Comparative Study On Chinese Accounting Standards In Mainland And In Hong Kong

According to the Chinese accounting standards, the company which issues both A share and H share should expose the differences of the net profits of double reporting according to the mainland and Hong Kong standards. When there are discrepancies, the company should also expose the cause of differences. So the investors could understand the real financial information adequately.Firstly, the paper analyses the factor of the difference between the mainland and Hong Kong standards on the accounting environment. Secondly, the paper analyses the difference between the two kinds of standards. The result focuses on several items, such as revenues, expenses, income taxes, intangible assets, employee benefits. Thirdly, data from sixteen listed companies is chosen as the swatch. The result is similar to the front.Through the study, the paper considers that mainland should concentrate on building a framework of financial reporting firstly. Then, the government should perfect the material standards items consistently. Under the situation of accounting internationalization, we should also keep the Chinese characters on the development of Chinese accounting standards in mainland.