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PPSAS 01-Presentation of FS Oct-18 2013
PPSAS 01-Presentation of FS Oct-18 2013
Table of Contents
PAG
Number
BACKGROUND
Objective 1
Scope 2
Consistency of Presentation 5
Reporting Period 6
Effective Date 7
Background
The IPSAS 1 was issued in May 2000 and revised in December 2006 by the International
Public Sector Accounting Standards Board (IPSASB) of the International Federation of
Accountants (IFAC). This includes amendments resulting from IPSASs issued up to
January 15, 2012.
The PAG (in italics) provides supplementary guidance on the proper implementation of
IPSAS 1 and also the reason for not adopting some paragraphs of the IPSAS 1.
IPSAS 1 sets out overall considerations for the presentation of financial statements,
guidance for their structure, and minimum requirements for the content of financial
statements prepared under the accrual basis of accounting.
Objective
PAG1. Paragraph 1 states the objective of this standard and sets out overall
considerations for the presentation of financial statements prepared under the
accrual basis of accounting.
Scope
PAG2. Paragraph 5 deals with the applicability of this Standard to all public sector
entities other than Government Business Enterprises (GBEs).
GBE is an entity that has all the following characteristics: (a) Is an entity with the
power to contract in its own name; (b) Has been assigned the financial and
operational authority to carry on a business; (c) Sells goods and services, in the
normal course of its business, to other entities at a profit or full cost recovery; (d)
Is not reliant on continuing government funding to be a going concern (other
This standard shall be applied to all National Government Agencies (NGAs), Local
Government Units (LGUs) and Government-Owned and/or Controlled
Corporations (GOCCs) not considered as GBEs.
PAG3. Paragraphs 19-20 deal with identification of responsible officers for the
preparation and presentation of the agencies’ financial statements.
The responsibility for the fair presentation and reliability of financial statements
rests with the management of the reporting agency, particularly the head of
finance/accounting office and the head of agency or his authorized
representative.
PAG4. Paragraph 21 requires an entity that makes publicly available its approved
budget, to prepare a comparison of budget and actual amounts either as a
separate additional financial statement or as a budget column in the financial
statements.
Consistency of Presentation
Reporting Period
PAG6. Paragraph 67 pertains to cases when entities might change its reporting date.
This is not applicable since the reporting date is fixed for all entities.
Effective Date
PAG7. This PPSAS shall apply for annual financial statements covering periods beginning
January 1, 2014.