Financial and Non-Financial Reporting

**6**

*Accounting and Finance - New Perspectives on Banking, Financial Statements and Reporting*

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**References**

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**9**

**Chapter 2**

**Abstract**

LMEs)

**1. Introduction**

Turkey

*Birsel Sabuncu*

despite the application of TFRS.

statements and also facilitates transactions.

National Accounting Standards in

This study describes the accounting standards being implemented in Turkey. Uniform Accounting System and Uniform Chart of Accounts, Turkish Financial Reporting Standards (TFRS), and Financial Reporting Standards for Large- and Medium-Sized Enterprises (FRS for LMEs) are simultaneously applied in Turkey. TFRS are a direct translation of the International Financial Reporting Standards (IFRS). Enterprises that are subject to independent audit apply TFRS. FRS for LMEs is a financial reporting framework that is subject to independent audit and is valid for financial statements presented to general assemblies of enterprises that do not apply the TFRS. Enterprises that are not subject to independent audit apply Uniform Accounting System. Uniform Chart of Accounts is used by all these businesses. Despite these new practices, a revision has not been carried out in Uniform Chart of Accounts. Because of these applications, it is necessary to define the new accounts needed and to review Uniform Chart of Accounts. Banks, insurance and pension companies, finance companies, financial leasing and factoring companies, and asset management companies are required to use a different account plan

**Keywords:** Uniform Accounting System, Uniform Chart of Accounts, Turkish Accounting Standards (TAS), Turkish Financial Reporting Standards (TFRS), Financial Reporting Standards for Large- and Medium-Sized Enterprises (FRS for

Every country initially established its own accounting techniques to report the results of the activities of the enterprises to the relevant interest groups. Due to economic, historical, and traditional differences, there are differences between the accounting techniques. A need to standardize accounting techniques was born both locally and internationally in order to eliminate these differences, which caused negativity about the consistency and comparability of the information in the financial statements. The existence of different accounting systems for different countries can cause various difficulties for international money flow, while a Uniform Accounting System makes it easier for businesses. The existence of a single accounting system to be implemented by all enterprises increases the speed of international transactions, facilitates transparency, and supervision in financial

To eliminate the differences in accounting practices; to perform uniformity in the accounting principles; to ensure that the financial statements are clear,
