International financial reporting standards
International Financial Reporting Standards (IFRS, formerly IAS) are international accounting provisions; these give current and future investors an overview of the company's situation regarding equity, finances and profitability. The goal of IFRS is to create an international comparability (harmonisation) of business reports. IFRS norms of company reporting for external use are issued by the International Accounting Standards Board (IASB) (formerly the International Accounting Standard Commitee, IASC). IFRS accounting provisions are compulsory for annual financial reports for fiscal years which began on or after 1 January 2005, with regard to all companies on the capital market within EU member states.