Updated Proposal on Income Tax Disclosures Coming
The Financial Accounting Standards Board (“FASB”) last week instructed staff to draft a proposed Accounting Standards Update (“ASU”) concerning its revised proposal for income tax disclosures. To be issued for public comment, the revised proposed ASU will feature every change made since the FASB released the original proposed ASU, Income Taxes (Topic 740): Disclosure Framework—Changes to the Disclosure Requirements for Income Taxes.
Such changes include requiring disclosure of the disaggregation of income tax expense/benefit and income taxes federal or national, state, and foreign amounts pay. The FASB noted that income tax expense/benefit and income taxes paid on foreign earnings enacted by the jurisdiction must be added in the amount for that jurisdiction.
The proposed ASU will have a comment period lasting 45 days after issuance or Friday, May 31, whichever date is later.