On December 19, 2013 the NOFA Foundation held a round table devoted to discussion of the forthcoming changes in Conceptual Framework for Financial Reporting

Askold Birin, Chairman of the National Accounting Standards Board (NASB) of the NOFA Foundation, Partner of FBK, addressed the participants of the Round Table with a welcoming speech. He noted a special role of the discussed document for IFRSs. The expert reminded that in February, 2013 the NOFA Foundation fulfilled the official translation of this document into Russian, and also that the document is already submitted for expertise of the applicability preceding official recognition in the territory of Russia.

Olga Solovyova, member of NASB of the NOFA Foundation, Doctor of Economics, Professor of Accounting, Analysis and Audit chair of Moscow State University spoke about the purpose and history of evolution of Conceptual Framework for Financial Reporting. In particular, she dwelled on evolution of composition of users in which interests the statements are prepared, the definition of financial statements, and also qualitative characteristics of the statements.

Great interest was aroused by the speech of Danil Prokopovich, member of NASB of the NOFA Foundation, Chairman of IFRS Committee of Institute of professional accountants and auditors of Russia. The expert expressed opinion that in addition to its practical value a new edition of Conceptual Framework has a great theoretical value. He told about the innovations proposed by IASB, London, in particular, about the proposed changes in definition of assets and liabilities, their measurement and recognition, and also about how these changes can be reflected in information incorporated in financial statements, prepared in accordance with IFRSs. Mr. Prokopovich invited the participants to discuss these innovations both on a round table, and by presenting their position directly to IASB.

Alla Saltykova, member of Management Board of the NOFA Foundation, Partner of Deloitte and Touche informed about actual situations in which originators and auditors of financial statements prepared in accordance to IFRSs have to address directly to Conceptual Framework due to the absence of the corresponding rules in IFRS system. As an example, Mrs. Saltykova considered a problem of users’ influence on the reporting, accounting for advance payments made by the organization, and also preparation of combined financial statements.

The Round Table caused a great interest among the invited representatives of State authorities and the professional society. About 40 experts took part in the discussion at the Round Table.