What Are the Best Tips for Learning IFRS?

The term "International Financial Reporting Standards" (IFRS) includes both broad and narrow meanings. The narrow IFRS only refers to the current series of IFRSs issued by the International Accounting Standards Board. Such announcements are different from the series of international accounting standards issued by the predecessor of the Board, the International Accounting Standards Board. Broadly defined IFRS refers to a set of IASB announcements, including standards and interpretations approved by the IASB and its predecessor, the International Accounting Standards Board.

IFRS

Right!
The term "International Financial Reporting Standards" (IFRS) includes both broad and narrow meanings. Narrow IFRS only means
IFRS was once called
Although the International Accounting Standards Board's
Foreword to IFRS
IFRS 1-First adoption of IFRS
IFRS 2-Share-based payments
IFRS 3
The convergence of Chinese accounting standards with international financial reporting standards.
Formally, the format, concepts and terminology of China's new accounting standards are basically consistent with IFRSs.
In terms of structure and content, China's new accounting standards system has basically achieved convergence with IFRSs. Convergence has been achieved in the system. The new accounting standards specifically include three levels: First, the basic standards, which cover the basic content of the framework structure for the preparation and presentation of financial statements in the International Financial Reporting Standards. The second is specific standards. In addition to a few standards, China's 38 specific accounting standards also basically cover the content of the published international financial reporting standards.
(3) In terms of basic accounting principles, measurement of accounting elements, and selection of accounting policies, the new accounting standards system also draws on international financial reporting standards. The basic accounting principles in the new basic standards, that is, the principles of authenticity, usefulness, and materiality, are basically consistent with IFRS; the measurement attributes of accounting elements have introduced replacement costs, net realisable values, present values, and fair values; In the choice of accounting policies, IFRSs have also been used for reference. For example, the inventory standard borrows from IFRS 2 to cancel the last-in-first-out method, which can better reflect the inventory circulation.
Differences between Chinese accounting standards and IFRS.
The newly issued accounting standards combine the characteristics of China's legal environment, market economy environment, and accounting practices. After consultation with the International Accounting Standards Board, some of the standards have retained some Chinese characteristics.
Differences in accounting standards positioning. In China, the basic standard is positioned as a departmental regulation, a legal norm that has a stronger role than serving as a conceptual framework in IFRS. When new business emerges and specific accounting standards are not covered for the time being, accounting treatment should be based on the principles established by the basic standards. If it is only used as a conceptual basis for the formulation of accounting standards and does not constitute accounting standards, then in the legal environment of China, It is difficult to achieve its original intention, and it is also difficult to get approval from the public and government regulators.
In terms of measurement attributes, accounting standards only introduce fair value with restrictions. In the new standard system, fair value is mainly used in financial instruments, investment real estate, business combinations not under common control, debt restructuring, and non-monetary asset exchange. The new standard system is more cautious in using fair value. On the one hand, due to the current state of the development of the Chinese market economy, it is difficult to obtain fair value reliability; on the other hand, IFRS has not completely denied the historical cost measurement. Therefore, the new Chinese standard is cautious in the use of fair value Consideration is also necessary.
(3) Differences in the content of specific guidelines. The main difference between "Accounting Standards for Business Enterprises No. 36-Related Party Disclosures" and IFRS "Related Party Disclosures" is the treatment of state-owned enterprises. IFRS was originally exempted from disclosure as a related party for state-owned enterprises, that is, government-owned enterprises, but the exemption was later cancelled. China's new "Accounting Standards for Business Enterprises No. 36-Related Party Disclosures" Chapter 6, Article 6, states that "an enterprise that is only controlled by the state and does not have other related party relationships does not constitute a related party."
Regarding the provisions on asset impairment, the difference is mainly reflected in the question of whether asset impairment can be reversed. International Financial Reporting Standard IAS36 can be switched back, and the new Chinese standard clearly stipulates that the impairment provision that has been made is not allowed to be switched back. There are three differences between the new accounting standard "Government Subsidies" and "International Financial Reporting Standards No. 20-Calculation of Government Subsidies and Disclosure of Government Aid": First, the scope is different. China's determination of the scope of government subsidies is smaller than the scope of IFRS. The second is different classification. The new accounting standards are basically the same as IAS20, but IFRS 41-Agriculture (IAS41) has supplemented the classification of government subsidies. Third, the accounting treatment of government subsidies is different. IFRS adopts the comprehensive income method for government subsidies, stipulating that all cash grants and non-cash grants given by the government should be counted as profit or loss. And Chinese regulations. If the accounting treatment method for documents such as research and development appropriations is clear, the provisions (such as special appropriations, donations, and aids shall be treated as the national investor's capital reserve), and only those that have no special provisions will be included in the income.

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