FEBRUARY 2012
Consultative Committee of Accountancy Bodies - Ireland
PwC
Agenda
• How do the proposals impact Ireland?
• The ASB is listening
Slide 42
February 2012 CCAB-I Presentation
PwC
How do the proposals impact Ireland?
What makes Ireland famous? Some ideas ….
What makes Ireland famous?
Open and welcoming, tourism
Food and drink, agriculture
Heritage, culture, Island of Saints and Scholars
Leprechauns
Corporation tax rate
Slide 45
February 2012 CCAB-I Presentation
PwC
How do the proposals impact Ireland?
What makes Ireland famous? How do the proposals impact Ireland?
Opening and welcoming, tourism
Food and drink, agriculture
Heritage, culture, Island of Saints and Scholars
Leprechauns
Corporation tax rate
Slide 46
February 2012 CCAB-I Presentation
PwC
How do the proposals impact Ireland?
What makes Ireland famous? How do the proposals impact Ireland?
Opening and welcoming, tourism Foreign direct investment – subsidiaries
IFSC & Investment Funds
Food and drink Accounting for biological assets
Heritage, culture, Island of Saints and Scholars
Accounting for heritage assets, accounting by charities
Leprechauns Small company size thresholds
Corporation tax rate New model to calculate deferred tax
Slide 47
February 2012 CCAB-I Presentation
PwC
How do the proposals impact Ireland?
IFSC & Investments Funds Foreign Direct Investment – Subsidiaries
Accounting for biological assets
Accounting for heritage assets and accounting by charities
Small company size thresholds
New model of calculating deferred tax
Slide 48
February 2012 CCAB-I Presentation
PwC
How do the proposals impact Ireland?
IFSC & Investments Funds Foreign Direct Investment – Subsidiaries
Slide 49
February 2012 CCAB-I Presentation
PwC
IFSC & Investment Funds
• The Irish funds industry services assets worth over Euro 1.8 trillion held in over 11,000 funds#
• The centre is host to half of the world’s top 50 banks and to half of the top 20 insurance companies*
# Source – Irish Funds Industry Association website
* Source – ifsc.ie
Slide 50
February 2012 CCAB-I Presentation
PwC
IFSC & Investment Funds
• GOOD NEWS for the IFSC and investment funds
• No mandatory transition to IFRS
• Can use the FRS or IFRS.
• The FRS means;
- Less disclosure compared to IFRS (e.g. new IFRSs not yet effective, critical accounting estimates and judgements, share based payments ….)
- Defers mandatory application of new IFRSs, e.g. IFRS 10, IFRS 13
• The FRS has been upgraded to prescribe disclosures for ‘financial institutions’ that are based on IFRS 7
Slide 51
February 2012 CCAB-I Presentation
PwC
IFSC & Investment Funds
Open for Debate
Definition of ‘Financial Institution’ aims to capture
“Entities seeking to generate wealth from financial instruments”, e.g. banks, building societies, insurers, funds, credit unions, friendly
societies.
ASB Question #4
‘Do you agree with the definition of a financial institution?’
Slide 52
February 2012 CCAB-I Presentation
PwC
Foreign Direct Investment - Subsidiaries
• GOOD NEWS for subsidiaries.
• The FREDs develop on the ‘reduced disclosure framework’ of previous proposals.
• Available to a qualifying entity – “member of a group that prepares publicly available financial statements, which give a true and fair view, in which that member is consolidated”.
• Individual accounts only.
• Options available to ‘qualifying entity’;
- Full IFRS
- IFRS group reporting numbers but without full IFRS disclosures
- The FRS
- The FRS with reduced disclosure
Slide 53
February 2012 CCAB-I Presentation
PwC
Foreign Direct Investment - Subsidiaries
“It is envisaged that the provision of these disclosure exemptions could result in cost savings in the preparation of
financial statements of subsidiaries and ultimate parents, without reducing the quality of financial reporting.”
FRED 47, summary para 5
Proposed exemptions include;
• Group share based payment arrangements
• Financial instrument disclosures (unless a ‘financial institution’)
• Cash flow statement …..
Slide 54
February 2012 CCAB-I Presentation
PwC
Foreign Direct Investment - Subsidiaries
What’s not exempted;
• Certain related party disclosures
Slide 55
February 2012 CCAB-I Presentation
PwC
Foreign Direct Investment - Subsidiaries
Open for Debate
Related Party Disclosures
ASB Question #6
‘Do you consider that the related party disclosure requirements in section 33 of FRED 48 are sufficient to meet the needs of preparers and
users?’
