The aim of this empirical study is to provide evidence about whether there are variations in the level of both t-GAAP and t-IFRS conservatism principle between Taiwan listed companies during the IFRS convergence stage. This will be done by analyzing four statements of Taiwan Financial Accounting Standards concerning No.34, No.35, NO.36, and NO.37. We examine our hypothesis in the following methods. First, we provide evidence using Basu (1997) model that conservatism under IFRS still exists in Taiwan through the promulgation of each standard, instead for qualitative characteristic guidelines. Second, discretionary accruals of Taiwan listed firms are lower after SFAS NO.35 and NO.37 is established. To sum up, conservatism principle turns into conservatism driver in IFRS. It drives through different standards. Besides, it further supports the long debating issue which IASB and SFASB advocate recently” Should we exclude conservatism from qualitative characteristics of accounting information?” using evidence from Taiwan. We suggest not excluding conservatism for it is still active even though IFRS is fair value approach.

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