IOSCO releases a statement on enhancing collaboration between IASB and FASB on accounting for goodwill
05 March 2021
The International Organization of Securities Commission (IOSCO) has released a statement calling for enhanced collaboration between IASB and FASB on accounting for goodwill.
The IOSCO has recently submitted a Comment Letter to the IASB on its Discussion Paper Business Combinations-Disclosures, Goodwill and Impairment. The FASB is also revisiting its requirements on accounting for goodwill.
The IOSCO has observed in its statement that when the requirements under U.S. GAAP are as aligned as possible with those under IFRS on accounting for goodwill, there is greater comparability in financial statements prepared under IFRS and U.S. GAAP. Based on its experience, the IOSCO has called on the IASB and the FASB to work collaboratively to achieve a converged outcome.
The IOSCO statement may be accessed here.