The Philippine Interpretations Committee (PIC) revised Q&A No. 2007–01: PAS 1.103(a) – Basis of preparation of financial statements if an entity has not applied PFRSs in full. The Q&A provides that an entity that has not applied PFRSs in full may not refer to PFRSs as the basis ofpresentation of its financial statements. Such an entity refers to generally accepted accounting principles in the Philippines with disclosure of the standards followed and any exemption availed of in describing the basis of presentation of its financial statements.

The revisions to the Q&A principally pertain to more specific reference, where applicable, to the basis of preparation (e.g., GAAP for non-publicly accountable entities or for pre-need companies) and to updates of SEC-related rulings cited in the Q&A. The revisions do not change the substance of the original Q&A.

The revised PIC Q&A is posted in the PFRS website within the PICPA website.