International financial reporting standards (IFRS) are standards laid down by the International Accounting Standards Board (IASB). They are meant to provide guidelines on how accounting information should be handled and interpreted.
IAS 12 provides standards for interpreting income taxes. It provides a detailed balance sheet way of dealing with income taxes. This method puts into consideration the tax consequences of both current and future balancing of an assets’ or a liabilities’ carrying amount. It also provides way handling the current tax and also helps in recognizing and measuring the deferred tax liabilities. On top of this it analyzes the consequences of tax on dividends, lays down how tax should be presented on a balance sheet and handles tax disclosure.
Employee benefits are described in IAS 19. It outlines the requirements of various employee benefits. These include short-term, post-employment and long-term benefits. It also handles details of disclosing employee benefits for both employees and the employer. On top of this, it lays down one fundamental principle that recognition of the employee benefit should be done when the employee earns it but not when its payable. Finally it outlines the scope of employee benefits which includes profit sharing and bonus payment, defined benefit plans among others.
FASB codification involves availing accounting standards and principles to the students. Initially, American Accounting Association was the one providing FASB accounting codification to school faculties for US students and other schools. But this year, additional materials have been availed online for Government Accounting Research System (GARS). This will provide access to all Generally Accepted Accounting Principles (GAAP) which is a major boost to all academic institutions dealing with accounts.
“ IAS 12-income tax” Deloitte. Web, 30 September 2013.
“ IAS 19-Employee Benefits” Deloitte. Web, 30 September 2013.