The ASB's first proposals for an accounting standard
to replace current UK GAAP resulted in nearly 300
responses.
The proposed standard, the FRSME, was based on the International
Financial Reporting Standard for Small and Medium-sized Entities
(IFRS for SMEs) with minimal amendment. As a consequence many
accounting choices offered by current UK GAAP were not permitted
and other aspects of established accounting practice were not
addressed.
The ASB has taken into account the comments received and in
January it issued its revised proposals in the form of FRED 48
'The Financial Reporting Standard applicable in the UK and
Republic of Ireland' (draft FRS 102) (the 'proposed
Financial Reporting Standard'). While the revised proposed
standard is still based on the IFRS for SMEs, the ASB has included
a number of accounting options already permitted by current UK GAAP
as well as additional guidance in a number of areas.
