International Financial Reporting Standard (IFRS or IAS) functionality

See Also

Certain companies may be required to adopt International Financial Reporting Standards instead of the UK Generally Accepted Accounting Principles (GAAP) in the preparation of financial statements.

Additional tax issues may arise, particularly in the first year of adopting the new accounting standards.

Also, the format of IFRS accounts differs from those prepared under UK GAAP. The Statement of Recognised Income and Expense may contain items relevant for tax.

As a result of these new standards, the software introduces the following new schedules:

Statement of recognised income and expense
Change in basis adjustments
Loan relationship movements disregarded
Loan relationship-amortised cost basis
Derivative movements disregarded
Sundry adjustments to derivative movements.

and makes amendments to these existing ones:

Profit and loss account - this becomes the Income Statement in an IFRS computation
All schedules which make references to UK GAAP terminology
Deferred tax.

Setting a computation as IFRS

A new computation defaults to UK GAAP. It can be changed to IFRS by selecting File, Properties, Accounting standard and setting the appropriate option in the dialog box that appears. The setting is preserved on roll forward. The name of the user, the date and the type of accounting standard change is recorded within the audit trail.

Editing brought forward figures

Under IFRS it may be necessary to change certain brought forward figures. If so, a brought forward value can be changed by clicking on the brought forward cell and selecting Edit, Edit brought forward. A box then appears which allows you to override the contents of the cell.

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