On 11 June 2009, the Planning and Coordination Committee of the Business Accounting Council (BAC) held a meeting on the application of IFRSs in Japan. The BAC is an advisory body on accounting matters to the Financial Services Agency of Japan. At the meeting, the BAC Committee approved a draft 'roadmap' toward IFRSs in Japan: Key conclusions in the interim report are:
- It is appropriate that the optional use of IFRSs as issued by the IASB should be permitted starting in the fiscal year ending in March 2010, in the consolidated financial statements of listed companies whose financial or operational activities are conducted internationally.
- A decision regarding the mandatory use of IFRSs in consolidated financial statements of all listed companies should be made around 2012, though the timing may be moved back or forward depending on various factors. It is important to ensure a sufficient preparation period of at least three years before the mandatory use starts. Mandatory use would most likely start from 2015 or 2016 if the decision is made in 2012.
This Interim Report will be submitted to the plenary meeting of the BAC, expected to take place later this month.
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