SEC’s Gallagher Speaks on Municipal Securities Market
At the Municipal Securities Rulemaking Board’s inaugural Municipal Securities Regulator Summit recently, the U.S. Securities and Exchange Commission’s (“SEC”) Daniel Gallagher shared with attendees the SEC’s efforts to review the municipal securities market. A few years ago, the SEC held public hearings in on the municipal securities market. The hearings eventually led to the 2012 Report on the Municipal Securities Market. During his speech in Washington D.C., Gallagher discussed various issues facing municipal securities markets, such as riskless principal transactions, post-trade price transparency, the best execution issues related to retail customers, and threats posed by pension and other post-employment retirement. Read More.
Topics: Daniel Gallagher, Execution Issues, Municipal Securities Regulator Summit, Municipal Securities Rulemaking Board, Pension, Post Trade Transparency, Retail, Retirement Benefit Liabilities, Riskless Principal Transactions, U.S. Securities and Exchange Commission "SEC"
FinREC to Create Accounting Guide for Revenue Recognition Standards
Planned for a mid-2016 release, the American Institute of Certified Public Accountants’ (“AICPA”) Financial Reporting Executive Committee (“FinREC”) is working on an accounting guide for the Financial Accounting Standards Board (“FASB”) and International Accounting Standards Board’s (“IASB”) recently issued revenue recognition standards. The guide will assist accountants’ implementation of FASB’s Accounting Standards Update (ASU) No. 2014-09, Revenue from Contracts with Customers, and the IASB’s IFRS 15, Revenue from Contracts with Customers. Additionally, the guide will offer insightful tips, examples and what high impact industries should consider when implementing the standards. There will also be sessions in all AICPA conferences and. Read More.
Topics: Accounting Standards Update "ASU", American Board of Certified Public Accountants "AICPA", Financial Accounting Standards Board "FASB", Financial Reporting Executive Committee "FinREC", IFRS, Russell Golden
Frequently Asked Questions on ASU 2014-02
Since posting our alert , we’ve started to receive some questions about Accounting Standards Update (ASU) 2014-02. In response, we’ve taken the most popular questions and turned them into a FAQ. We hope you enjoy. Q: So what does ASU 2014-02 do? A: If a private company, as defined, makes an accounting policy election to adopt the goodwill alternative allowed by this ASU, existing goodwill (on a prospective basis) and all newly created goodwill will no longer be subjected to annual impairment testing. Instead, goodwill will be amortized over 10 years or a shorter life if that is more representative. In. Read More.
2014 U.S. GAAP Financial Reporting Taxonomy Released
Announced earlier this week, the Financial Accounting Foundation (“FAF”) and Financial Accounting Standards Board (“the Board”) has adopted the 2014 U.S. GAAP Financial Reporting Taxonomy . Used by U.S. Securities and Exchange Commission (“SEC”) issuers, the new taxonomy improves upon last year’s edition and offers accounting standard updates. Both the FAF and Board share responsibility for revisions to the taxonomy, which affects SEC-registered public issuers. For guidance on applying the new taxonomy for submitting SEC-compliant eXtensible Business Reporting Language-tagged interactive data files or any other related questions, please contact the SEC .
New PCAOB Standard & Amendments to Improve Auditing Process
Enhancing auditor performance requirements, the Public Company Accounting Oversight Board (“PCAOB”) has adopted a new standard and amendments reflecting three essential areas of the auditing process. Agreed upon at its recent meeting, the PCAOB concluded that current requirements in the related areas of the auditing process provide insufficient mandated procedures and are inadequately risk-based. Further, inspection and enforcement activities show these areas continue to be major weaknesses among auditors. As a result, the PCAOB has implemented Auditing Standard No. 18, Related Parties (“AS 18”). Taking the place of interim standard AU sec. 334, Related Parties, AS 18 reflects transactions and. Read More.
A Push for Fewer Discontinued Operations
Overview In April 2014, the Financial Accounting Standards Board issued Accounting Standards Update (ASU) 2014-08, Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity. Starting as a short-term convergence project with the International Accounting Standards Board in 2006, the end result was a multiyear effort to identify what events truly should qualify as a discontinued operation. The ASU changes the criteria for reporting a discontinued operation, which should reduce the number of items reported below income from continuing operations. Also, the ASU reduces the implementation guidance while increasing disclosure requirements. Strategic Shift? One criticism about the previous. Read More.