Public Sector Accounting and Budgeting

Public Sector Accounting and Budgeting

A study of the convergence perspective of European Public Sector Accounting Standards with International Public Sector Accounting Standards

Document Type : Review Article

Author
Javad Yousefi Berahman
Department of Accounting, Koosha University of Applied Science and Technology, Tehran, Iran
Abstract
The publication of the International Public Sector Accounting Standards (IPSAS) has led countries in different parts of the world to converge with it. In this regard, some leading countries and others have not yet taken action, given the possible effects of convergence and the changes that should take place. The European Union is no exception to this rule, and many countries in the EU, such as France, Finland, etc., still use cash or combined accounting. They have not yet moved on to accrual accounting, which is required to implement IPSAS. Of course, there are other issues such as the appointment of the European Public Sector Accounting Standards Authority (EPSAS), public debt management and financial sustainability assessment, which undermine the integration of EPSAS with IPSAS. Convergence may have fundamental consequences for the (monetary) EU, as public sector accounting and public finance are key elements of its institutional framework. This paper provides analysis and perspectives on the process of continuous harmonization of public sector accounting in Europe, attention to governance and its content, as well as its implications for the European economy and society. 
Keywords
Public sector accounting
Public finances
European Union
Accrual accounting

Subjects

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  • Receive Date 21 April 2021
  • Revise Date 15 May 2021
  • Accept Date 31 May 2021