Half of US execs want early IFRS adoption

Almost half of US executives want to move towards adopting International Financial Reporting Standards early, even though US regulators are still to confirm a formal decision as to when it will switch to a global set of accounting standards.

The results come as part of a survey by KPMG, which revealed that 49% of the 2,500 executives surveyed would like to be able to adopt IFRS before 2015.

Progress from across the pond has been staggered. Last month the US Securities and Exchange Commission announced that US companies could not start using IFRS as opposed to US Generally Accepted Accounting Principles before 2015, and has delayed making any decision on whether it will actually converge until at least 2011.

IFRS is already in use by over 100 countries around the world. Yesterday Japan reaffirmed its commitment to the use of a global set of accounting standards.

Janice Patrisso, partner and national IFRS leader at KPMG, said: ‘Many US companies with subsidiaries around the world are already using IFRS for statutory reporting. For them, having the option to synchronise it all up front at the US company is a positive.’

A further 59% of executives said a potential move to IFRS in 2015 or 2016 would give their companies enough time to get ready for the change; 15% said it wouldn’t be long enough; and 25% said they would be unsure of the impact the switch would have.