Slide 56
February 2012 CCAB-I Presentation
PwC
Foreign Direct Investment - Subsidiaries
What’s not exempted;
• Certain related party disclosures
• Financial instrument disclosures for ‘qualifying entities’ that are ‘financial institutions’
Slide 57
February 2012 CCAB-I Presentation
PwC
Foreign Direct Investment - Subsidiaries
Open for Debate (the FRS only)
Financial instrument disclosures for a ‘qualifying entity’ that is a ‘financial institution’
ASB Question #3
Should a ‘qualifying entity’ that is a ‘financial institution’ have any exemption from the disclosure requirements of IFRS 7 and IFRS 13?
Slide 58
February 2012 CCAB-I Presentation
PwC
How do the proposals impact Ireland?
IFSC & Investments Funds Foreign Direct Investment – Subsidiaries
Accounting for biological assets
Accounting for heritage assets and accounting by charities
Small company size thresholds
New model of calculating deferred tax
Slide 59
February 2012 CCAB-I Presentation
PwC
How do the proposals impact Ireland?
Accounting for biological assets
Slide 60
February 2012 CCAB-I Presentation
PwC
Biological Assets
“A biological asset is a living animal or plant.”
Slide 61
February 2012 CCAB-I Presentation
PwC
Biological assets
Examples;
• Standing timber
• Fruit trees
• Livestock
• Plants
• Measured initially and subsequently at
fair value less costs to sell
• Changes in fair value less costs to sell shall
be recognised in profit or loss
Slide 62
February 2012 CCAB-I Presentation
PwC
Biological assets
What does this mean?
• Currently no discrete Irish GAAP accounting standard for biological assets
• More complexity in calculating fair value
• More estimation involved – estimating future cash flows
• More volatility in profit or loss
• Consistent with IFRS
• Fair value reflects the changes brought
about by biological transformation
Slide 63
February 2012 CCAB-I Presentation
PwC
Biological assets
Open for Debate
Is measurement of biological assets at fair value less costs to sell too onerous?
ASB Question #5
“Whether and, if so, why the proposals for agricultural activities are considered unduly arduous? What alternatives should be proposed?”
Slide 64
February 2012 CCAB-I Presentation
PwC
How do the proposals impact Ireland?
IFSC & Investments Funds Foreign Direct Investment – Subsidiaries
Accounting for biological assets
Accounting for heritage assets and accounting by charities
Small company size thresholds
New model of calculating deferred tax
Slide 65
February 2012 CCAB-I Presentation
PwC
How do the proposals impact Ireland?
Accounting for heritage assets and accounting by charities
Slide 66
February 2012 CCAB-I Presentation
PwC
Accounting for heritage assets
“An item of property, plant and equipment with historic, artistic,
scientific, technological, geophysical, or environmental qualities that is held and
maintained principally for its contribution to knowledge and culture.”
Slide 67
February 2012 CCAB-I Presentation
PwC
Accounting for heritage assets
• FRS 30 incorporated into the FRS
• Heritage assets presented separately in the balance sheet
• Considered for impairment annually
• Measured at cost or valuation
• How is impairment calculated/measured?
• Is information about cost or value of heritage assets available?
Slide 68
February 2012 CCAB-I Presentation
PwC
Accounting by charities
• FRED 45 – incorporated into the FRS
• Public benefit entity SORPs to be maintained and updated
• Includes guidance on;
- Non-reciprocal transactions
- Social housing
• Compliance with Co Law formats for presentation
• Charities SORP remains a separate document
Slide 69
February 2012 CCAB-I Presentation
PwC
Accounting by charities
Open for Debate
Will the public benefit entity SORPs be updated in time?
ASB Question #8
“Do you agree with the effective date? If not, what alternative date would you prefer and why?”
Slide 70
February 2012 CCAB-I Presentation
PwC
How do the proposals impact Ireland?
IFSC & Investments Funds Foreign Direct Investment – Subsidiaries
Accounting for biological assets
Accounting for heritage assets and accounting by charities
Small company size thresholds
New model of calculating deferred tax
Slide 71
February 2012 CCAB-I Presentation
PwC
How do the proposals impact Ireland?
Small company size thresholds
Slide 72
February 2012 CCAB-I Presentation
PwC
Small Company Thresholds
Difference in thresholds between UK and ROI
ROI UK Euro
Equivalent*
UK
Balance sheet
total not
exceeding
€1.9m €3.884 £3.26m
Turnover not
exceeding
€3.81m €7.744m £6.5m
Employees not
exceeding
50 50 50
* Rate of 1.1914 used
Slide 73
February 2012 CCAB-I Presentation
PwC
How do the proposals impact Ireland?
