Key concepts of financial reporting standards under IFRS and US GAAP

IASB and FASB made significant progress toward a common framework but the two still differ in many respects

  • Performance: 
    • IASB list income and expenses as element
    • FASB list revenue, expenses, gains, losses and comprehensive income
  • Asset 
    • FASB: defined as future economic benefits 
    • IASB: Defined as a resource from which a future economic benefits flow 
  • FASB does not allow the upward evaluation of most assets

Reconciliation statement: 

  • Company’s financial results have been reported under alternative reporting system. 

Special financial reporting format is applied to particular industries.