Accounting / OECD countries favour accrual accounting

Nearly 75% of OECD countries have adopted accrual accounting for their year-end financial reports and more than a quarter now prepare their annual budgets on an accrual basis, according to research by the International Federation of Accountants (IFAC) and the OECD

Accounting / IFRS 15: revenue recognition overhaul

IFRS 15 Revenue from Contracts with Customers comes into force from next year but has been surpassed by businesses focussing on IFRS 9, IFRS 16 and IFRS 17. Jeroen Van Doorsselaere, vice president of risk and finance at Wolters Kluwer, outlines the new rules on revenue recognition under IFRS 15

Accounting / PwC agrees settlement in $2bn MF Global legal case

PwC’s US firm has come to a settlement with former audit client MF Global Holdings, ending a high profile trial in New York over claims the firm was allegedly negligent in its accounting advice to the derivatives broker, which went bankrupt in 2011 after suffering huge financial losses on European government debt

Accounting / FRC proposes simplifications to FRS 102 to cut costs

The Financial Reporting Council (FRC) is consulting on proposals to make some significant changes to FRS 102 to clarify loan definitions and alter the market definition of some directors loans 

Accounting / Companies Act: share capital and company structure - part 1

The majority of UK companies incorporated under the Companies Act 2006 (CA 2006) are limited by share capital. Unsurprisingly, the requirements for issuing and maintaining share capital are numerous and complex. Having an awareness of this area of company law is one thing, but being familiar with it is a stage further, and that familiarity can help to identify opportunities to reassess, streamline and simplify a company’s capital structure, says Anne Cowley ACA

Accounting / IFRS 9 transition arrangements fraught with difficulty, warns EBA

The European Banking Authority (EBA) has issued an opinion on the transitional arrangements and credit risk adjustments to mitigate the effect of the accounting standard IFRS 9 Financial Instruments on prudential ratios, warning that it could mean banks recognise lower loan-loss provisions or impairments than they do at present

Accounting / International Valuation Standards 2017: what’s new?

Alex Aronsohn FRICS, technical director at the International Valuation Standards Council (IVSC) examines the main changes to IVS 2017 which is due to come into force from July 2017 and considers what it means for valuation professionals and accountants

Accounting / Small business accounts: financial instruments - part 4

Anne Cowley ACA considers potential pitfalls when reporting and accounting for director’s loans, fixed asset invements and derivatives under new UK GAAP, with tips and advice for smaller businesses considering adopting FRS 105

Accounting / IFRS taxonomy 2017 published

The IFRS Foundation has published the IFRS Taxonomy 2017, which reflects the International Financial Reporting Standards (IFRS) as issued by the International Accounting Standards Board (IASB) at 1 January 2017, including standards published but not yet effective 

Accounting / Fake accounting sees US marijuana company profits go to pot

The US Securities and Exchange Commission (SEC) has issued a £12m fine on a California-based company which sold vending machines to dispense marijuana, for falsely touting ‘record’ revenue numbers to investors while some of its earnings came from sham transactions with a secret affiliate

Accounting / Local authorities’ annual accounts improved, finds Welsh auditor general

The quality of pre-audit annual accounts produced by Welsh local authorities has improved for 2015/16, but medium-term issues require attention, the Auditor General for Wales has found

Tax / Budget 2017: cash basis accounting threshold upped to £150K

At Budget 2017 the Chancellor confirmed that the entry threshold for cash basis accounting is to be raised to £150,000 in a move designed to give more small businesses the choice to benefit from the simplified approach to accounts

Accounting / Pension deficits: dividends and distributable reserves

Pensions are an increasingly pressing issue for UK companies and in recent months the burden has become so great that it has started impinging more and more on companies’ dividends and ability to raise capital, explains Alex Waite, partner at Lane Clark & Peacock

Accounting / PwC in US court case over MF Global accounting advice

PwC’s US arm has gone on trial in New York over claims the firm was allegedly negligent in its accounting advice to derivatives broker MF Global Holdings, which went bankrupt in 2011 after suffering huge financial losses on European government debt

Accounting / Government shelves Companies House six-year data wipe plan

Controversial plans for Companies House to delete records of dissolved companies after six years rather than the current 20-year threshold have been shelved, the government has confirmed to CCH Daily