May 13, 2013
IFAC and GPPC Host Symposium on Building Investor Confidence, Strengthening Financial Reporting Infrastructure in the ASEAN Region
Strong Financial Reporting Structure a Key Pillar for Successful Integration of ASEAN Capital Markets; Symposium of Global and Regional Stakeholders Timely in View of 2015 ASEAN Economic Community
(Singapore, May 9, 2013) – More than 150 attendees from 14 ASEAN and other nations gathered this week at a symposium, ASEAN Capital Markets—The Importance of a Strong Financial Reporting Environment, to discuss strategies for building investor confidence through a strong financial reporting infrastructure that supports the integrity of the ASEAN capital markets.
The event was organized by the Global Public Policy Committee (GPPC) and the International Federation of Accountants (IFAC), and supported by the Institute of Certified Public Accountants of Singapore (ICPAS), US-ASEAN Business Council (USABC), and Asian Corporate Governance Association (ACGA).
The symposium was opened by Mrs. Josephine Teo, Minister of State, Singapore Ministry of Finance and Ministry of Transport. Attendees included senior government officials and policy makers, senior company executives, company directors and audit committee members, investors, audit regulators, and leaders of the accounting and auditing profession.
The moderated panel discussions included: “Setting the Scene: The ASEAN Community and its Capital Markets,” “A Strong Financial Reporting Infrastructure: Vital for a Growing Economy and Strong Capital Market,” “The Future of Audit,” “Independent Oversight of Auditors,” and “Corporate Governance in the ASEAN Region.” An overriding theme was the importance of high-quality financial reporting, which is essential for investor confidence and economic growth.
“The discussions today highlighted the important contributions of all participants in the financial reporting supply chain to the quality of financial information,” said IFAC President Warren Allen. “It is essential that all participants—including companies, the accounting and auditing profession, and the regulatory community—embrace a process of continuous improvement.”
Economic integration is one of the key strategic goals of ASEAN. At the 22nd ASEAN Summit in Brunei in April, the formation of the ASEAN Economic Community by 2015 was highlighted as an important goal—and one that is expected to increase opportunities for ASEAN member states to prosper.
“Today’s symposium provides an important platform for the profession and other stakeholders to exchange views on the particular financial reporting challenges and opportunities here in the ASEAN region,” noted Beth Brooke, Global Vice Chair of Public Policy, Ernst & Young. “This ASEAN perspective and voice is vital to the global debate on how best to promote investor confidence in financial reporting and audit.”
“As the national accountancy body, ICPAS is pleased to have worked with IFAC and the GPPC to organize this symposium and bring various stakeholders from ASEAN and further afield to Singapore. The symposium’s topics on building a strong financial reporting infrastructure, raising audit quality, and promoting corporate governance are aligned with our Institute’s goals to advance and promote the accountancy profession. In particular, the discussion on financial reporting ecosystems provided valuable ideas on how the various stakeholders can establish stronger integrated ASEAN capital markets,” said Dr Ernest Kan, President of ICPAS.
“ACGA was happy to support the ASEAN Capital Markets Symposium,” said Jamie Allen, Secretary General. “Robust auditing, financial reporting, and corporate governance standards go hand in hand and are important for ASEAN economic integration.”
USABC Vice President Marc Mealy noted, “The USABC is pleased to be part of this initiative by the accounting profession to support ASEAN’s efforts to become more of a global investment asset class by strengthening its regional financial reporting and corporate governance benchmarks and standards.”
IFAC is the global organization for the accountancy profession dedicated to serving the public interest by strengthening the profession and contributing to the development of strong international economies. IFAC is comprised of 172 members and associates in 129 countries and jurisdictions, representing approximately 2.5 million accountants in public practice, education, government service, industry, and commerce.
About the GPPC
The GPPC is the global forum from the six largest international accounting networks: BDO, Deloitte, Ernst & Young, Grant Thornton, KPMG and PwC. Its public interest objective is to enhance quality in auditing and financial reporting.
