The Institute of Chartered Accountants of Pakistan (ICAP) issued Accounting and Financial Reporting Standards for Medium-sized and Small-sized entities that have been made applicable to the financial statements for the periods beginning on or after July 1, 2006. On the recommendation of ICAP, the Securities and Exchange Commission of Pakistan (SECP) vide its SRO No. 860(I)/2007 dated August 21, 2007 has notified these Standards under Section 234(3) of the Companies Ordinance, 1984.
The Professional Standards and Technical Advisory Committee in its 56th meeting held on September 10, 2007 reviewed the following draft of the Statement of Compliance to be included in the financial statements of MSEs and SSEs using such standards:
“These financial statements have been prepared in accordance with approved accounting standards as applicable in Pakistan. Approved accounting standards comprise of Accounting and Financial Reporting Standard for *Medium-Sized Entities (MSEs)/ *Small-Sized Entities (SSEs) issued by the Institute of Chartered Accountants of Pakistan and provisions of and directives issued under the Companies Ordinance, 1984. In case requirements differ, the provisions or directives of the Companies Ordinance, 1984 shall prevail.”
* Delete whichever is not applicable
Members are advised to take note of the above.