At the end of the financial year, every company prepares a set of financial statements according to financial reporting standards. In the Republic of Croatia, micro, small and medium-sized enterprises have to prepare their financial statements in accordance with Croatian financial reporting standards. In contrast, large enterprises have to prepare their financial statements in accordance with International financial reporting standards. Depending on their preferences, micro, small and medium-sized enterprises, if they wish, may prepare their financial statements in accordance with International Financial Reporting Standards. There are apparent differences between these categories of standards in the preparation of financial statements. Thus, International financial reporting standards include frequent changes to existing standards and the introduction of new standards. Recently, new standards have been introduced regarding leases, income, and receivables, which have brought many changes and led to many issues when preparing financial statements. The paper explains individual types of standards, key features of groups of standards (IFRS and CFRS), and analyzes the differences between the above mentioned. Examples from practice show the differences between the standards regarding income, leases and fixed assets held for sale and discontinued operations. Throughout the research of the theoretical and practical part, the paper's goal is to present the basic provisions of groups of standards, differences in the preparation of reports and show on practical examples the impact of changes in standards on the financial position of enterprise.