Representatives of the U.S. and Japanese accounting standards boards met in Connecticut this week to talk about their efforts to converge with international standards.
Members of the Accounting Standards Board of Japan and the Financial Accounting Standards Board met on February 7 and 8, 2011, at FASB’s headquarters in Norwalk, Conn. This meeting was the tenth in a series of discussions between the ASBJ and FASB designed to enhance dialogue between the two boards as they both pursue global convergence of accounting standards.
FASB has been holding joint meetings with the International Accounting Standards Board aimed at converging U.S. GAAP with International Financial Reporting Standards. Later this year, the Securities and Exchange Commission is expected to decide whether the two boards have made sufficient progress on convergence, and whether IFRS can eventually be incorporated into the U.S. financial reporting system.
The decision for Japan on whether IFRS will be accepted for financial reporting is expected in or around 2012. With those forthcoming decisions in sight, both the ASBJ and the FASB updated each other on the progress they have been making on convergence, especially on the standards for financial instruments, revenue recognition and leases. The two boards agreed that they would continue to exchange views on the issues they are facing and their current concerns.
“Our dialogue on major joint projects with the IASB, and our shared interest in international convergence, are important to ensuring the future of high-quality financial reporting in both Japan and the United States,” said FASB chairman Leslie F. Seidman in a statement.
The next joint meeting is planned for this summer in Tokyo.
