The difference between IFRS vs IAS (International Accounting Standards) are mentioned here. By this article you can learn the difference between IFRS (International Financial Reporting Standards) vs IAS (International Accounting Standards), when was they implemented and the introduction of both IFRS and IAS.
Whats is IFRS ?
International Financial Reporting Standards (IFRS) is a set of accounting standards developed by an independent, not-for-profit organization called the International Accounting Standards Board (IASB).
What is IAS ?
IAS full form is International Accounting Standards
The international accounting standards (IAS) were an older set of standards stating how particular types of transactions and other events should be reflected in financial statements. In the past, international accounting standards were issued by the Board of the International Accounting Standards Committee (IASC); since 2001, the new set of standards has been known as the international financial reporting standards (IFRS) and has been issued by the International Accounting Standards Board (IASB). Although IASC has no authority to require compliance with its accounting standards, many countries require the financial statements of publicly-traded companies to be prepared in accordance with IAS.
What is the difference between IAS and IFRS?
So how is IAS and IFRS different? Well, technically they are the same. IFRS is the current set of standards that is reflective of the changes in the accounting and business practices over the last two decades. IAS is what used to be prior to the introduction of IFRS. However, not all of the IAS are outdated. In fact, to date there are only 9 IFRS issued and the IAS that were not superseded by the IFRS are still in use. The IASB no longer issues IAS. Any future standards will now be called IFRS, and if they are contradictory to existing IAS, the IFRS will be followed.
IFRS vs IAS – Keypoints
- IAS stands for International Accounting Standards, while IFRS refers to International Financial Reporting Standards.
- IAS standards were published between 1973 and 2001, while IFRS standards were published from 2001 onwards.
- IAS standards were issued by the IASC, while the IFRS are issued by the IASB, which succeeded the IASC.
- Principles of the IFRS take precedence if there’s contradiction with those of the IAS, and this results in the IAS principles being dropped.
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