Problems of national accounting systems transformation under the auspice of IFRS and their impact on the accounting process cost

Abstract

The article defines the subject and examines the main problems that arise during the transformation of the national accounting reporting system (NARS) into IFRS and the differences arising in the basic concepts of NARS and IFRS. Furthermore, their impact on the change in the accounting process cost is occurred, considering the trend towards reporting synchronization with the regulatory requirements. Two factors determined the research relevance. The first factor was depicted as an evolutionary complication of accounting and maintaining cost increase following the results of a 20-year transitional period for the implementation of IFRS in the Russian NARS. The second was to figure out a discrepancy between the IFRS concept and the vector of information technology development in accounting and reporting. The study aims to determine the directions and conditions for ensuring the NARS efficiency, considering convergence with IFRS in the needs of the digital economy. The methodology is based on the general scientific methods of theoretical and empirical knowledge, including modelling, expert assessments and a comparative analysis of the results and consequences of the impact of IFRS on NARS. As a result of the study, the implications of the identified conceptual inaccuracies in IFRS for further developing NARS and IFRS have been summarized. The developed proposals will ensure the national accounting system’s effectiveness, considering current trends and the mathematical model results for calculating accounting costs. The research results will interest accounting, financial reporting professionals, and the authorized regulatory agencies operating in this field.