GAAP taxonomy adopted by SEC

By Ken Tysiac

The SEC has adopted the 2015 GAAP financial reporting taxonomy and will support the taxonomy effective immediately, FASB announced Monday.

The 2015 taxonomy contains updates for accounting standards and other changes to the taxonomy the SEC issuers previously were using. The taxonomy is a list of computer-readable tags in extensible business reporting language (XBRL) format that allow companies to tag data included in financial statements and footnote disclosures.

Financial statement users can use the tagging conventions to search for, assemble, and process data.

Since 2010, the Financial Accounting Foundation (FAF), FASB’s parent organization, has maintained the taxonomy. FAF and FASB have a team of technical staff assigned to update the taxonomy.

Ken Tysiac is a JofA editorial director.

SPONSORED REPORT

Revenue recognition: A complex effort

Implementing the new standard requires careful judgment. Learn how to make significant accounting judgments and document them and collaborate with peers for consistent application.

VIDEO

How to Excel pivot a general ledger

The general ledger is a vast historical data archive of your company's financial activities, including revenue, expenses, adjustments, and account balances. J. Carlton Collins, CPA, shows how to prepare data for, and mine data with, PivotTables.

QUIZ

News quiz: Taking an economic snapshot and looking to the future

Recent news included IRS actions that affect individuals and partnerships and a possibly influential move by a Big Four accounting firm.Take this short quiz to see how much you know about the news.