IASB Vice Chair Denounces FASB’s Separate Agenda
After working with the Financial Accounting Standards Board (“FASB”) for 12 years on merging U.S. GAAP and International Financing Accounting Standards (IFRS), the International Accounting Standards Board’s (“IASB”) Ian Mackintosh recently criticized the FASB for its decision to stray from their original course of action. Speaking at the IFRS Foundation Conference on June 23rd, the IASB Vice Chair acknowledged the successes of IFRS adoption in over 100 nations, but condemned the FASB for diverging from the goal of creating a single set of global standards. In his speech, Mackintosh called out FASB Vice Chair James Kroeker for comments perceived as. Read More.
Topics: Convergence, Financial Accounting Foundation "FAF", Financial Accounting Standards Board "FASB", Global Standards, Ian Mackintosh, International Accounting Standards Board "IASB", International Financial Reporting Standards "IFRS", James Kroeker, Mary Jo White, Revenue Recognition, U.S. GAAP
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 .
FASB and IASB Seek Lease Standards Publication Next Year
Hoping to publish final standards late next year, the Financial Accounting Standards Board (“FASB”) and International Accounting Standards Board (“IASB”) will restart discussions this fall on their lease accounting project. It is anticipated that the final standards will be based on FASB’s Proposed Accounting Standards Update No. 2013-270, Leases (Topic 842), and the IASB’s Exposure Draft No. 2013-6, Leases. Both proposals were published in 2013. Before completing work on their project, the FASB and IASB must resolve several disagreements on proposed changes to accounting in U.S. GAAP and International Financial Reporting Standards. Such disagreements include how to handle accounting for. Read More.
FASB Removes Guidance for Development Stage Entities
Issued recently by the Financial Accounting Standards Board (“FASB”), Accounting Standards Update No. 2014-10 (“ASU No 2014-10”), Development Stage Entities (Topic 915): Elimination of Certain Financial Reporting Requirements, Including an Amendment to Variable Interest Entities Guidance in Topic 810, Consolidation, eliminates from U.S. GAAP all required incremental financial reporting for development stage entities. Currently, a development stage entity is defined as an entity that gives all of its efforts to creating a new business in which planned principal operations have not begun, or have started but yet to generate any significant revenue. Per current U.S. GAAP standards, a development stage. Read More.
FASB Releases Final UGT Implementation Guides
Currently available on its website, the Financial Accounting Standards Board (“FASB”) has issued two final UGT Implementation Guides. The first guide, U.S. GAAP Financial Reporting Taxonomy (UGT) Implementation Guide, Notional Amount Disclosures , gives examples for understanding the modeling for notional amount disclosures is organized within the UGT. The other guide, U.S. GAAP Financial Reporting Taxonomy (UGT) Implementation Guide, Segment Reporting , provides examples of the modeling for disclosures associated with segment reporting. Examples published in the Implementation Guides assume that the entity meets the reporting criteria for notional amount disclosures listed under U.S. GAAP, and/or the U.S. Securities and Exchange Commission’s authoritative literature. While the Implementation Guides are not authoritative, they are considered documents detailing how the UGT is. Read More.