Accounting standards regulations: US and Japan parent companies - review of costs and benefits
Considers the costs of financial reporting for parent companies listed on the securities and stock exchanges in the US and Japan under the UK system.
We’re reviewing the Accounting Standards (Prescribed Bodies) (United States of America and Japan) Regulations 2012. The regulations allow companies listed on the stock and securities exchanges in US or Japan, but not in the EU, to continue to use their GAAP (Generally Accepted Accounting Principles) for group accounts until December 2014. Our aim for this temporary provision was to give these companies a reasonable period to make the transition in their accounting practices.
We’re asking for your views so we can understand how the changes have affected companies and the UK’s wider accountancy system. The review will inform our policy in this area and, in particular, whether the regulations should be remade in some form.