Current Status of convergence
The convergence between FASB and IFRS is been worked out with various key points. The Government is working towards it since 2002 and has been constantly reviewing the progress. An MOU was prepared which stated the convergence of a high quality standard with one goal of setting a common standard of accounting for all. The Board regularly updates the MOU. As for the current status of convergence, a transition group was formed by the Board which was set to resolve any issues which may occur in the process of converging the standards. The group aims to help companies account better and make it easier for them to adopt the single high quality standards. Currently 120+ countries have adopted IFRS. Since 2012, IASB and FASB are attempting to reduce the differences in the classification and various measurement models of financial instruments. It aims to bring one method of measurement in place of different models applied.
The standards place special importance of lease, revenue recognition, insurance and financial instruments. One means of reporting the same will change the way accounting standards are looked at. In 2012, the Board issued a report regarding the status of the process of convergence which showed a few unresolved issues concerning the interpretation of the standards in different ways.
As for 2012, there are a total of 120+ countries who have adopted IFRS and there is constant regulation and updating of the Board regarding any issues which may arise. The Board is striving to make it easier for countries to adopt IFRS and is constantly working towards the achievement of its goals.
List of countries to have adopted IFRS
Spotlight on work plan for Global Accounting Standards. (2014, May 05). Retrieved from SEC: http://www.sec.gov/spotlight/globalaccountingstandards.shtml