What's New (Sep, 2009)

September 14,2009

On August 19, 2009, the JICPA launched an IFRS website designed to provide IFRS-related information in Japanese. Contents include new IFRS pronouncements, the latest developments at IASB, recent IFRS developments in other countries, CPE training on IFRS provided by the JICPA, basic knowledge about IASB/IFRS, and IASB project status. We will expand the contents in the future.

September 14,2009

On August 6, 2009, we held the 30th JICPA Annual Conference at the Toki Messe Niigata convention center. Eight concurrent sessions were provided including "Recent developments of IFRS in various countries, and Japan's response". The conference was attended by over 2,300 participants including JICPA members, and many others from around the country, with interest in financial reporting.

September 14,2009

We published, on August 5, 2009, SMP Committee Research Material No. 2 "Audit Tools for Small and Medium-sized Practitioners 'Guide to Monitoring of Quality Control System'". It is intended to apply to small and medium-sized audit firms that have five or less clients of listed companies and a limited number of staff.

This document is available in Japanese only.

September 14,2009

On August 5, 2009, we amended "Quality Control Review Standards" and "Quality Control Review Procedures". The amendments are intended to conform to the introduction of new regulations, including audits of internal control over financial reporting, and to respond to the results of previous quality control reviews.

These documents are available in Japanese only.

September 4,2009

On August 31, 2009, the second meeting of IFRS Council was held at the Financial Accounting Standards Foundation. During this meeting, Strategic Committee for IASB and each Task Force Committee reported on their activities and updated future plans, and exchanged views on the IASB’s proposal related to Accounting Standards for Financial Instruments.

For further details, please visit:
https://www.asb.or.jp/asb/asb_e/ifrs/

September 1,2009

JICPA published, on July 9, 2009, Accounting Practice Committee Research Report No. 13 "Research Report on Revenue Recognition in Japan (interim report) –considerations in light of IAS 18 'Revenue'. The Accounting Practice Committee researched the disclosures on "revenues recognition" in significant accounting policies area of securities reports submitted by Japanese companies; identified the key specific issues in revenue recognition in various industries; and deliberated practical accounting treatment and overall disclosures in light of IAS 18 "Revenue".

This document is available in Japanese only.

September 1,2009

JICPA issued, on July 8, 2009, amendment to the following practical guidelines:
• Auditing Standards Committee Statement No. 17 "Semi-Annual Audit";
• Auditing and Assurance Practice Committee Statement No. 75 "Practical Guideline on Preparation of Auditor's Report"; and
• Auditing and Assurance Practice Committee Statement No. 76 "Audit Treatment concerning Subsequent Events".

Subsequent to the amendment of Auditing Standards by the Business Accounting Council (BAC), an advisory body established within the Financial Services Agency, in April 2009, BAC issued pronouncements, on June 30, 2009. The pronouncement, "Opinion on the revision of the Semi-Annual Auditing Standards and Review Standards for Quarterly Financial Reporting," amended the provisions concerning going concern assumption for review engagements in quarterly financial reporting. In addition, related statements were issued by the Accounting Standards Board of Japan (ASBJ) and the Cabinet Office.

JICPA's practical guidelines were amended to conform to the above amendments.

These documents are available in Japanese only.

September 1,2009

On July 8, 2009, JICPA held the 43rd Annual Assembly at the Imperial Hotel, Tokyo. Over 850 JICPA members attended, and the event was broadcasted on television in across the country. The opening speeches were given by Mr. Tatsuya Tanimoto, Senior Vice-Minister of the Cabinet Office, Government of Japan, and Mr. Atsushi Saito, President & CEO of Tokyo Stock Exchange Group, Inc. Following reporting of business and operations for the fiscal year ended, all resolutions were approved.

September 1,2009

Japan Foundation for Accounting Education & Learning (hereafter the "Foundation"), was established, on July 6, 2009, with the object to develop human resources engaged in accountancy. The Foundation was established mainly by the CPA profession, with the cooperation of business and academic communities and other parties. The objectives of the Foundation include: firstly, to identify the needs in accounting education and training of those parties interested in accounting and auditing, including CPAs, successful candidates of the CPA examination, and other practitioners. Secondly, the Foundation’s objectives are to improve accounting and auditing expertise, special skills, and professional ethics through the development of educational materials and implementation of education and training. This will contribute to the development of individuals who can adequately exercise professional judgement in accounting and auditing.

The Foundation's specific plans are to provide professional accountancy education programs for successful candidates of the CPA examination, continuing professional education for CPAs, various educational training for those engaged in accounting and audit practice; as well as to develop educational training materials.

September 1,2009

JICPA published an overview of the Quality Control Committee's review of quality control for the year ended March 31, 2009. Along with this, JICPA published an overview of activities and "Recommendations for Activities of the Quality Control Committee for the year ended March 31, 2009" of the Quality Control Oversight Board. The Board, consisting of five highly experienced individuals outside the profession and three CPAs, review the entire process of quality control review, approve the registration of listed company audit firms, and decide measures against registered audit firms. Those measures include revocation audit firms from the registration list.

An English translation of this report will be available soon.