Mediating Perception of Accounting Professionals Towards Implementation of International Financial Reporting Standards

Abstract

Indian companies are also growing their wealth worldwide due to diversification, cross-border fusions, acquisitions, or dis-investments with the growth and development of the economy and increasing convergence of global economies. Under these conditions, it is necessary for the Indian corporate globe to follow IFRS (To create a common accounting language throughout the world, so that businesses and their financial statements can be consistent and reliable across nations, International Financial Reporting Standards (IFRS) were created by International Accounting Standards Board (IASB) in the year 2001) for its financial reporting. The Core Group of ‘Ministry of Corporate Affairs’ of India (MCA) has recommended IFRS convergence in a phased manner from April 1, 2012. The present study examines the attributes that form the perceptions of accounting professionals towards the ‘International Financial Reporting Standards’ (IFRS) implementation. The studies suggested that the implementation of IFRSs has been focused, with a view to minimize difficulties for the implementation participants (Sharad Sharma, Manag Audit J 32(4/5), 406–426. https://doi.org/10.1108/MAJ-05-2016-1374 , 2017). A similar view expressed by (Weaver, Account Europe, 12(2), 1–25, 2015) observed different dimensions about the global accounting standards and the challenges faced during the implementation such as costs to be incurred in the implementation, IFRS awareness, and IFRS training and technology to be adopted to enhance that the implementation of IFRS brings comparability and uniformity. A comparative study conducted on usage of the national GAAP (Generally Accepted Accounting Principles (GAAPs) are those concepts and conventions on which the accounting system is based. The primary objective of these principles is to bring uniformity and consistency in the preparation and presentation of final statements). The author focused on reliability of information and openness in the capital markets are positively linked with the IFRS compliance (Bova, J Int Account Res, 11(1), 83–111, 2012).