International Accounting Standards Board

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The International Accounting Standards Board (IASB) is the independent, accounting standard-setting body of the IFRS Foundation.[1]

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.

Foundation[edit]

On December 31, 2001, the International Accounting Standards Foundation (IASF) was incorporated as a tax-exempt organization in the U.S. state of Delaware.[2] On February 6, 2001, the International Financial Reporting Standards Foundation was also incorporated as a tax-exempt organization in Delaware.[3] The International Accounting Standards Board (IASB) is the parent entity of the IFRS Foundation, an independent accounting standard-setter based in London, England.[4]

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 an 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).

Members[edit]

The IASB has 16 full-time 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.[5] 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.[1]

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.[6]

The members (as of July 2012) are:[5]

Former IASB members include James J. Leisenring, Robert P. Garnett, Mary Barth, David Tweedie, Gilbert Gélard, Warren McGregor, and Tatsumi Yamada.

Chairmen[edit]

On July 1, 2011, Hans Hoogervorst succeeded David Tweedie as Chairman. David Tweedie had served as the Board's Chairman since its creation in 2001.[7]

Due process[edit]

The IASB Handbook describes the consultative arrangements of the IASB.[6] The Board also publishes a brief guide on how standards are developed.[8]

Funding[edit]

The IFRS Foundation raises funds for the operation of the IASB.[8] 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.[9]

See also[edit]

References[edit]

  1. ^ a b IFRS Foundation, 2012. About the IFRS Foundation and the IASB. Retrieved on April 28, 2012.
  2. ^ File No. 3348349
  3. ^ File No. 3353113
  4. ^ http://www.iasb.org, 6 Febr 2007
  5. ^ a b [1]
  6. ^ a b Due Process Handbook, IASB, 2008
  7. ^ A Welcome from the incoming Chairman of the IASB, IFRS, 01 July 2011
  8. ^ a b Who we are and what we do, IASB, July 2010
  9. ^ Lehman collapse contributed to IASB funding issues, Accountancy Age, 6 Apr 2010

External links[edit]

National accounting standard-setting bodies
Discussions