The International Accounting Standards Committee (IASC) was an independent organization that developed and promoted the use of international accounting standards. Founded in 1973, it aimed to harmonize accounting principles and practices globally. The IASC played a significant role in establishing the International Financial Reporting Standards (IFRS) as the global benchmark for financial reporting.
The IASC comprised representatives from professional accounting bodies, standard-setting bodies, and regulatory authorities from around the world. Together, they worked towards developing and setting international accounting standards, which provided guidelines for the preparation, presentation, and disclosure of financial information. The goal was to enhance transparency, comparability, and reliability of financial statements across different jurisdictions.
During its existence, the IASC issued numerous accounting standards, also known as International Accounting Standards (IAS). These standards covered various accounting areas like revenue recognition, financial instruments, leases, and many others. In 2001, the IASC was restructured and transformed into the International Accounting Standards Board (IASB), which continues its mission of developing and issuing IFRS.
Today, the IASC is recognized as a significant milestone in the international convergence of accounting standards. Its efforts contributed to the development of a globally accepted framework that companies, investors, and other stakeholders can rely upon to make informed decisions. The IASC's work laid the foundation for international financial reporting standards that are now adopted or being adopted by many countries around the world.
