Accounting Council to Publish Exposure Draft on Financial Reporting Standards 102
The Accounting Standards Board’s replacement body, the Accounting Council has informed the FRC about its plans regarding issuing of an Exposure Draft on well-defined advantage multi-employer pension plans. If the plan gets an approval from the Financial Reporting Council then the draft would be released along with its existing review process plan associated with the all new Financial Reporting Services 100-102 financial accounting related standards for replacing UK Generally Accepted Accounting Principles that is due to be published by the end of 2012.
The Accounting Council stated that the amendment is going to be in accordance with International Accounting Standard 19, Employee Benefits. The Accounting Council made a couple of recommendations to the Financial Reporting Council as well. One of these recommendations is that the small enterprises that opt for applying Financial Reporting Standards 102 in place of FRSSE shouldn’t be exempted from creating a cashflow related statement.
It must be noted that on the 2nd of July 2012, the Financial Reporting Council was assigned with the responsibility of releasing financial accounting principles and standards. Following this, the Accounting Council discussed several important matters while considering how it would respond to FREDs forty six to forty eight. These responses would indicate the project’s progress. However, the decisions were to be finalized only after the Accounting Council provided the Financial Reporting Council with its recommendations and the accounting standards got approval for release by the Financial Reporting Council Board.
During its meeting held on 6th September 2012, the Accounting Council discussed several matters pertaining to Draft Financial Reporting Standards 100 101 and 102, employee benefits, Step acquisitions, step disposals and changes in stake and cash flow statement.
In matters pertaining to Draft Financial Reporting Standards 100 and 101, the Accounting Council took a tentative decision regarding recommending the FRC to make a few small amendments to the draft. The Accounting Council clarified that the organizations that apply the Reduced Disclosure Framework in FRS 101 should comply with the company law format related requirements.
On matters related to Draft Financial Reporting Standards 102, the Accounting Council reviewed its temporary decisions regarding date as responses pertaining to FREDs forty six and Forty Eight had been received.