Adoption of IFRS in Brazil and the Consequences to Accounting Education

2012 ◽  
Vol 28 (2) ◽  
pp. 235-242 ◽  
Author(s):  
L. Nelson Carvalho ◽  
Bruno M. Salotti
Keyword(s):  
Income Tax ◽  
Rare Case ◽  
Accounting Standards ◽  
Financial Statements ◽  
Company Law ◽  
Accounting Education ◽  
Consolidated Financial Statements ◽  
Tax Legislation ◽  
The Individual ◽  
Safe Path

ABSTRACT: Brazil is a rare case of a complete adoption of IFRS, not only for consolidated financial statements, but also for the individual ones. Very few countries dared to converge their accounting standards toward IFRS in the company-only financial statements, probably afraid of the tax or dividends impact. Brazil made the ambitious move, changing the Company law and altering the income tax legislation in such a way that a safe path was built to bridge from the old BR GAAP standards to IFRS.

The Reporting Entity in Private-Public Accounting Harmonisation. Is Control Enough for the Local Government Consolidated Financial Statements?

2017 ◽  
pp. 5-29 ◽  
Author(s):  
Cristian Carini ◽  
Laura Rocca ◽  
Claudio Teodori ◽  
Monica Veneziani
Keyword(s):  
Public Sector ◽  
Local Government ◽  
Accounting Standards ◽  
Financial Statements ◽  
Consolidated Financial Statements ◽  
The Public ◽  
Financial Accountability ◽  
Public Sector Accounting ◽  
Definition Of ◽  
Reporting Entity

The European Commission initiated a discussion on the expediency of using the International Public Sector Accounting Standards (IPSAS), based on the IAS/IFRS, as a common base for harmonizing the public sector accounting systems of the member states. However, literature suggests that accounting is not neutral with respect to the economic, social and political dimensions. In the perspective of evolution of the accounting regulation outlined, balanced between accountability, with the need to represent phenomena for reporting pur-poses, and decisionmaking issues, which concentrates on the quantitative importance of the values, the paper aims to analyse the effects of the application of different criteria for the definition of the reporting entity of the local government consolidated financial statements (CFS). The Italian PCA 4/4, the test of control and the financial accountability approaches are examined. The evidence that emerged from the case studies examined identifies several criticalities in the Italian PCA 4/4 and support the thesis that the financial accountability approach is more effective in providing a complete representation of the public resources entrusted to and managed by the group, whereas the control approach better approximates quantification of the group results in terms of central government surveillance. The analysis highlights the importance of the post implementation review period and the opportunity to contextualize the adoption of the consolidated financial statement in the broader spectrum of the accounting harmonization process, participating in the process of definition of the European Public Sector Accounting Standards (EPSAS).

Tax Reform: Theory and Practice

1987 ◽  
Vol 1 (1) ◽  
pp. 11-28 ◽  
Author(s):  
Joseph A Pechman
Keyword(s):  
World War Ii ◽  
Income Tax ◽  
Tax Reform ◽  
Theory And Practice ◽  
Income Taxation ◽  
Tax Rates ◽  
Pressure Groups ◽  
Comprehensive Income ◽  
Tax Legislation ◽  
The Individual

The Tax Reform Act of 1986 is the most significant piece of tax legislation enacted since the income tax was converted to a mass tax during World War II. After decades of erosion, the individual and corporate income tax bases were broadened and the revenues were used to reduce tax rates. Loopholes and preferences that were formerly considered sacrosanct were eliminated or moderated despite the determined opposition of powerful pressure groups. Comprehensive income taxation, which had earlier been regarded as an impossible dream, carried the day with strong bipartisan support. I will trace the origins of the tax reform movement and speculate about why it was successful in 1986 after repeated failures in earlier years. I also explain what the 1986 act accomplished and what more needs to be done to achieve the objectives of comprehensive income taxation.

