International Journal of Business and Social Science

ISSN 2219-1933 (Print), 2219-6021 (Online) DOI: 10.30845/ijbss

Are Spanish GAAP for Private Companies Comparable to IFRS for SMEs?
Juan L. Gandía, David Huguet

The aim of this study is to test the level of convergence between the IFRS for SMEs and the Spanish GAAP. To do this, we develop a Convergence Index with the full IFRS, which we apply the local GAAP and the IFRS for SMEs. Results show that the Convergence Index is considerably greater for the local GAAP after the accounting reforms. Furthermore, results also show that values of the Convergence Index are qualitatively similar among local GAAP and IFRS for SMEs, what is line with our hypothesis that the accounting reform has achieved its objective of convergence towards IFRS, considering that national GAAP are mainly intended for private companies.

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