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Normas Internacionales de Información Financiera or NIIF or NIF.
The standards in Mexico are closely aligned to the international standards. There are about a dozen nuances that must be accounted for and one very large difference that cannot be over looked.
The big difference is in the current value of an asset or item. In Mexican accounting a thing is worth what ever price it was last purchased. So, if you purchase a "terraza" (a single lot of land) at $1,000,000MXN, then ten years down the road it retains that value on the books. They inflation of value is not accounted for until it's sale in most cases.
You are allowed to included the inflated value but as a separate value. In a specified part of the accounting records which will vary depending on the type of asset it is.
This can create some confusion when reviewing records as deflation is also not accounted for, so a car purchased at $120,000MXN retains its value at the companies discretion. This has long been the plague for investors in Mexico, as one can see a value and not know how much of that value has changed over time, making investing in already existing businesses risky without an accounting professional who is very familiar with both systems.
What else can I help you with?
What are the nature of accounting standards?
what are accounting standards nature
Mandatory accounting standards issued by ICAI?
accounting standards
Is the financial accounting standards advisory board the same as the federal accounting standards board?
The Financial Accounting Standards Board (FASB) is a private organization (within the Financial Accounting Foundation) that issues financial accounting and reporting standards for nongovernmental entities.
What are the differences between Indian Accounting Standards and International Accounting Standards?
Indian accounting standards are developed by Indian board and only applicable in India while international accounting standards are developed by International Accounting standard board and applicable to all countries.
What are the differences between Indian accounting standards and U.S. accounting standards?
Here is a link to a great paper by from the SEC , outlining the major differences in International Accounting Standards.
What are advantages and disadvantage of harmonisation of international accounting standards?
what are advantages and disadvantages of harmonisation of accounting standards
When was Financial Accounting Standards Board created?
Financial Accounting Standards Board was created in 1973.
What are the most common accounting standards?
The most common accounting standards are the ones that one can find in the Generally Accepted Accounting Principles (GAAP), those are a group of accounting standards very common and widely accepted.
Who issues accounting standards in India?
National Advisory Committee on Accounting Standards
What board is responsible for accounting standards?
The Financial Accounting Standards Board (FASB) assumed responsibility for accounting standards and principles in 1973. It is authorized to amend existing rules and establish new ones.
When was the Governmental Accounting Standards Board established?
The Governmental Accounting Standards Board (GASB) was organized in 1984 under the auspices of the Financial Accounting Foundation.
How many types of accounting standards?
29 accounting standard
