Al Rosen, a forensic accountant and principal of Rosen & Associates in Toronto wrote about his opinion on IFRS (International Financial Reporting Standards) in Canadian Business magazine.
The U.S. might be moving from GAAP (Generally Accepted Accounting Principles) to IFRS, although there isn’t hasn’t been a final decision or a timeline for doing so. The problems that Rosen cites probably apply equally to the U.S. Under GAAP reporting, the system developed and used in the U.S., changes can be made to the rules based upon business conditions here and abuses of the rules.
If we move to an international standard, we end up losing control and playing by an international standard for which control is far removed from U.S. regulators. Here’s what Rosen had to say (bold added by me):