Convergence between the International Financial Reporting Standards (IFRS) and US Generally Accepted Accounting Principles (GAAP) has looked increasingly uncertain over the past few years and now, with the International Accounting Standards Board (IASB) and the Financial Accounting Standards Board (FASB) pursuing their own, independent
agendas, our current two-GAAP world looks set to continue.

Therefore, an understanding of the differences between IFRS and US GAAP continues to be important to preparers and users of financial statements.

Accordingly to throw light on the differences between IFRS and US GAAP, the 2016 edition of IFRS compared to US GAAP was released on 13 December 2016, along with an overview version, which provides a high-level briefing for audit committees and boards.  

The publication does not discuss every possible difference; rather, it is a summary of those areas that are encountered most frequently, where the principles differ or where there is a difference in emphasis or specific application guidance.

The focus of this publication is on the recognition, measurement and presentation rather than disclosure; therefore, disclosure differences are generally not covered. However, areas that are disclosure-based, such as segment reporting, are included.

To access the content of the overview version of the publication, please click here.

For more information, also visit Insights section of KPMG International site.