About the Institute of Certified Public Accountants of Singapore
Established in 1963, Institute of Certified Public Accountants of Singapore (ICPAS) is the national accountancy body that develops, supports and enhances the integrity, status and interests of the profession.
The Certified Public Accountant Singapore (CPA Singapore) is a professional in accountancy, finance and business distinguished by their technical expertise, integrity and professionalism, in addition to a recognised accountancy qualification and relevant work experience. CPAs Singapore serve every corner of the world in every industry. Many of them helm some of the most prominent local and international corporations.
ICPAS accords the CPA Singapore designation. Working closely alongside businesses, ICPAS connects its membership to an unmatched range of information resources, events, professional development and networking opportunities. Presently, there are more than 26,000 members making their strides in businesses across all industries in Singapore and around the world.
ICPAS’ international outlook and connections are reflected in its membership of regional and international professional organisations like the ASEAN Federation of Accountants (AFA), the Asia-Oceania Tax Consultants’ Association (AOTCA), the International Federation of Accountants (IFAC) and International Innovation Network (IIN).
For more information, please visit www.icpas.org.sg
May 7, 2013
On April 30th, 2013 the Federation of Mediterranean Certified Accountants (FCM), which CECCAR is one of the founding members, had elected in its annual General Assembly the President and the Deputy President for the 2013 – 2015 term.
Unanimously, CECCAR’s General Director, Mrs. Daniela Vulcan was elected for the office of FCM Deputy President.
Mrs. Vulcan, over the thirteen years since she is successfully leading the Executive of the Body of Expert and Licensed Accountants of Romania (CECCAR), has constantly followed her goal to see this organization on the highest picks both at national and international level and has capitalized on arising opportunities, irrespective of the obstacles and here stands prof this international recognition.
As General Director of the Body, the activities undertaken in order to sustain, develop and promote the accounting profession at national and international level, had an exclusively ascending route, testimony being the level that CECCAR finds itself today: the biggest professional organization from South-Eastern Europe, of high national and international prestige that has the power to transpose into norms and guides all the standards and international regulations and also the professional recognition by prestigious international organizations such as the Federation of Mediterranean Certified Accountants.
Mrs. Vulcan is an accomplished professional and her experience, expertise and prestige recommends her as worthy of its position and it is no accident that the illustrious Phd.Univ Prof. Marin Toma (1943-2012), that was, is and will forever be the most remarkable father of the accounting profession in our country, CECCAR President, gave all his trust to Mrs. Vulcan.
Federation of Mediterranean Certified Accountants is a prestigious organization, recognized by IFAC, which represents more than 320.000 professional accountants form sixteen countries (Albania, Bulgaria, Cyprus, Egypt, France, Greece, Israel, Italy, Kosovo, Malta, Morocco, Romania, Serbia, Tunisia and Turkey).
FCM is a non-profit organization created in 1999 on the initiative of a number of regional leaders of professional accounting institutes and it is the regional organization with the widest area representation.
FCM’s mission is to promote cooperation among professional accountancy bodies in the region, both in the private and in the public sector, to share knowledge and provide technical assistance to members to help them achieve and maintain high professional standards. So the FCM’s mission is to consider the professional themes in a regional context with ultimate goal of contributing to the economic development in the region and the implementation of a more integrated and competitive market between the countries in the region.
The qualification, experience, creative spirit, professionalism and dedication of Mrs. Daniela Vulcan makes her the right person for continuing the FCM’s mission and leading the Federation, alongside its President, to new stages of development.
April 15, 2013
Election of CECCAR President for the 2014-2018 Mandate
On April 9, 2013, expert and licensed accountants of Romania members of the National Conference of the Body cast their vote for the election of the future President of CECCAR. Following this vote, Mrs. Domnica Baghina, Expert Accountant, has been designated and validated as elected President of the Council. Mrs. Baghina’s mandate will begin immediately after the 2014 National Conference and will end in 2018.