Scope Changes Impact on Book Performance of Consolidated Financial Statements

2013 ◽  
Vol 380-384 ◽  
pp. 4494-4499
Author(s):  
Lian Feng Xia
Keyword(s):  
Accounting Standards ◽  
Financial Statements ◽  
Listed Companies ◽  
Consolidated Financial Statements ◽  
Financial Report ◽  
Average Value ◽  
Related Data ◽  
Public Company ◽  
Basic Work ◽  
Substantial Control

Currently, listed companies in our country generally draw up consolidated financial statements according to the new accounting standards requirements, and release consolidated financial statement to investors and relevant financial statements users so as to public company financial information. Consolidated financial statements can comprehensively reflect the financial position and operating results of listed companies. The key basic work of consolidated financial statements preparation is to reasonably determine the consolidation range of consolidated financial statements. Although the current new accounting standards have stipulated consolidation range, the new accounting standards has not specified the substantial control of concrete measurement method problem. So this paper takes one listed companys financial report and related data from 2007 to 2011 as data sources,selects listed enterprises with no clear merger reason as research object. Multivariate linear regression model is adopted to analyze the influence of merge scope change on book performance. The results show that the consolidated range change will change enterprises book report data,and the influence average value of book achievement is about 10.72%.

The Problems of Stage Acquisition Under the New Consolidation Accounting Standards

2017 ◽  
Vol 4 (1) ◽  
pp. 57-71
Author(s):  
James G.S. Yang ◽  
Frank J. Aquilino
Keyword(s):  
Accounting Standards ◽  
Financial Statements ◽  
Fair Value ◽  
Consolidated Financial Statements ◽  
Net Assets ◽  
The Cost ◽  
Multiple Stages

This article discusses some important components of how the accounting standards of consolidated financial statements have changed under FASB Nos. 141R and 160. Goodwill consists of both the parent and the noncontrolling interest. Noncontrolling interest includes goodwill and is treated as equity, rather than a liability. Consolidation is based on the fair value of the subsidiary's net assets. If the parent acquired the subsidiary in multiple stages, the accounting method may have to change from the cost method to the equity method. And, any gains or losses from the previous investment must be recognized. After the controlling interest is reached, consolidation is required and goodwill is established. Any disposition of an investment in a subsidiary is treated as an equity transaction. This article emphasizes the complexity of stage acquisition.

scholarly journals EFEK KONVERGENSI KERANGKA DASAR IFRS (IAS 12 REVISI) TERHADAP PSAK 46

MAKSIMUM ◽  
2019 ◽  
Vol 7 (1) ◽  
pp. 48
Author(s):  
Ida Kristiana
Keyword(s):  
Cash Flow ◽  
Income Tax ◽  
Accounting Standards ◽  
Capital Budgeting ◽  
Financial Statements ◽  
Comparison Method ◽  
Financial Accounting ◽  
Financial Statement ◽  
Financial Reports ◽  
Unit Of Analysis

This purpose of this study to examine the presence or absence of securities caused by the convergence of IFRS to Statement of Accounting Standards of Income Tax (PSAK 46), by simulating the financial statements of PT. Garuda Indonesia Airlines (GIA) and PT. Telkom Indonesia. This study also looks at the differences between financial reports that are not convergent compared with financial reportsthat are already convergent with IFRS  This study used a comparison method between the statements presented in IFRS with the statements presented in PSAK 46. The unit of analysis in this study is the International Financial ReportingStandard (IFRS) and Statement of Financial Accounting Standards on income tax accounting as well as books and articles related to both. The results of this study indicate that the convergence of the IFRS framework to PSAK 46 has a significant impact on the financial statements, especially on capital budgeting, because the tax will affect the calculation of cash flow. Besides this convergence also has an impact on the tax calculation in the financialstatementsKeywords: IFRS, PSAK, Financial Statement, Convergence

scholarly journals EFEKTIVITAS PENYELESAIAN DAN PENERIMAAN ATAS HASIL PEMERIKSAAN PAJAK PENGHASILAN ORANG PRIBADI (STUDI KASUS KPP PRATAMA MANADO)

