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

CHAPTER TWO

XBRL and IFRS

AN APPROPRIATE INTRODUCTION TO THIS PART OF the book is to look at what Kurt Ramin said in 2008 when, as chairman of XBRL International, he expressed his views in the broader AICPA domain of which he is a member (see www.cpa2biz.com/Content/media/PRODUCER_CONTENT/Newsletters/Articles_2008/CorpFin/Hands.jsp). What follows is a truncated version, in which links to tools references are not present. Even so, the overall tone is not lost.

XBRL and IFRS joining hands

How this powerful combination will accelerate adoption of financial reporting around the globe.

     March 6, 2008

     by Kurt Ramin, CPA

The movement towards a single set of global financial reporting standards is gaining speed in the United States. The Security and Exchange Commission's (SEC's) concept release on the use of International Financial Reporting Standards (IFRS) by U.S. companies has put real meaning into this trend. XBRL is already well established in our country. The SEC showed leadership here, so the combination IFRS/XBRL will soon take hold here as well.

Over 100 countries either require or allow the use of IFRS by listed companies, and some of those countries permit the use of IFRS for local regulatory or statutory reporting by non-listed companies. The European Union (EU), Australia and South Africa have adopted requirements to use IFRS, while others, such as Canada, India and Brazil, plan to require the use of IFRS by a specific date.

IFRS Taxonomy and XBRL

Through its Foundation, ...