Mrs. Băghină is an accomplished professional, and her experience, expertise and high reputation recommend her as worthy of this position. Mrs. Băghină is already involved in the Body’s activities, following closely the politics and the management of CECCAR’s projects.
Until the date of the 2014 National Conference and the new President’s taking over the mandate, CECCAR interim presidency and representation will continue to be filled in by Mrs. Ecaterina Necșulescu.
April 16, 2013
IFAC’s Small and Medium Practices (SMP) Committee eNews.
1. Sustainability: Challenges and Opportunities for SMPs and SMEs
2. Updated Good Practice Checklist Features Environmental Management
STANDARDS AND REGULATION
3. Closing Soon: IAASB Consults on Audit Quality Framework
4. SMP Committee Contributes to Standard Setters’ Key Projects and Strategic Planning
5. IFRS for SMEs Update
6. Registration Closing Soon: 2013 IFAC SMP Forum
7. World Congress of Accountants 2014 to be Held in Rome; Sponsorship Opportunities Available
April 8, 2013
Guidance on IFRS-based book-keeping and preparing separate financial statements for commercial companies with securities tradable on a regulated market
CECCAR Publishing House adds a new paper to its collection of Professional Guidance
As of 2013, commercial companies with securities tradable on a regulated market adopt the IFRS-based accounting. These entities also have the obligation to disclose IFRS-based financial statements as of the 2012 financial year.
In this context, CECCAR provides support to professional who apply the new IFRSs-based regulations, as well as those who wish to develop their level of professional competence regarding IFRSs as accountancy base (not only as financial reporting model at the level of consolidated financial statements) by means of this Guidance made up of two parts:
- Part I focuses on the IFRSs transition and provides monographs and case studies on IFRSs transition but also on actual application of IFRSs as accountancy base.
- Part 2, that is due to be issued, will present complex case studies on IFRSs transition and application monographs on IFRSs set as accountancy base.
This extremely useful, comprehensive professional guidance is recommended to all interested professional accountants; please, contact CECCAR branches.
April 8, 2013
The Application of International Financial Reporting Standards in Romania
Taking into account the expansion of the IFRSs scope in Romania, we deemed necessary to create a new webpage that provide relevant information for both companies and professionals involved in IFRSs-based financial reporting.
Within the Legal framework on IFRS Application in Romania we would like to present the national regulations that require or permit the IFRS-based presentation of financial statements by entities.
After their publication by IASB, standards and interpretations must be approved in view of being applied by the European Union. The approval process is technically assisted by EFRAG http://www.efrag.org/Front/Home.aspx. International Financial Reporting Standards adopted at EU level are published within European Regulations. We would like to present a summary of European Regulations adopting International Financial Reporting Standards issued by 31.12.2012.
EFRAG is regularly reviewing the situation of adopting the amendments to the international referential at EU level. You can access the above-mentioned situation on the following webpage: http://www.efrag.org/Front/c1-306/Endorsement-Status-Report_EN.aspx
The international referential is dynamic, being regularly reviewed. Thus, entities must have a proactive vision and follow the IFRSs provisions that are due to become effective in the near future in order to decide upon updating systems and processes. In this sense, we present the changes of International Financial Reporting Standards affecting the 2012 reporting as well as IASB and IFRIC projects that relate to the international referential.
For the purpose of informing entities and professional accountants involved in the IFRSs transition process we would like to present a few technical issues concerning IFRSs transition and IFRSs first application, the analysis of differences between accounting policies required by OMFP 3055/2009 and those required by IFRSs as well as means of identifying possible restatement sources in the transition process, plus fiscal requirements applicable to entities that apply IFRS-based accounting regulations.
April 2, 2013
The Romanian translation of IFRS BV 2013 will be published in the second semester of this year
The International Financial Reporting Standards 2013 is the only official printed edition of the complete text of the promouncements authorized by IASB, as issued at January the 1st 2013.
The current edition has been issued in two volumes:
• Part A (the Conceptual Framework and requirements) comprises the most recent version of The International Financial Reporting Standards (IFRSs), the International Accountancy Standards (IASs) and the Interpretations IFRICs and SICs.
