STRUCTURE OF THE REGULATORY FRAMEWORK
. United States of America.OVERVIEW OF THE STRUCTURE OF THE IFRS FOUNDATION AND IASB
The International Accounting Standards Board (IASB) is organised under an independent foundation named the IFRS Foundation. The components of the overall structure of the IFRS Foundation are set out below. The Foundation is a not-forprofit corporation which was created under the laws of the State of Delaware. The obligations and high-level operating procedures for most components are established under the IFRS Foundation Constitution. on 8 March 2001.
8 March 2001 Due Process Oversight Committee (DPOC) Trustee committee responsible for the Trustee's oversight function under the IFRS Foundation Constitution. and strategy.
IFRS Foundation Oversees the work of the IASB. participates in the Trustee nomination process. 2006 Monitoring Board Oversees the IFRS Foundation Trustees. the structure. 1 April 2001 (1) IFRS Interpretations Committee Develops interpretations for approval by the IASB. and has fund raising responsibility. and undertakes under tasks at the request of the IASB 1 April 2001 Working groups Expert task forces for individual agenda projects Formed as needed Advisory IFRS Advisory Council Advises the IASB and the IFRS Foundation 25 June 2001 Specialised advisory groups Capital Markets Advisory Committee 2003 Global Preparers Forum Financial Crisis Advisory Group (jointly with FASB) 30 December 2008 Emerging Economies Group 26 July 2011 Methodology for Fieldwork and Effects Analyses Consultative Group 2012
. 1 February 2009 Technical International Accounting Standards Board(IASB) Sole responsibility for establishing International Financial Reporting Standards (IFRSs). and approves appointments to the Trustees.
. other participants in the world’s capital markets and other users of financial information make economic decisions to promote the use and rigorous application of those standards in fulfilling the above objectives. transparent and comparable information in financial statements and other financial reporting to help investors. enforceable and globally accepted financial reporting standards based upon clearly articulated principles. a single set of high quality. in the public interest. to take account of. being the standards and interpretations issued by the IASB. as appropriate. through the convergence of national accounting standards and IFRSs.IFRS FOUNDATION
The objectives of the IFRS Foundation are: to develop. These standards should require high quality. the needs of a range of sizes and types of entities in diverse economic settings to promote and facilitate adoption of International Financial Reporting Standards (IFRSs). understandable.
including benchmarking the IASB's due process against other organisations to ensure 'best practice' reviewing the Trustees’ fulfilment of their oversight function in accordance with the IFRS Foundation Constitution.
.DUE PROCESS OVERSIGHT COMMITTEE (DPOC)
The Due Process Oversight Committee (DPOC) is a Trustee committee established in 2006 to be responsible for: approving due process and overseeing the IASB’s compliance with due process.
The Monitoring Board 'may refer accounting issues to. the Trustees and the IASB Chair'. and policy developments that are pertinent to the IFRS Foundation's oversight of the IASB. The Monitoring Board may request a meeting with 'the Chairpersons of the Trustees and the IASB‘. in particular in relation to the regulatory. The Trustees will make an annual written report to the Monitoring Board. to review and provide advice to the Trustees on their fulfilment of the responsibilities set out in IFRS Foundation Constitution.
. The Monitoring Board confers with the Trustees regarding their responsibilities.MONITORING BOARD
The responsibilities of the Monitoring Board are: to participate in the process for appointing IFRS Foundation Trustees and to approve the appointment of Trustees according to the guidelines set out in the IFRS Foundation Constitution. and will confer regarding these issues with. legal. in particular the agenda-setting process and the 'IASB's efforts to improve the accuracy and effectiveness of financial reporting and to protect investors'. The Monitoring Board reviews the adequacy and appropriateness of Trustee arrangements for financing the IASB. The Monitoring Board has oversight responsibilities in relation to the Trustees and their oversight of the IASB's activities of the International Accounting Standards Board (IASB).
The IASB was formed in 2001 to replace theInternational Accounting Standards Committee. private-sector body that develops and approves International Financial Reporting Standards (IFRSs). following the due process stipulated in the Constitution the approval and issuing of Interpretations developed by the IFRS Interpretations Committee. the IASB has complete responsibility for all technical matters of the IFRS Foundation including: full discretion in developing and pursuing its technical agenda. From 1 July 2012.INTERNATIONAL ACCOUNTING STANDARDS BOARD(IASB)
The International Accounting Standards Board (IASB) is an independent. the IASB has 16 members. subject to certain consultation requirements with the Trustees and the public the preparation and issuing of IFRSs (other than Interpretations) and exposure drafts.
. The IASB operates under the oversight of the IFRS Foundation. The IASB's role Under the IFRS Foundation Constitution.
.IFRS ADVISORY COUNCIL
Role of the IFRS Advisory Council The IFRS Advisory Council provides a forum for the IASB to consult a wide range of interested parties affected by the IASB's work. with the objective of: advising the Board on agenda decisions and priorities in the Board's work informing the Board of the views of the organisations and individuals on the Council on major standard-setting projects giving other advice to the Board or to the Trustees.
. has the following roles: interpret the application of IFRSs and provide timely guidance on financial reporting issues not specifically addressed in IFRSs. in the context of the IASB’s Framework. the IFRS Interpretations Committee (the 'Committee').IFRS INTERPRETATIONS COMMITTEE
Role of the IFRS Interpretations Committee Under the IFRS Foundation Constitution. have regard to the IASB‘s objective of working actively with national standard-setters to bring about convergence of national accounting standards and IFRSs to high quality solutions publish after clearance by the IASB draft Interpretations for public comment and consider comments made within a reasonable period before finalising an Interpretation report to the IASB and obtain the approval of nine of its members for final Interpretations if there are fewer than sixteen members. formerly called the International Financial Reporting Interpretations Committee (IFRIC). or by ten of its members if there are sixteen members. and undertake other tasks at the request of the IASB in carrying out its work above.