Comparision and contrast of govermental accounting system in Turkey with that of international accounting standards and proposing a new govermental accounting system

The reguirement of accrual basis in governmental accounting principles recently, has emerged as a prominent development. But our current governmental accounting system has still using cash basis approach. Current governmental accounting system is not in compliance with generally accepted accounting standards, and international public accounting standards. Ministry of Finance General Directorate of Public Accounts, has started a research studies on this subject but it is yet to be finalized. Mean while, in 1973 program budget system came into application, but in practice its application took place merely constrained coding system. Due to, inability to obtain information regarding performance measurement from this budget system, main use of public accounting system came about to be the only recordin-posting transaction into books and unavilability of reporting system raise serious doubts about the managebility of public sector. The objective of this study is determined as to investigate current situation within a comceptual framework, explain and bring about its reasons and suggest some solution proposals. In this field the draft works of IFAC-PSC's activities on public accounting are examined throughly, and concluded that cash system is not sufficient in public accounting and it was agreed that application of accrual basis is necessary in public accounting system. This study discusses and bring proposal as how to apply accrual basis and to be realized and determines types of financial statement to be prepared from accounting system. After reviewing general characteristics of both cash basis and accrual basis, public accounting system of Turkey which provide an example of cash basis accounting and Australian public accounting system which provide an example of accrual basis accounting are examined.301 At the last section, Uniform Accounting system which has been adopted by private companies since 1994, has chosen accrual basis in transactions and proposed an uniform accounting system that is in compliance with that of Uniform Accounting System of Private Companies. In our proposed in addition to Uniform Accounting Code within a public accounting system, "Balance Sheet" and "Operating Statements" which is appropriate for public accounting objectives and as an additional financial statement "Cash Flow Statements" is examined. tC YUKSEKOGRlTU* KWttiUi DOKftM/UTCASYOR MERKEZİ