International Institute of Certified Public Accountants
TERMS OF REFERENCE
ACCOUNTING STANDARDS COMMITTEE
APPROVED MARCH 2009
1.1 The mission of the International Institute of Certified Public Accountants (IICPA) is to serve the public interest by providing professional expertise in matters of international accountancy.
1.2 The Committee develops and issues under its own authority, accounting standards, practice statements, discussion papers and other information documents on international financial accounting and related matters.
1.4 The IICPA Board has determined that designation of the Committee as the responsible body, under its own authority and within its stated terms of reference, best serves the public interest in achieving this aspect of its mission.
2.1 The Committees objectives are to serve the public interest by establishing international accounting standards and other statements reflecting good practices in the preparation and presentation of financial statements and related statements (collectively referred to as pronouncements as described in Article 3.0 below).
4.1 The sole authoritative text of the pronouncements are those published by the Committee in the English language.
4.1 The members of the Committee, including the Chair and Deputy Chair, are appointed by the IICPA Board. The Committee comprises twenty (20) members of the IICPA, namely:
4.2 The selection process primary criteria are the professional abilities of the nominees in relation to the position for which they are being nominated.
4.3 The selection process also seeks a balance between the personal and professional qualifications of a nominee and international representational needs. Accordingly, consideration will be given to other factors including geographic representation, sector of the accounting profession (including public accountancy, commerce and industry, and academia), size of organization, and level of economic development.
4.4 Candidates for appointment as Committee members may be put forward by any individual or organization.
4.5 Committee members serve for three years, with one third of the Committee membership subject to
retirement every year. Continuous service on the Committee is limited to two consecutive three-year
terms, unless that member is appointed to serve as Chair or Deputy Chair for a further period of not more than three years.
4.6 Committee members may be accompanied at meetings by a technical advisor.
4.7 The Committee may also include up to three observers, appointed at the discretion of the IICPA Board. Observers may attend Committee meetings, have the privilege of the floor, and participate in projects, but have no vote. These observers would be expected to possess the technical skills to participate fully in Committee debates and attend Committee meetings
regularly to maintain an understanding of current issues.
4.8 Committee members are required to sign an annual statement declaring they will act in the public interest and with integrity in discharging their roles within the IICPA.
5.0 MEETING PROCEDURES
5.1 Each Committee meeting requires the presence, in person or by simultaneous telecommunications link, of at least twelve appointed members.
5.2 Committee meetings shall be chaired by the Chair, or in his/her absence, by the Deputy Chair.
5.3 Each member of the Committee has one vote. The affirmative vote of at least two-thirds of members present at the meeting or by simultaneous telecommunications link or by proxy, but not less than twelve, is required to approve or withdraw IASs and other pronouncements, and to approve exposure drafts.
5.4 Committee meetings to discuss the development, and to approve the issuance or withdrawal of exposure drafts and other pronouncements intended to advance development of international professional accountants are open to the public.
5.5 Matters of a general administrative nature or with privacy implications may be dealt with in closed sessions. Agenda papers for open sessions, including minutes of the meetings of the Committee are published on the IICPA web site.
5.6 The meetings and agenda papers are in English, which is the official working language of the IICPA.
6.0 DUE PROCESS
7.1 The Committee will annually report on its work program, activities and progress made in achieving its objectives during the year. This report is normally published on the IICPAs website.
7.2 The IICPA Board shall review the effectiveness of the Committees processes at least every three years.