CURRENT PROBLEMS OF CONSOLIDATION IN THE CZECH REPUBLIC

Consolidation is currently a very topical term related to the ongoing accounting reform in the public finance field. The final stage of this reform consists in the implementation of state accounting and preparation of consolidated financial statements for the Czech Republic. One of the objectives of this reform is to provide conditions for increasing the credibility of financial statements for the Czech Republic, both towards the European Union and international entities, including foreign investors. Further aim of the reform is to approach public sector accounting to methods and procedures known from the business accounting and use the experience of international practice. Due to this reason, the paper is focused on the analysis of the differences in the concept of consolidation of partnerships in the Czech legal environment and IFRS. The presented analysis is crucial for understanding the entire difficult process of reform and consolidation in the public sector at state level - the Czech Republic.