The Handbook to IFRS Transition and to IFRS U.S. GAAP Dual Reporting

7.6 BASES OF ACCOUNTING IN INTERIM FINANCIAL STATEMENTS

Exhibit 7-7 illustrates the implications in interim financial statements of using different bases of accounting.

Exhibit 7-7 Impact of the Choice of Reporting Basis on Annual Financial Statements of a Foreign Private Issuer

7.6.1 Bases of Accounting to Use in Interim Financial Statements

Under Form 20-F, the basis of accounting for the purpose of unaudited interim financial statements must generally be consistent with that used for audited annual financial statements contained or incorporated by reference in the document. For example, an IASB-IFRS foreign private issuer will use that basis of accounting in its interim financial statements. A jurisdictional IFRS foreign private issuer that reconciles to U.S. GAAP in its annual financial statements also does so in its interim financial statements.128

7.6.2 Effect on Compliance with Section 270-10-S99 (Rule 10-01 of Regulation S-X)

Form 20-F refers to Section 270-10-S99 (Regulation S-X § 210.10-01) for the level of aggregation of the condensed interim financial statements that update more than nine-month old information (Paragraph 7.3.4 previously).129 Use of IASB-IFRSs is one of the conditions in order for Section 270-10-S99 (Regulation S-X § 210.10-01) not to apply.130 Paragraph 7.2.3.5 previously expands on the other conditions (i.e., the adoption of IAS 34 and a statement ...