13. How will the transition to IFRSs affect standard setting in Canada?

Accounting standards in Canada, Canadian GAAP, are now set by the Accounting Standards Board (AcSB), a body with the authority to develop and establish standards and guidance governing financial accounting and reporting in Canada. IFRSs are set by the International Accounting Standards Board (IASB), an independent, international body dedicated exclusively to the development of international standards in accounting. From January 1, 2011 onward, accounting standards for Canadian publicly accountable enterprises (PAEs) are set by the IASB.

The AcSB maintain its standard-setting capability. While its role in setting standards for PAEs has changed, it continues its vital role of influencing the future directions of financial reporting standards to ensure that the Canadian point of view is strongly presented. The AcSB continues to set accounting standards for Canadian private enterprises and not-for-profit organizations.