A new report has revealed that 72 per cent of charities back the introduction on an international accounting standard.

The report, International Financial Reporting for the Not-For-Profit Sector is based on 605 consultation responses mostly from charities, accountants and regulators in 179 countries.

The majority of respondents that favour the introduction of an international accounting procedure were from outside developed word countries which already have accounting systems for not-for-profits.

The report stated that much more work is needed to decide on an appropriate standard, and whether it would be mandatory or voluntary.

Ian Carruthers, Chair of Consultative Committee of Accountancy Bodies which carried out the study said: “This report clearly demonstrates that there is a desire for some kind of international standard for the not-for-profit sector, though further work is needed on what form it might take.”

Source: Civil Society