IFRS (International Financial Reporting Standards) and IAS (International Accounting Standards) are global standards for accounting. See Wikipedia entry about IFRS
Adempiere seeks to be fully compliant with IFRS/IAS standards.
Currently a review is being conducted of Adempiere and level of compliance is being documented. Where areas of non-compliance are identified, recommendations will be made in order to ensure that future versions meet full IFRS compliance.
The schedule for the review is based on available time and priorities set by the community. If you have a specific project or requirement then please contact Michael Judd.
This project is part of the road map to Accounting Kernel Certification.
It should be noted that the IFRS's apply differently to each company depending on what industries your business operates in, your accounting policies and 'materiality' of certain aspects of your operations. An example might be, in IFRS7 which requires disclosure of financial instruments (which includes accounts receivable and accounts payable), that the extent of disclosure required depends on the businesses use of financial instruments and it's exposure to risk.
There are also numbers non-financial disclosures (i.e. the balances do no manifest themselves in an account in the general ledger) and whilst addressing these is critical in maintaining compliance within IFRS, the information would not necessarily be held in your ERP system. This holds true for other regulatory frameworks such as Sarbanes Oxley Act and Basel II (although you can keep Basel risk data as statistical postings in general ledger).
There are also a some recommendations for Client configuration in the IFRS Compliance Recommendations page.
The status of the review is as follows:
|IFRS 1||First-time Adoption of International Financial Reporting Standards||Complete||IFRS First Time Adoption|
|IFRS 2||Share-based Payment||Complete||Share Based Payments|
|IFRS 3||Business Combinations||Complete||Business Combinations|
|IFRS 4||Insurance Contracts||Pending|
|IFRS 5||Non-current Assets Held for Sale and Discontinued Operations||Complete||NCA held for Sale & Discontinued Operations|
|IFRS 6||Exploration for and evaluation of Mineral Resources||Pending|
|IFRS 7||Financial Instruments: Disclosures||Pending|
|IFRS 8||Operating Segments||Pending|
|IAS 1||Presentation of Financial Statements||Pending|
|IAS 2||Inventories||In Progress||Discussion|
|IAS 7||Cash Flow Statements||Pending|
|IAS 8||Accounting Policies, Changes in Accounting Estimates and Errors||Pending|
|IAS 10||Events After the Balance Sheet Date||Pending|
|IAS 11||Construction Contracts||Complete (Not Currently Compliant)||Discussion|
|IAS 12||Income Taxes||Pending|
|IAS 16||Property, Plant and Equipment||Pending|
|IAS 19||Employee Benefits||Pending|
|IAS 20||Accounting for Government Grants and Disclosure of Government Assistance||Pending|
|IAS 21||The Effects of Changes in Foreign Exchange Rates||In Progress|
|IAS 23||Borrowing Costs||Pending|
|IAS 24||Related Party Disclosures||Pending|
|IAS 26||Accounting and Reporting by Retirement Benefit Plans||Pending|
|IAS 27||Consolidated and Separate Financial Statements||Pending|
|IAS 28||Investments in Associates||Pending|
|IAS 29||Financial Reporting in Hyperinflationary Economies||Pending|
|IAS 31||Interests in Joint Ventures||Pending|
|IAS 32||Financial Instruments: Presentation||Pending|
|IAS 33||Earnings per Share||Pending|
|IAS 34||Interim Financial Reporting||Pending|
|IAS 36||Impairment of Assets||Pending|
|IAS 37||Provisions, Contingent Liabilities and Contingent Assets||Pending|
|IAS 38||Intangible Assets||Pending|
|IAS 39||Financial Instruments: Recognition and Measurement||Pending|
|IAS 40||Investment Property||Pending|
Adoption of IFRS
The following countries now have adopted IFRS:
- Europe and Central Asia
Armenia, Austria, Bangladesh, Belgium, Bulgaria, Croatia, Cyprus, Czech Republic, Denmark, Estonia, Finland, France, Georgia, Germany, Greece, Hungary, Ireland, Italy, Kyrgystan, Latvia, Lithuania, Luxembourg, Macedonia, Malta, Netherlands, Norway, Poland, Portugal, Romania, Russia, Slovakia, Slovenia, Spain, Sweden, Switzerland, Tajikistan, Ukraine, United Kingdom
Bahamas, Barbados, Costa Rica, Dominican Republic, Ecuador, Guyana, Haiti, Honduras, Jamaica, Panama, Papua New Guinea, Peru Trinidad & Tobago
- Asia Pacific
Australia, Brunei, Nepal, Singapore, Taiwan
- Africa and Middle East
Egypt, Jordan, Kenya, Kuwait, Malawi, Mauritius, Oman, Tunesia
- Whilst other countries are converging including:
Moldova, Uzbekistan, Argentina, Brazil, Canada, Cayman Islands, Chile, Guatemala, Mexico, Uruguay, Venezuela, United States, New Zealand, China/Hong Kong, India, Indonesia, Iran, Israel, Pakistan, South Africa, Zimbabwe, Japan, South Korea, Malaysia, Philippines, Thailand