A provision/ condition (embedded in accounting standards) that calls for departure from the requirements of a specific standard when compliance with such a standard would conflict with the objective of financial statements. This departure is expected to help produce a more adequate set of financial statements (under the true and fair view).

Overriding has to be considered only in exceptional or yet extremely rate circumstances, depending on the conceptual framework. In practice, the true and fair override is perceived to be a just-in-case option (i.e., where there is no genuine incentive to resort to it).

As a reporting option, the true and fair override (TFO) plays an essential role within a principles-based framework, despite the fact that the accounting standard development process is required to limit the use of this option.