DOI: 10.36347/sjebm.2021.v08i08.001

Pages: 197-200

The growing complexity of the business world, associated with economic and financial globalization, has led to an increase in economic activity between companies and countries, which has given rise to the need to adopt a set of internationally accepted accounting standards, in order to mitigate the different accounting practices between countries and companies. In this sense, the International Accounting Standards Board, IASB, was created, responsible for creating a set of accounting standards with a global scope. The European Union joined the IASB, in the accounting harmonization process, leading to the adoption of the IASB's international standards as from 2005, all listed companies. In Portugal, it was decided to bring the national accounting system closer to international standards. For this purpose, the Accounting Standardization System, SNC, was created by the Accounting Standardization Committee (CNC), which includes a set of accounting standards, based on the international standards of the IASB. Decree-Law No. 192/2015 of 11 September, institutes the Accounting Standardization System for Public Administration in Portugal. This introduction eliminated a problem recognized in the diploma as “fragmentation constitutes a serious problem of technical inconsistency, as it affects the efficiency of the consolidation of accounts in the public sector and entails many adjustments that are not desirable and that question the reliability of the information in headquarters of its integration." Thus, it is referred in the legislation, after “15 years since the approval of the POCP and after having considered the needs of having an accounting system that responds to the requirements of adequate planning, reporting and financial control, the Government decided, through the Decree-Law No. 134/2012, of 29 June, instructs the Accounting Standardization Committee to prepare a new accounting system for public administrations, which is consistent with the SNC and .......