The objective of this event was to:
- Provide an overview of the IFRS for SMEs issued by the International Accounting Standards Board (IASB);
- Illustrate the underlying concepts of the IFRS for SMEs with a case study;
- Identify the entities in each economy which are classed as publicly accountable and so are not eligible to apply the IFRS for SMEs.
Ninety-one participants from the REPARIS economies, representing ministries of finance, public supervisory bodies, professional accounting bodies, academics, and private accounting and auditing firms, attended the three-hour event.
In advance of the event, the participants were asked to read the relevant sections of the IFRS for SMEs and to prepare a case study considering which entities should be classified as publicly accountable.
The session was moderated by Mr. John Hegarty, Head of the World Bank Centre for Financial Reporting Reform. Mr. Michael Wells, Director of the IFRS Education Initiative at the International Accounting Standards Committee Foundation (IASCF), made two presentations, which were each followed by active Q&A sessions. In the first he gave an overview of the requirements of each of the 35 sections of the IFRS for SMEs, discussing the similarities and differences between the IFRS for SMEs and full IFRS, especially in the treatment of amortization and goodwill. In Mr. Wells’ second presentation, he reviewed the characteristics of SMEs, differentiating them from entities which are subject to public accountability and so are not eligible to apply the IFRS for SMEs. The presentation concluded with a case study, illustrating the application of the IFRS for SMEs. In the subsequent Q&A session, participants provided an overview of the issues surrounding public accountability in their respective economies.
During this distance learning event, participants enhanced their understanding of the IFRS for SMEs, and the IASB criteria for public accountability. In particular, the event provided an opportunity for participants to improve their understanding of which entities were eligible to apply the IFRS for SMEs in their particular jurisdictions.