IFSC & Investments Funds Foreign Direct Investment – Subsidiaries
Accounting for biological assets
Accounting for heritage assets and accounting by charities
Small company size thresholds
New model of calculating deferred tax
Slide 74
February 2012 CCAB-I Presentation
PwC
How do the proposals impact Ireland?
New model of calculating deferred tax
Slide 75
February 2012 CCAB-I Presentation
PwC
12.5% but New Model for Calculating Deferred Tax
• Timing difference plus approach
• Closer to IFRS than current UK/Irish GAAP
• Deferred tax recognised on;
- Revaluation adjustments
- Fair value adjustments in a business combination
• Measured based on ‘average rate’ expected to apply
Slide 76
February 2012 CCAB-I Presentation
PwC
Agenda
• How do the proposals impact Ireland?
• The ASB is listening
Slide 77
February 2012 CCAB-I Presentation
PwC
The ASB is listening
Comments letters asked for .. ASB …
Slide 78
February 2012 CCAB-I Presentation
PwC
The ASB is listening
Comments letters asked for .. ASB …
Disclosure exemptions for subsidiaries
Developed reduced disclosure framework
Slide 79
February 2012 CCAB-I Presentation
PwC
The ASB is listening
Comments letters asked for .. ASB …
Disclosure exemptions for subsidiaries
Developed reduced disclosure framework
Remove requirement for ‘publicly accountable’ to use IFRS
Reconsidered scope of the FRS
Slide 80
February 2012 CCAB-I Presentation
PwC
The ASB is listening
Comments letters asked for .. ASB …
Disclosure exemptions for subsidiaries
Developed reduced disclosure framework
Remove requirement for ‘publicly accountable’ to use IFRS
Reconsidered scope of the FRS
Allow accounting options such as revaluation of fixed assets
Amended the FRS to introduce accounting options that are consistent with IFRS
Slide 81
February 2012 CCAB-I Presentation
PwC
The ASB is listening
Comments letters asked for .. ASB …
Disclosure exemptions for subsidiaries
Developed reduced disclosure framework
Remove requirement for ‘publicly accountable’ to use IFRS
Reconsidered scope of the FRS
Allow accounting options such as revaluation of fixed assets
Amended the FRS to introduce accounting options that are consistent with IFRS
Guidance for charities and the not-for-profit sector
Developed FRED 45 and incorporated FRED 45 in the draft FRS
Slide 82
February 2012 CCAB-I Presentation
PwC
The ASB is listening
Comments letters asked for .. ASB …
Disclosure exemptions for subsidiaries
Developed reduced disclosure framework
Remove requirement for ‘publicly accountable’ to use IFRS
Reconsidered scope of the FRS
Allow accounting options such as revaluation of fixed assets
Amended the FRS to introduce accounting options that are consistent with IFRS
Guidance for charities and the not-for-profit sector
Developed FRED 45 and incorporated FRED 45 in the draft FRS
Time to prepare Deferred effective date
Slide 83
February 2012 CCAB-I Presentation
PwC
The ASB is listening
Comments letters asked for .. ASB …
Disclosure exemptions for subsidiaries
Developed reduced disclosure framework
Remove requirement for ‘publicly accountable’ to use IFRS
Reconsidered scope of the FRS
Allow accounting options such as revaluation of fixed assets
Amended the FRS to introduce accounting options that are consistent with IFRS
Guidance for charities and the not-for-profit sector
Developed FRED 45 and incorporated FRED 45 in the draft FRS
Time to prepare Deferred effective date
Different model for calculating deferred tax
Developed a new model
Slide 84
February 2012 CCAB-I Presentation
PwC
Agenda
• How do the proposals impact Ireland?
• The ASB is listening
Slide 85
February 2012 CCAB-I Presentation
PwC
Conclusion
ASB Objective
“The ASB’s objective is to enable users of accounts to receive high-quality understandable financial reporting
proportionate to the size and complexity of the entity and the users’ information needs.”
FRED 46, Summary para 3
Slide 86
February 2012 CCAB-I Presentation
Thank you
© 2012 PricewaterhouseCoopers. All rights reserved.
PwC refers to the Irish member firm, and may sometimes refer to the PwC network. Each
member firm is a separate legal entity. Please see www.pwc.com/structure for further details.
This content is for general information purposes only, and should not be used as a substitute
for consultation with professional advisors.
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