What are the ASBs views on international harmonisation of accounting standards?
The ASB’s Statement of Aims (1991) sets out the fundamental guidelines that the ASB follows in conducting its affairs. One of the guidelines is: “To ensure that through a process of regular communication, accounting standards are produced with due regard to international developments.” The ASB accepts that, in principle, there should be only one way of accounting for similar transactions throughout the world. The ASB therefore tries to ensure that its standards are consistent with International Accounting Standards (IASs), and every FRS includes a section explaining how it relates to the relevant IAS. Ideally, adherence to the provisions of the ASB’s standards should result in compliance with IASs. However, on certain topics the ASB believes that the international solution is not appropriate for conditions in the UK, or that the international approach is simply out of date. The ASB will therefore support harmonisation with IASs but reserves the right to disagree with the international
