The Reporting Entity Concept in the Public Consolidated Financial Statement
Carini; Cristian Rocca; Laura; Prof. Veneziani, Monica; Prof. Teodori, Claudio

Abstract
The need to quantify and control public spending of local government has highlighted the evident limits of separate financial reports that do not reflect the public sector as a whole. The public consolidated financial statement (CFS) could overcome these limits. By comparing the reporting entity concept among the main accepted international accounting standard systems and according to the accounting regulation theoretical framework, the paper aims to examine the application of the new Italian accounting standard on the CFS. The research highlights two critical aspects: the first is that the Italian proposal is far from that of the accepted international accounting standards, as it is mostly focused on bureaucratic control rather than on an informational role for the external users; the second is that the objectives assigned to the CFS in the Italian regulation are not fully coherent with the accounting standard criteria to define the reporting entity.

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