SINGAPORE ACCOUNTING STANDARDS COUNCIL (ASC) ISSUES SINGAPORE FINANCIAL REPORTING STANDARD FOR SMALL ENTITIES [Singapore, 1 December 2010] The Singapore Accounting Standards Council (ASC) issued today the Singapore Financial Reporting Standard for Small Entities (SFRS for Small Entities or the standard), together with a statement that sets out the applicability of the standard. The SFRS for Small Entities is closely modelled after the International Financial Reporting Standard (IFRS) for Small and Medium Sized Entities which was issued by the International Accounting Standards Board (IASB)1. The SFRS for Small Entities will be applicable for financial reporting periods beginning on or after 1 January 2011. The SFRS for Small Entities is an alternative framework to the full SFRS for eligible entities in Singapore. Eligible entities can choose to apply the full SFRS or the SFRS for Small Entities. An entity is eligible to apply the SFRS for Small Entities if: It is not publicly accountable; It publishes general purpose financial statements for external users; and It satisfies at least two of the three following criteria: Total annual revenue of not more than S$10million; Total gross assets of not more than S$10million; Total number of employees of not more than 50. The ASC has consulted the public and various stakeholders before issuing the standard. Most respondents welcomed the standard as it would help lower compliance costs for small entities, particularly in the areas of financial reporting as well as training requirements. "The SFRS for Small Entities is built upon the sound principles of the full IFRS. It is a robust standard that can stand on its own. The ASC is of the view that the standard will better meet the needs of non-publicly accountable entities with smaller operations, and benefit them in terms of reduced financial reporting burden and more cost savings." said Ms Euleen Goh, Chairman of ASC. To help entities and the accountancy profession better understand and prepare for the adoption of the standard, the ASC will be organising a three-day Train-the-Trainer workshop on 24-26 January 2011 and a half-day public seminar on 26 January 2011. The ASC has specially invited Mr Paul Pacter and Mr Michael Wells from the IASB to conduct these sessions, so that participants can learn from the experts in the IASB. Interested parties can refer to the ASC website (www.asc.gov.sg) for registration details. Enclosed: ASC Statement on Applicability Please click here for SFRS for Small Entities. 1The International Financial Reporting Standard for Small and Medium Sized Entities was issued by the International Accounting Standards Board on 9 July 2009.