Quarterly newsletter that briefly describes key regulatory and professional developments that occurred in the field of accounting.
First Quarter — 2018
This issue discusses developments that occurred in the first quarter of 2018, including:
- The FASB’s and SEC’s issuance of guidance in response to the Tax Cuts and Jobs Act.
- The FASB’s issuance of:
- Accounting Standards Updates (ASUs) that (1) make technical corrections to its guidance on financial instruments and (2) provide a transition practical expedient for land easements under the Board’s new leasing standard, ASU 2016-02.
- Proposed ASUs that would (1) address a customer’s accounting for implementation costs incurred in a cloud computing arrangement that is a service contract and (2) expand the list of benchmark rates for hedge accounting.
- The SEC’s release of interpretive guidance related to cybersecurity disclosures.
- The IASB’s issuance of revisions to the guidance in IAS 19 on plan amendments, curtailments, and settlements.
Year in review — 2017
Key developments that occurred in 2017 included the following:
- The FASB’s release of Accounting Standards Updates (ASUs) that (1) clarify the definition of a business, (2) amend the scope of modification accounting for share-based payment arrangements, (3) amend the guidance on presentation of net periodic benefit cost related to defined benefit plans, (4) amend the guidance on derecognition and partial sales of nonfinancial assets, (5) simplify the goodwill impairment test, and (6) make targeted improvements to the hedge accounting requirements.
- The FASB’s issuance of two proposed ASUs related to its new leasing standard, ASU 2016-02, that would (1) amend the new standard’s transition requirements for land easements and (2) make a number of technical corrections and improvements to the standard.
- The PCAOB’s release of a new auditor reporting standard that significantly modifies the auditor’s reporting model.
- The SEC’s publication of a proposed rule that would make specific revisions to a limited group of items in Regulation S-K and is intended to streamline and improve disclosures.
- The IASB’s issuance of its new insurance contracts standard, IFRS 17, which supersedes IFRS 4 and establishes principles for the recognition, measurement, presentation, and disclosure of these contracts.
Third Quarter in Review — 2017
Highlights of the third quarter of 2017 include the following:
- The FASB’s issuance of (1) ASUs that make targeted improvements to its guidance on accounting for certain financial instruments with down-round features and amend the hedge accounting recognition and presentation requirements in ASC 815 and (2) proposed ASUs that would reorganize the Board’s consolidation guidance and clarify its guidance on contributions received and contributions made.
- The SEC’s announcement that it would not object to elections by certain public business entities to use the non-PBE effective dates for the sole purpose of adopting the FASB’s new standards on revenue and leases.
Second Quarter in Review — 2017
Highlights of the second quarter of 2017 include the following:
- The FASB’s issuance of ASUs that (1) address diversity in practice related to service concession arrangements and (2) amend the scope of modification accounting for share-based payment arrangements.
- The Board also released proposed ASUs that would (1) make targeted improvements to its consolidation guidance for VIEs and (2) eliminate certain outdated guidance as part of its ongoing technical corrections project.
Highlights of this issue include the following:
- The FASB’s issuance of ASUs on (1) service concession arrangements and (2) the scope of modification accounting for share-based payment arrangements.
- The IASB’s release of its new insurance contracts standard, IFRS 17.
- The PCAOB’s issuance of a new standard on the auditor’s reporting model.