2013 ◽  
Vol 8 (4) ◽  
Author(s):  
Fino Indra Sumampouw ◽  
Inggriani Elim ◽  
Heince Wokas
Keyword(s):  
Income Tax ◽  
Assessment System ◽  
Process Data ◽  
Self Assessment ◽  
Individual Income ◽  
Tax Legislation ◽  
Tax Laws ◽  
Other Information ◽  
Tax Audit ◽  
The Individual

Tax audit is a series of activities to search for, collect, and process data or other information to verify compliance fulfillment of tax obligations and for other purposes in order to implement the provisions of the tax legislation. It is also against the background of the tax laws in Indonesia in implementing tax collection embrace self assessment system. The effectiveness of the implementation of the inspection results of the calculation of income tax and the individual income tax in particular the realization of Inspection Warrant (SP2) Tax on KPP Pratama Manado, in terms of the settlement are calculated based on the issuance and realization (SP2) Tax is completed, which have a higher effectiveness 2010-2012 the same is included in the criteria effectively with a percentage of 100% and the results of the calculation in terms of the effectiveness of the completion of the acceptance of the results of the examination are calculated based on the target and the realization SP2 Tax, which had a degree of effectiveness in 2010 (101.8%), in 2011 (103, 4%), and 2012 (113.1%) of which were included in the criteria is very effective. That means that the performance of the KPP Pratama Manado is very good because it can meet the set targets, and the KPP Pratama Manado  should be able to continue to defend it.

scholarly journals Consolidated Financial Statements – in IAS 27 perspective

2012 ◽  
Author(s):  
Mihai Deju
Keyword(s):  
Accounting Standards ◽  
Financial Statements ◽  
International Accounting ◽  
International Accounting Standards ◽  
Loss Of Control ◽  
Consolidated Financial Statements ◽  
The Subject

The aspects concerning the preparation and publication of the consolidated financial statements have been the subject of the settlement by the Committee for International Accounting Standards (IAS) even since 1976 with the publication of IAS 3 “Consolidated financial statements”. Subsequently, the standard has been amended and revised successively, on several occasions. The latest version issued in 2008 includes changes on the accounting of interests that do not control and the loss of control on a subsidiary. The actual version also includes the subsequent amendments resulting from IFRS issued until 31st of December 2010. This paper presents the essential aspects of IAS 27 (the actual version) and a practical example of how to elaborate consolidated accounts in accordance with this standard.

scholarly journals ABOUT THE FINANCIAL REPORTING ON THE CAPITAL MARKETS IN THE EUROPEAN UNION: REQUIREMENTS OF USING THE IFRS AND THE EQUIVALENCE OF THIRD COUNTRY ACCOUNTING STANDARDS

2013 ◽  
Author(s):  
Aristita Rotila
Keyword(s):  
European Union ◽  
Financial Reporting ◽  
Capital Markets ◽  
Accounting Standards ◽  
Financial Statements ◽  
National Standards ◽  
The European Union ◽  
Consolidated Financial Statements ◽  
Community Capital ◽  
Single European Market

The need to build a single European market and to ensure the competitiveness of the community capital markets led to the involvement of European Union in the convergence process taking place on a global level in the realm of financial reporting. This paper is a study on financial reporting for the capital markets in the European Union by analyzing the accounting standards that need to be applied. Specifically, this paper highlights a number of issues concerning: the adoption of IAS / IFRS in the European Union and their compulsory aspect in preparing the consolidated financial statements for the companies listed on a regulated market; the requirement’s extension of using the IFRSs adopted in the European Union to the issuers of certain third countries involving a public offer of securities in European Union or performing transactions with securities on a community regulated market; the establish of a mechanism for the determination of equivalence of certain third country accounting standards with IFRSs in force at European level and, consequently, the possibility of using by some third country issuers, in preparing the consolidated financial statements submitted to the European markets, recognized national standards as equivalent to adopted IFRS.

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