[Singapore, 31 August 2012]
The Accounting Standards Council (ASC) announced today that it will allow stakeholders more time to implement FRS 110 Consolidated Financial Statements, FRS 111 Joint Arrangements, FRS 112 Disclosure of Interests in Other Entities, FRS 27 Separate Financial Statements and FRS 28 Investments in Associates and Joint Ventures (collectively the Relevant Standards). The mandatory effective date of the Relevant Standards is deferred for a year from annual periods beginning on or after 1 January 2013 to annual periods beginning on or after 1 January 2014.
The ASC had carried out a series of stakeholder consultation and outreach activities on the Relevant Standards before their issuance in September 2011. In its ensuing engagement with stakeholders after the Relevant Standards were issued, the ASC has been apprised that the challenges faced by stakeholders in implementing the Relevant Standards were more significant than the stakeholders had anticipated and accordingly, more time would be required to effect the implementation plans that they had put together for the Relevant Standards.
Taking into consideration this development, the ASC concluded that it is in the best interest of stakeholders to allow more time for the implementation of the Relevant Standards. The ASC urges stakeholders to continue their efforts to resolve the implementation issues expeditiously before the revised mandatory effective date.
Notwithstanding the deferral of the mandatory effective date of the Relevant Standards, earlier application of the Relevant Standards continues to be permitted, subject to the requirements for earlier application as set out in the Relevant Standards.
For media queries, please contact:
Ms. Soh Siew Luie
Tel: 6332 6182
Ms. Mayna Teo
Head (Corporate Communications 2), Ministry of Finance
Tel: 6332 6731
Issued by: The Accounting Standards Council
Date: 31 Aug 2012
Background on the Accounting Standards Council
The Accounting Standards Act was passed in Parliament on 27 Aug 2007 and came into effect on 1 Nov 2007. With the enactment of the Accounting Standards Act, the Accounting Standards Council was formed to formulate accounting standards applicable to companies and promulgate accounting standards for charities, co-operative societies and societies. Its mandate is to develop, review, amend and approve financial reporting standards for entities that are under its purview, taking into account:
- The information needs of the stakeholders of the entities;
- Facilitation of comparability, disclosure and transparency;
- Compatibility with relevant international standards; and
- Singapore’s reputation as a trusted international business and financial hub.