(New York/) -- The International Federation of Accountants (IFAC) has released on December 12, 2006 a new information paper that explores the needs of users and preparers of the financial reports of micro-entities entitled “Micro-Entity Financial Reporting: Perspectives of Preparers and Users,” the paper includes a review of the existing research on the topic, a survey of the legal status of micro-entities in different countries, and the various definitions that exist in different jurisdictions.
The research was prompted by a concern that the International Accounting Standards Board's (IASB) proposed accounting standard for SMEs, International Financial Reporting Standard for Small and Medium-Sized Entities (IFRS for SMEs), may not be suited to micro-entities.
IFAC is considering undertaking further research in this area, in particular, to investigate whether the proposed IFRS for SMEs is likely to meet the needs of users of financial reports of micro-entities.
IFAC is the worldwide organization for the accountancy profession dedicated to serve the public interest by strengthening the profession and contributing to the development of strong international economies.
For more information please visit the following website: www.ifac.org