IFRS and XBRL: How to improve Business Reporting through Technology and Object Tracking

CHAPTER THREE

Governance and accountability of the IFRS Foundation

3.1 HISTORY, STRUCTURE AND FINANCE

The IFRS and IAS are developed and published by the International Accounting Standards Board, an international non-governmental organisation operationally based in London but legally registered as a not-for-profit entity in Delaware, USA.

The IASB was preceded by the International Accounting Standards Committee, also London based. On 29 June 1973, the IASC was founded by nine professional accountancy bodies from the United States, the United ­Kingdom/Ireland, Canada, Australia, Japan, Germany, France, Mexico and the ­Netherlands. Actually, the roots go back to 1966. At that time, there was a proposal by professional accountancy bodies in Canada, the United Kingdom and the United States to create an Accountants International Study Group to develop comparative studies of accounting and auditing practices in the three nations. So, clearly, the effort began as an IFRS Anglo-Saxon initiative. Of course, much has happened since then.

The main objectives of the former IASC were to formulate and publish, in the public interest, accounting standards to be observed in the presentation of financial statements, and to promote the worldwide acceptance and observance of such standards. Furthermore, the general purpose of that organisation was to work for the improvement and harmonisation of regulations, accounting standards and procedures relating to the presentation of financial statements. ...