In September 2001 the International Accounting Standards Board (IASB) added to its agenda the performance reporting project (later renamed the financial statements presentation project) with the aim of enhancing the usefulness of information presented in the income statement. In April 2004 the US Financial Accounting Standards Board (FASB) joined the IASB in working on this…
DetailsIn the 2003 film Lost in Translation, Bill Murray’s character experienced an acute culture shock when confronted with the differences between American and Japanese culture. This feeling must be shared by financial managers when forced to navigate the jargon surrounding the valuation of Black Economic Empowerment (BEE) transactions. Yet, it is critically important for the…
DetailsWhat is the purpose of business? How does management meet that purpose? Most people would probably answer ‘increasing shareholder value’ and proceed to a convoluted explanation of increasing productivity, while gearing up, cutting costs and gaining market share. Michael Porter, in his paper ‘What is strategy? (Harvard Business Review, Nov-Dec 1996)’, states that a major…
DetailsWith global competition spreading like a super-charged virus, leaders can no longer afford to use old leadership paradigms and beliefs. We need to behave and act in new ways. The need for me is to become a different kind of leader. We need new skills and understandings. As the playing field for companies has leveled…
DetailsNEW REQUIREMENTS FOR THE AUDIT OF GROUP FINANCIAL STATEMENTS The International Auditing and Assurance Standards Board (IAASB) issued new requirements designed to enhance the quality of audits of group financial statements. International Standard on Auditing (ISA) 600 (Revised and Redrafted) – Special Considerations – The Audit of Group Financial Statements (Including the Work of Component…
DetailsA survey of tax practitioners in South Africa ‘Tax compliance is becoming so complex that only wealthy people can afford it.’ ‘I battle with the monthly paperwork. It takes too much time to pay all the taxes.’ ‘Have one tax for small business to reduce the compliance and administrative burden. This will encourage more people…
DetailsCan the Taxpayer Recover Costs Incurred in Seeking Legal Advice and Related Accounting Services Necessary to Answer the SARS Query? A question that arises is whether a taxpayer is entitled to recover costs incurred in answering a query raised by SARS that does not give rise to an additional assessment or that can be referred…
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