Research Of Accounting Affairs In Share-based Payment In China

In recent years, the share-based payment as an incentive gradually comes into our sight and has been more widely used in China. According to the statistics of the Execution of the New Accounting Standards of CSRC (China Securities Regulatory Commission), a total of464listed companies have submitted the equity incentive plan by April30,2013, which accounts for18.6%of the total number of Chinese listed companies. There are357equity incentive plans from308listed companies have been in the implementation phase.The Ministry of Finance issued Accounting Standards for Enterprises No.11Share-based Payment in February2006and required listed companies to put it into practice from January1,2007. And then The Ministry of Finance further introduced a series of documents on the interpretation of the guidelines. Referring to the execution progress among the listed companies which have listed the criteria for the implementation of share-based payment since2007, most companies can meet the basic requirements from the criteria. However, as the guidelines are imperfect, some companies are left with opportunities to choose the accounting treatment arbitrarily and manipulate profits. In this context, it is meaningful to do the research of the problems coming from the share-based payment accounting.Considering the current guidelines for Share-based Payment are not clear enough, combined with the examples of listed companies, this article will analyze the obscure guidelines and present the accounting results of them, and then make some recommendations for the further improvement of the criteria.This paper is divided into five parts. The first part mainly introduces the research background, the significance of the topic, the literature about the share-based payments research methods, research content and the innovations and shortcomings of this paper. The second part describes theories about the share-based payments, including the concept of share-based payment, share-based payment methods, and concepts related to share-based payments, the theoretical basis of share-based payments, etc. These theories help us to deeply understand the economic substance of share-based payments and do further research on the share-based payment accounting issues. The third part elaborates Chinese share-based payment accounting standards, the United States and the international share-based payment guidelines and makes comparison among them. This will directly reflect the similarities and differences between the three accounting systems and provide further foundation for the following proposals put forward to improving our standards. The fourth section discusses the analysis results of the share-based payment accounting standards, revealing problems about measurement, disclosure and other accounting issues from the examples of listed companies. The fifth part recommends some improvement methods according to the problem found in Part IV, hoping to make my own modest contribution to improve the share-based payment accounting standards in China.