• Part B contains the accompanying documents, as well as illustrative examples, implementation guidance, Basis for Conclusions and Dissenting Opinions.
The current edition does not contain the documents that have been replaced or eliminated that are nevertheless applicable if the reporting entity chooses not to early adopt the new versions.
The two volumes shall be published in Romanian during the second semester of 2013.
Purchasing: the two volumes of IFRS 2013 are available for mail delivery (in which case the amount of the delivery fees must be covered, depending on the destination) or you can buy them directly from the CECCAR Headquarters, in Bucharest, 4th district, 1 Pielari Entry, phone: 021-330. 88.69/70/71, e-mail: firstname.lastname@example.org.
March 25, 2013
Good Practice Checklist for Small Business
IFAC published the second edition of its Good Practice Checklist for Small Business. This multi-part checklist contains a new standalone section on environmental management. Other sections include financial tasks, strategic management tasks, and regulatory requirements, among other areas. The checklist is meant primarily for small- and medium-sized practices (SMPs), as a marketing or diagnostic tool to help them determine the advice a small business client may need, and also to help them in managing their own businesses.
The checklist is available for download on the IFAC website at http://www.ifac.org/publications-resources/good-practice-checklist-small-business.
March 21, 2013
IAASB Further Strengthens Standard on Using Work of Internal Auditors; Addresses Use of Direct Assistance
In follow-up to its 2012 release of stronger standards dealing with the external auditor’s use of an internal audit function’s work, the International Auditing and Assurance Standards Board (IAASB) today issued new requirements and guidance that address the auditor’s responsibilities if using internal auditors to provide direct assistance under the direction, supervision, and review of the external auditor for purposes of the audit (“direct assistance”).
International Standard on Auditing (ISA) 610 (Revised 2013), Using the Work of Internal Auditors, now includes guidance to external auditors when determining whether they can use direct assistance from internal auditors, and if so, in which areas and to what extent. The material addressing direct assistance does not apply if the external auditor is prohibited by law or regulation from obtaining direct assistance.
“The new requirements and guidance not only clarify the scope of the standard, which we have already heard is an essential improvement, but also clearly set out the conditions, limits, and safeguards necessary so that direct assistance is used only in appropriate circumstances,” said Prof. Arnold Schilder, IAASB chairman.
In conjunction with ISA 610 (Revised 2013), the International Ethics Standards Board for Accountants (IESBA) today also released amendments to the definition of engagement team in its Code of Ethics for Professional Accountants (IESBA Code). The amendments clarify the relationship between internal auditors providing direct assistance and the meaning of an engagement team under the IESBA Code.
“The ISA does not require or encourage the external auditor to use, or to consider using, internal auditors to provide direct assistance, nor does it override relevant law or regulation. However, where direct assistance is permitted, the standard provides a robust framework for the external auditor’s judgments,” noted James Gunn, IAASB technical director. “The external auditor can therefore look to where there may be potential benefits from direct assistance, while understanding the limits to using such assistance and being able to take the necessary steps to avoid over or undue use, in line with the external auditor’s sole responsibility for the audit opinion expressed.”
The material in ISA 610 (Revised 2013) pertaining to direct assistance is effective for audits of financial statements for periods ending on or after December 15, 2014.
About the IAASB
The IAASB develops auditing and assurance standards and guidance for use by all professional accountants under a shared standard-setting process involving the Public Interest Oversight Board, which oversees the activities of the IAASB, and the IAASB Consultative Advisory Group, which provides public interest input into the development of the standards and guidance. The structures and processes that support the operations of the IAASB are facilitated by the International Federation of Accountants (IFAC).
IFAC is the global organization for the accountancy profession dedicated to serving the public interest by strengthening the profession and contributing to the development of strong international economies. It is comprised of 173 members and associates in 129 countries and jurisdictions, representing approximately 2.5 million accountants in public practice, education, government service, industry, and commerce.
