Annual Report 2011 - The Malaysian Institute Of Certified Public ...

President’s StatementTechnical Pronouncements69NOTES:(1) Approved Accounting Standards comprise:(a) MASB Standards issued by the Malaysian Accounting Standards Board (MASB).(b) Extant International Financial Reporting Standards (IFRS) adopted by the MICPA and / or the MASB.(c) Extant Malaysian Accounting Standards (MAS) issued by the MICPA and / or adopted by the MASB.MASB Technical Releases (TR) present the MASB’s views on the appropriate accounting treatment and disclosures. TR is anauthoritative statement that may not have the legal standing of a MICPA standard but nonetheless, its application would beconsidered mandatory.Technical Bulletins and other statements issued by the Council of the MICPA relating to accounting are to be regarded as opinionson best current practice and thus form part of generally accepted accounting principles (GAAP).(2) Approved Standards on Quality Control, Auditing, Review, Other Assurance and Related Services comprise:(a) International Standards on Quality Control (ISQC).(b) International Standards on Auditing (ISA), International Standards on Assurance Engagements (ISAE), InternationalStandards on Review Engagements (ISRE) and International Standards on Related Services (ISRS) adopted by the MICPA.(c) Malaysian Auditing Guidelines (MAG) issued by the MICPA.To enhance the status of the international auditing pronouncements, International Auditing Guidelines (IAG) has been redesignatedas International Standards on Auditing (ISA).Auditing Technical Releases and other statements issued by the Council of the MICPA relating to auditing are to be regarded asopinions on the best current practice and thus form part of generally accepted auditing standards (GAAS).(3) MASB Standards are issued by the Malaysian Accounting Standards Board (MASB) established under the Financial ReportingAct 1997.(4) International Financial Reporting Standards (IFRS) are issued by the International Accounting Standards Board (IASB) and ISA,ISAE, ISRE, ISRS are issued by the International Auditing and Assurance Standards Board (IAASB) of the International Federationof Accountants (IFAC).IASB is the standard-setting body of the IFRS Foundation (formerly known as the International Accounting Standards CommitteeFoundation (IASCF)) and has sole responsibility for setting accounting standards.IAASB is established by the IFAC Board to develop and issue, under its own authority, standards on auditing, assurance andrelated services engagements.(5) The MICPA considers all MASB Standards, ISQC, ISA, ISAE, ISRE, ISRS and International Auditing Practice Notes (IAPN) forcompliance by members. If thought appropriate they are issued with MICPA Foreword as a local exposure draft before formaladoption.(6) The operational date refers to financial statements for periods beginning January 1 of the year specified.(7) Statements on International Management Accounting (IMAP) are issued by the Financial and Management Accounting Committee(FMAC) of IFAC. These Statements are in two forms:(a) International Management Accounting Practices(b) International Management Accounting StudiesThe MICPA considers all IMAP for issuance to members for guidance.(8) International Public Sector Accounting Standards, Guidelines and Studies are issued by the International Public Sector AccountingStandards Board (IPSASB) of IFAC.(9) MICPA Guidelines for Accounting in Public Sector (GAPS) are issued by the Council of the MICPA and they are to be regarded asopinions on best current practice relating to accounting in the public sector.(10) MICPA Insolvency Guidance Notes (IG) are issued by the Council of the MICPA and they are to be regarded as good practice instated areas of insolvency.(11) MICPA technical pronouncements are given an alphabetical reference in their draft form (e.g. MAS C). On their issue as definitivepronouncements or exposure drafts, a numerical reference is applied.(12) Upon its inception in 2001, the International Accounting Standards Board (IASB) adopted the body of International AccountingStandards (IAS) issued by its predecessor, the International Accounting Standards Committee (IASC).