AL-Qadisiyah Journal For Administrative and Economic sciences

Small and medium-sized entities (SMEs) are one of the most fundamental pillars of the economy of any country, whether developed or developing.They represent more than 95% of companies all over the world.Due totheirimportance,the International Accounting Standards Board issued an international special accounting standard forsmall and medium-sized entitiesin July 2009.TheBoarddeveloped and issued a separate standard for application to the general-purpose financial statements and other financial reports prepared within these companies.Therefore, the current study aims to determine the impact of the application of IFRS for SMEs on the quality of theirfinancial statements by conductingon a survey onfourIraqi banks (Gulf Commercial Bank, Islamic Bank of Iraq, United Investment Bank and Bank of the Economy)for the year 2016.Tests wereconducted usingthe statistical program SPSS.The results show that there is a statistically significant positive associationbetween the application of IFRS and the quality of accounting information.Three alternative hypotheseswere proven: limiting profit management practices, increasing market liquidity,andreducing transaction costs for investors.Thisis reflected in the quality of the financial statements, whichareofinternationally high qualityand reflect the economic realitiesof the company,thusallowinginvestors to make smart decisionsandleading to easy international trade.

This study examined the recognition of tax evasion and how to direct taxpayers in Iraq to repay their debts and previous taxesto the state forthe public good.By doing so, this study isurgingthem to abide by the instructions and tax laws,and not to transfer the burden of taxes to others by using their namesillegallyin order to avoid paying their taxes. In this way,people wouldrealizethe importance of tax revenues and how to deal with themin ordertoprovidepublicservices to the Iraqi people. In addition,this study couldinstruct the financial authority not to tax and customs revenue leak for personal purposes and favoritism. The researchersconducted acase study in the General Authority for Taxes Diwaniyah Branch, and reached the results in the forefront of the poorof the tax awareness programby the financial authority who represented the tax administration to raise the awareness of the taxpayers and increase their knowledge of the rights and duties imposed on them to implement the principle (paying taxbeinga national and legal duty). Based on the conclusions, the researchersproposeda set of recommendations:the most important being that the Supreme Auditorshould adoptthe legislative and executive role in the development of solutions and treatments for such phenomena, as itis seriousa serious issuefor the state’sfinancial development.