February 21, 2013
IFAC Outgoing CEO Calls on Russian Presidency of G-20 to Advance Adoption and Implementation of International Public Sector Accounting Standards
Presenting at “The G-20 Agenda Under the Russian Chairmanship,” a high-level public-private sector conference organized by the Institute of International Finance in partnership with the Ministry of Finance of the Russian Federation, International Federation of Accountants Outgoing CEO Ian Ball called on Russia to use its G-20 Presidency to strengthen global financial stability by supporting adoption and implementation of International Public Sector Reporting Standards (IPSASs).
In particular, Ball called on the Russian Presidency to:
- Create a better understanding of the need to significantly enhance the quality of accounting by governments;
- Urge the Financial Stability Board (FSB) to adopt IPSASs as one of the core sets of standards; and
- Direct the FSB to research the effectiveness of different institutional arrangements for fiscal management and governance.
As early as 2007, IFAC stated that it “is concerned that the standards and regulations governing sovereign issuers are not of sufficient quality to protect investors and ensure the stability of capital markets.” Consistent with its past submissions to the G-20, IFAC calls for urgent research and action to address this critical, but neglected, component of the international financial system. The G-20 should actively encourage the adoption of accrual-based accounting and budgeting by governments and public sector institutions, which will promote greater transparency and accountability in public sector finances and allow for monitoring of government debt and liabilities for their true economic implications.
IFAC is the global organization for the accountancy profession dedicated to serving the public interest by strengthening the profession and contributing to the development of strong international economies. IFAC is comprised of 173 members and associates in 129 countries and jurisdictions, representing approximately 2.5 million accountants in public practice, education, government service, industry, and commerce.
February 21, 2013
FEE issues an Analysis of Common Practices on the preparation of combined and carve-out financial statements in compliance with IFRS
FEE published today an Analysis of Common Practices on the preparation of combined and carve-out financial statements in compliance with IFRS. With this publication on the highly technical and insufficiently explored subject matter of combined and carve-out financial statements, FEE intends to enhance expert debate, knowledge dissemination and sharing of common practices among preparers and other practitioners.
This is a document primarily based on the responses received to the FEE Discussion Paper Combined Financial Statements and additional research undertaken by FEE. This document is neither a standard setting document nor authoritative guidance. It has been prepared with due care considering different practices applied by a variety of professionals in a number of European Union jurisdictions and beyond.
The Paper is available at the FEE website:
February 12, 2013
IFAC issues the report on its 2012 SMPs Quick Poll
The latest IFAC SMP Quick Poll, conducted in late 2012, showed that the smallest accounting practices and their clients are not immune to macroeconomic instability. With the continuing sovereign debt crisis, a double-dip recession in the Eurozone, and rising inflation in some regions, economic uncertainty pervaded many of the responses to the poll of small- and medium-sized accounting practitioners (SMPs). Despite these concerns, SMPs remain cautiously optimistic, showing their resilience and perseverance during challenging times.
February 12, 2013
The Complete Practical Guide on VAT ON CASHING System
CECCAR publishing house is adding to its collection „Professional Guides”, a new paper which, through its content and quality, will become a constant presence on the working desk of every professional accountant interested in applying the latest accounting regulations:
The Complete Practical Guide on VAT ON CASHING System
The VAT on cashing system represents a significant challenge for expert accountants to which they all have to timely adapt. Most of the articles available online are just fragments of the Fiscal Code, without explanations or concrete examples. In order to facilitate the application of this system, CECCAR supplies you with this complete practical guide, developed as a support for professionals, offering numerous case studies and examples that facilitate the understanding and the application of this concept.
The present complete professional guide, which is extremely useful, is recommended to all interested accounting specialists; please, refer to any of the CECCAR branches in the country.
January 7, 2013
IFIAR Releases First Global Survey of Audit Inspection Findings
The International Forum of Independent Audit Regulators (IFIAR) released, in December 2012, its first global survey of audit inspection findings. The summary report is available here