Singapore financial reporting standards (International)
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Singapore financial reporting standards (I)
Accounting standards are developed in the public interest in support of Singapore’s corporate governance and financial reporting framework. The accounting standard-setting process must be robust and credible to promote public confidence in the standards developed from the process.
The Accounting Standards Council (ASC) is responsible for the formulation and promulgation of accounting standards in Singapore. These accounting standards include the Singapore Financial Reporting Standards (International) (SFRS(I)s), the Financial Reporting Standards (FRS) and the Singapore Financial Reporting Standard for Small Entities (SFRS for Small Entities). In addition to prescribing accounting standards for companies, the ASC also prescribes accounting standards for charities, co-operatives societies and societies. In addition, ISCA issues Recommended Accounting Practices (RAP) and publishes summaries of FRS, INT FRS and RAP.
The following are accounting standards and accounting guidance/materials:
Singapore Financial Reporting Standards (International) (SFRS(I))
Financial Reporting Standards (FRS)
Recommended Accounting Practices (RAP)
Summaries of FRS, INT FRS and RAP
Are you ready for the 2027 accounting standards transition?
In preparation for the mandatory adoption of accounting standards across the board on 1 January 2027, the Accounting Standards Committee (ASC) has issued several updates. These key updates include:
Issuance of the third edition of the Singapore Financial Reporting Standards for Small Entities (SFRS for Small Entities) to enhance alignment with the full Singapore Financial Reporting Standards (FRSs), including the introduction of a revenue recognition framework based FRS 115 Revenue from Contracts with Customers and the alignment of measurement principles of financial instruments to FRS 109 Financial Instruments.
Amendments to FRS 119 Subsidiaries and Small Entities without Public Accountability: Disclosures, allowing small entities without public accountability (not just subsidiaries) to benefit from reduced disclosure requirements.
Why one may make the transition to full FRSs + FRS 119?
Many companies currently using the SFRS for Small Entities may benefit from transitioning early to full FRSs with FRS 119. Doing so offers:
- Cost and time savings from the reduced disclosure requirements
- Greater consistency and comparability with financial statements applying FRSs
- Future-proofing against expected alignment of SFRS with full FRSs in future updates
However, one should be mindful of the differences in the accounting requirements between SFRS for Small Entities and FRSs, subjected to available exemptions, which could result in additional costs and time spent in the initial year of adoption of full FRSs, depending on whether the accounting differences are applicable to the entity. Therefore, careful analysis should be performed to assess whether the benefits would outweigh the costs before making the transition.
How Forvis Mazars can help?
Our experienced advisory team can support your business with the following to help you stay ahead of the curve.
- FRS transition assessment
- Gap analysis and compliance roadmaps
- Diagnostic reviews tailored to your industry
- Training and knowledge-building for your finance teams
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