FASB Clarifies Fair Value Guidance For Equity Securities With Contractual Sale Restrictions

The FASB has issued ASU 2022-03, Fair Value (Topic 820): Fair Value Measurement of Equity Securities Subject to Contractual Sale Restrictions, which clarifies whether a contractual restriction that prohibits the sale of an equity security should be considered when measuring the fair value of the equity security in accordance with Topic 820, Fair Value Measurements.

FASB Expands And Improves Hedge Accounting

The FASB has issued ASU 2022-01, Derivatives and Hedging (Topic 815): Fair Value Hedging – Portfolio Layer Method. ASU 2022-01 relates to changes to fair value hedging for entities that apply the portfolio layer method (formerly referred to as the last-of-layer method).

FASB Expands Disclosure Requirements For Supplier Financing Programs

The FASB has issued ASU 2022-04, Liabilities – Supplier Finance Programs that is intended to enhance the transparency of these arrangements in a buyer’s financial statements.

FASB Extends Reference Rate Reform Relief

In March 2021, the FCA announced a change in the intended cessation date of the overnight 1-month, 3-month, 6-month and 12-month LIBOR to be June 30, 2023. As a result, Topic 848 might not have covered a period of time during which a significant number of modifications may take place. Therefore, the FASB has voted to allow a deferral of the sunset date to December 31, 2024.

FASB Improves Accounting For Investments In Tax Credit Structures

The FASB has issued ASU 2023-02 related to Investments – Equity Method and Joint Ventures (Topic 323): Accounting for Investments in Tax Credit Structures Using the Proportional Amortization Method, which allows reporting entities to account for investments made primarily for the purpose of receiving income tax credit and other income tax benefits consistently.

FASB Improves Certain Transition Requirements In Long-Duration Insurance Guidance

The FASB has issued ASU 2022-05, which is intended to reduce implementation costs and complexity associated with the adoption of ASU 2018-12, Financial Services – Insurance Topic (944): Targeted Improvements to the Accounting for Long-Duration Contracts.

FASB Improves Discount Rate Guidance For Lessees

The FASB has issued ASU 2021-09 - Leases (Topic 842): Discount Rate for Lessees That Are Not Public Business Entities. 

FASB Issues Accounting Standards Update To Improve Disclosure and Accounting Regarding Credit Losses

The FASB has issued ASU 2022-02, which is intended to improve the decision usefulness of information provided to financial statement users about certain loan refinancings, restructurings, and write-offs by entities who have adopted ASU 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments.

FASB Issues Exposure Draft On Improvements To Income Tax Disclosures

The FASB has issued an Exposure Draft that is intended to enhance the transparency and decision usefulness of income tax disclosures.

FASB Issues Guidance For Disclosures About Government Assistance

The FASB has issued ASU 2021-10, Government Assistance (Topic 832):  Disclosures by Business Entities about Government Assistance. Current GAAP has no authoritative guidance on the accounting for government grants, like Paycheck Protection Program loans and Employee Retention Credits, received by business entities.

FASB Issues Guidance For Episodic Television Series

The FASB has issued ASU 2019-02, Entertainment—Films—Other Assets—Film Costs (Subtopic 926-20) and Entertainment—Broadcasters—Intangibles—Goodwill and Other (Subtopic 920-350): Improvements to Accounting for Costs of Films and License Agreements for Program Materials. 

FASB Issues Improvement To Accounting For Acquired Revenue Contracts In A Business Combination

The FASB has issued ASU No. 2021-08, Business Combinations (Topic 805): Accounting for Contract Assets and Contract Liabilities from Contracts with Customers.

FASB Issues New Chapter Of Its Conceptual Framework: The Reporting Entity

The FASB has issued a second chapter of its Concepts Statement No. 8, Conceptual Framework for Financial Reporting entitled “The Reporting Entity”. This chapter describes a reporting entity and provides a framework for matters relating to the identification of a reporting entity.

FASB Issues Proposal To Clarify Accounting Guidance Related To Profits Interest Awards

The FASB has issued an Exposure Draft intended to clarify the scope of Topic 718, Compensation – Stock Compensation and its application to profits interest awards.

FASB Issues Proposal To Improve Accounting For Joint Ventures

The FASB has issued an Exposure Draft, Business Combinations – Joint Venture Formations (Subtopic 805-60), Recognition and Initial Measurements, for public comment that is intended to provide users with more decision-useful information and to reduce diversity in practice in the accounting for the formation of joint ventures in the joint venture’s separate financial statements.

FASB Issues Two New Chapters Of Its Conceptual Framework

The FASB has issued two new chapters to its Conceptual Framework, which is a body of interrelated objectives and fundamentals that provides the FASB with a foundation for setting standards and resolving accounting and reporting questions. 

FASB Proposes Changes To Interim Disclosure Requirements

The FASB has issued an Exposure Draft requesting comment by January 31, 2022 related to potential changes to disclosure requirements for interim reporting.

FASB Proposes Improvements To Disclosure And Accounting For Credit Losses Standard

FASB Proposes Improvements To Reportable Segment Disclosures For Public Entities

The FASB has issued an Exposure Draft for public comment that is intended to improve disclosures about a public entity’s reportable segments and provide more detailed information about a reportable segment’s expenses.

FASB Proposes To Extend Reference Rate Reform Relief

In 2020, FASB issued ASU 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting, which was intended to ease the potential burden in accounting for reference rate reform on financial reporting during the temporary transition period.