Washington, D.C. (July 13, 2012) – “The American Institute of CPAs (AICPA) commends the staff of the Securities and Exchange Commission (SEC) for its thoughtful analysis and the preparation of a comprehensive report regarding incorporation of International Financial Reporting Standards (IFRS) into the financial reporting system for U.S. public companies,” said Barry C. Melancon, CPA, CGMA and AICPA president and CEO.
The AICPA has long supported the goal of a single set of high quality, global financial reporting standards to be used by public companies in the preparation of transparent and comparable financial reports throughout the world. The AICPA believes that IFRS are best positioned to become those global standards.
“We applaud the SEC staff for its robust efforts to review IFRS and we urge the Commissioners to consider the staff report with expediency because the world’s capital markets know no borders. The participants in those markets need high quality, transparent, and comparable financial information to enable them to make sound investment decisions,” said Melancon.
“We also urge the Commissioners to allow U.S. public companies the option to adopt IFRS,” said Melancon. An adoption option would provide a level of consistency in the treatment of U.S. companies and foreign private issuers that report under IFRS that does not exist today, and would facilitate the comparison of U.S. companies that elect IFRS with their non-U.S. competitors that use IFRS.