US Intangible Assets Appraisal System Will Be Introduced into Taiwan.

  The Ministry of Economic Affairs and the Appraisal Foundation signed a memorandum of cooperation, bringing into Taiwan the appraisal system of the US, including the system of training, courses, certification, and verification, etc. so as to improve the quality and credibility of intangible assets appraisal conducted in Taiwan and also to enhance the development of Knowledge-based Industry like biotechnology, digital content, and cultural creation.

 

  IAS and SFAS have contained intellectual property rights into SFAS No. 37 “Accounting for Intangible Assets” announced on July 20, 2006 and SFAS No. 35 “Accounting for Assets Impairment” enforced in January 1, 2005, requesting enterprises to reveal their IPR value in their balance sheets.  It is obvious that the importance of IP appraisal in enterprises and Taiwan economy cannot be ignored. 

 

  According to the latest statistics released by the US government, intangible assets comprise more than 70% of the value of listed and OTC companies in the US. Intangible assets can be merchandized for gains and be taken as independent commodities to be traded, licensed, assigned, exploited as technical contribution, taken as a subject matter of financial guarantee or infringement lawsuit, etc.

 

  Due to the rising demand for technical contribution in the form of IP, IP license, and infringement lawsuits, a great number of IP appraisal services and appraisers are available in the market. However, owing to the lack of appropriate rules governing the appraisal services providers or institutions, the result of appraisal always remain questionable to the industries. (2006.9)

/CCS