SEC REMOVES RECONCILIATION REQUIREMENTWashington, D.C. - The Securities and Exchange Commission voted in mid-November to remove the requirement for non-U.S. companies to reconcile their financial statements to U.S. generally accepted accounting principles.

The SEC decided to accept financial statements prepared in accordance with International Financial Reporting Standards as issued by the International Accounting Standards Board without the need to reconcile them with U.S. GAAP. However, the SEC said that the statements would not be accepted if they conformed to variations on IFRS, such as the ones implemented by the European Union, though European companies will get a two-year exemption on meeting IASB rules on accounting for derivatives.

Register or login for access to this item and much more

All Accounting Today content is archived after seven days.

Community members receive:
  • All recent and archived articles
  • Conference offers and updates
  • A full menu of enewsletter options
  • Web seminars, white papers, ebooks

Don't have an account? Register for Free Unlimited Access