IASB considers delaying convergence timetable

The world’s accounting rulemaker is considering “re-jigging” it’s convergence timetable to offer respondents more time to mull over new accounting rules.

The International Accounting Standards Board (IASB) plans to converge its accounting code with its US counterpart, the Financial Accounting Standards Board (FASB), by a June 2011 deadline laid down by the G20.

Robert Herz told Reuters yesterday there were plans to extend the deadline past the June 2011 deadline, following complaints from senior executive fearing they would be snowed under by the number of incoming proposals.

An IASB source has confirmed the boards are reconsidering their timetable – a move that may put them at odds with the G20 and the US Securities and Exchange Commission which have held the bodies to their timetable.

“The boards met a few weeks ago to look at how we can minimise the burden for interested parties who wish to comment on our work,” the source said.

“We’ve got to strike the right balance between getting our work done quickly and providing sufficient opportunity to receive high-quality input.”

The boards have not reached a final decision on the postponement, and hope to reach agreement on the significant standards by the original June deadline.

“As a result we are considering re-jigging the work plan to limit the number of major consultations at one time and to prioritise the most important projects, but a final decision has yet to be made… We still expect to complete the great majority of our convergence work by June 2011.”

Further reading

Herz moves convergence deadline six months