Regional REPARIS

Financial Reporting Community of Practice

Financial Reporting Community of Practice

Accounting and financial reporting

Reporting for national

statistics

Reporting to capital markets

Accounting

Reporting for prudential regulation

Reporting to lending banks

Reporting for taxation purposes

Financial Reporting Community of Practice

Influences on accounting and financial reporting

• Accounting law and chart of accounts• Tax requirements• Company law

» developed nationally» based on EC Directives

• Accounting standards» developed nationally » based on (simplified) IFRS» IFRS» IFRS for SMEs

Financial Reporting Community of Practice

Finding the right approach

• Which entities should be required or allowed to use» tax reporting only? » company law only?

Financial Reporting Community of Practice

Finding the right approach

• Which entities should be required or allowed to use» tax reporting only? » company law only?

• Which entities should be required or allowed to use company law plus» national standards?» EC Directives?» IFRS for SMEs? » full IFRS?

Financial Reporting Community of Practice

Bridging the needs of different users

Financial reporting

Investors and creditors in

capital markets

Lending banks

National statisticians

Prudential regulators

Tax authorities

Public interest

Financial Reporting Community of Practice

Vision

» Business entities should prepare high quality financial statements that meet the needs of a range of different users

» Financial reporting requirements should• comply with EU acquis communautaire • reflect nature, size and financing of entities• reflect the costs and benefits to entities and users• bridge the needs of different users

Regional REPARIS

Financial Reporting Community of Practice

Regional REPARIS

Financial Reporting Community of Practice