PCAOB Looking to Move Forward with Audit Participant Disclosure Standard
As part of a major initiative to help investors receive more information about auditors and their work for public companies, the Public Company Accounting Oversight Board (“PCAOB”) is looking to adopt rules based on the proposed Release No. 2013-009, Improving Transparency Through Disclosure of Engagement Partner and Certain Other Participants in Audits. Hoping to issue the new rules soon, the proposed requirement of disclosing the lead partner on an auditor’s report has received the most attention. However, several financial professionals argue that investors may favor details regarding other audit participants. Under Release No. 2013-009, the names of outside firms and. Read More.
Measurement Date Clarity Requested for Reporting Pension Liabilities
As state and local governments prepare financial reports for their pension plans to comply with Government Accounting Standards Board (“GASB”) Statement No. 67, Financial Reporting for Pension Plans—an amendment of GASB Statement No. 25, and No. 68, Accounting and Financial Reporting for Pensions, several accountants are still confused which measurement date to use for recording liabilities. The issue was a hot topic among attendees at this week’s Government Accounting and Auditing Update Conference, attended by Cherry Bekaert Partner Patricia Pryor . Discussing the matter, conference attendee Jeff Markert remarked that state and local governments are confused about which date to use because. Read More.
SEC Rule to Extend Exemption from Conflict-of-Interest Rules
Proposed by the Securities and Exchange Commission (“SEC”), Temporary Rule Regarding Principal Trades with Certain Advisory Clients amends rule 206(3)-3T under the Investment Advisers Act of 1940. Per the proposal, rule 206(3)-3T would be extended to December 31, 2016. Comments on Temporary Rule Regarding Principal Trades with Certain Advisory Clients are due 30 days after being published in the Federal Register. The amendment provides an another means for investment advisers registered as SEC broker-dealers to meet section 206(3) requirements of the Investment Advisers Act when performing in a principal capacity during transactions with certain advisory clients. Check out the Firm’s SEC Audit page for more information on our services.
FASB Releases 2014 & 2015 UGT Implementation Guides
The Financial Accounting Standards Board (“FASB”) has issued the Final 2014 UGT Implementation Guide, U.S. GAAP Financial Reporting Taxonomy (UGT) Implementation Guide, Insurance Industry: Concentration of Credit Risk Disclosures . Following the 2014 U.S. GAAP Financial Reporting Taxonomy, the guide offers examples to assist UGT users understand the reinsurance-related concentrations of credit risk disclosures. In addition, FASB has issued a Proposed 2015 UGT Implementation Guide, U.S. GAAP Financial Reporting Taxonomy (UGT) Implementation Guide, Disposal Groups and Discontinued Operations . The proposed guide features examples of how users should model disclosures disposal groups and discontinued operations, and follows the 2015 U.S. GAAP Financial Reporting Taxonomy draft. Comments on the proposal are being accepted in writing and electronically until October 6th. Not viewed as authoritative, the guides are considered as documents that explain how the UGT. Read More.
FASB Revisiting Financial Performance Reporting Project
Resembling previous efforts, the Financial Accounting Standards Board (“FASB”) is considering adding a project on financial performance reporting to its current agenda. At its June 25th meeting, the staff began research on which issues the forthcoming project should address and discussed problems faced during prior attempts to improve the presentation of financial statements. Eventually, staff members were instructed to study how the income statement could be enhanced, but recognized that most income statement changes would have to be mirrored on the balance sheet. Also at the meeting, FASB members could not agree on the degree to which a balance sheet. Read More.
SEC Hit with Lawsuit on Political Contributions to Public Pension Funds Rule
Joining forces against the U.S. Securities and Exchange Commission (“SEC”), the New York Republican State Committee and Tennessee Republican Party have filed a lawsuit against the agency regarding a rule they claim violates the First Amendment and Administrative Procedures Act (“the Act”). According to the August 7th complaint, both parties contend that a rule restricting an adviser’s political contributions to public employee pension funds imposes on the Federal Elections Commission’s authority to regulate campaign spending as established in the Act. The complaint also asks the U.S. District Court to declare that the SEC lacked proper authority to write the rule.. Read More.
Topics: Administrative Procedures Act, Federal Elections Commission, First Amendment, Investment Advisers, New York Republican State Committee, Pay-to-play, Political Contributions, Public Employee Pension Fund, Tennessee Republican Party, U.S. District Court, U.S. Securities and Exchange Commission "SEC"