For many years, the Securities and Exchange Commission (SEC), whose mission is to protect investors, maintain fair, orderly, and efficient markets, and facilitate capital formation, has understood the need for and has helped drive the development of a single set of global accounting standards. In June of this year, the SEC issued a proposal to eliminate the reconciliation requirement for foreign private issuers preparing their financial statements in accordance with International Financial Reporting Standards (IFRS). However, given that IFRS is an accounting system still in its infancy that is being applied today in over 100 countries, it would be unrealistic not to expect to find differences in interpretation and application across such a broad spectrum.
Consequently, it is likely the SEC will continue to view U.S. Generally Accepted Accounting Principles (U.S. GAAP) as the preferred set of accounting standards for the foreseeable future. Understanding the impact U.S. GAAP will have on a company's accounting and reporting processes therefore remains essential for success in the US capital market.
US Accounting Services BV offers companies contemplating changing their accounting to U.S. GAAP, as well as companies already on U.S. GAAP, a host of services including: