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Analysis

2020 Life Sciences Industry Accounting Guide

Insights on accounting hot topics for the life sciences industry

It’s full speed ahead for the life sciences industry. New value is being created for patients, care teams, and partners. Technology is accelerating research and development (R&D), while fueling the digital transformation of biopharma and medtech. How can biotech and pharmaceutical accounting departments keep up? Our 2020 Life Sciences Industry Accounting Guide is a great place to start.

While many of the key accounting and financial reporting considerations stemming from the coronavirus disease 2019 (COVID-19) outbreak are related to topics addressed in this Guide, we encourage you to review Deloitte’s March 25, 2020, Financial Reporting Alert which discusses accounting and financial reporting considerations associated with COVID-19 that are broadly applicable as well as those that apply specifically to the life sciences industry.

A look at key issues

Finance and accounting professionals in the industry face complex issues and must exercise significant judgment in applying existing rules to matters such as R&D costs, acquisitions and divestitures, consolidation, contingencies, revenue recognition, income taxes, financial instruments, and financial statement presentation and disclosure.

Deloitte’s 2020 Life Sciences Industry Accounting Guide addresses these and other relevant topics affecting the industry this year. Download the full report or explore the highlights and downloads for individual sections below.

Featured highlights

More life sciences industry accounting and financial reporting topics

Our 2020 guide also includes a final chapter that briefly addresses the following life sciences industry accounting subjects:

  • Government assistance
  • Inventory
  • Common-control transactions
  • Discontinued-operations reporting
  • Carve-outs
  • Cost of doing business
  • Going concern
  • Health tech
  • PCAOB changes to the auditor’s report—critical audit matters

This document contains general information only and Deloitte is not, by means of this document, rendering accounting, business, financial, investment, legal, tax, or other professional advice or services. This document is not a substitute for such professional advice or services, nor should it be used as a basis for any decision or action that may affect your business. Before making any decision or taking any action that may affect your business, you should consult a qualified professional advisor. Deloitte shall not be responsible for any loss sustained by any person who relies on this document.

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