The Private Company Council is encountering challenges as it advocates for the smallest private companies in FASB’s process for setting accounting standards.
Private company reporting
Private Company Council concerns played a role in the revamp.
Stakeholders said that effective dates could hamper use.
FASB issued a standard that eliminates the effective dates of the four private company financial reporting alternatives, making the alternatives more accessible.
Effective dates to be removed from PCC-originated standards.
If endorsed, the change would create an unconditional first-time option for GAAP alternatives.
FASB has endorsed a decision by the Private Company Council that would remove the effective dates from four GAAP alternatives for private companies.
Council's advisory role to FASB will be expanded.
The Private Company Council reached a consensus to remove the effective dates from four Accounting Standards Updates issued in 2014 that provide GAAP alternatives for private companies.
Work by the Private Company Council (PCC) on potential GAAP alternatives for private companies is not finished.
Chair Candace Wright and 3 others join the Private Company Council.
Candace Wright, who serves as a director with Louisiana CPA firm Postlethwaite & Netterville, was appointed as chair of the Private Company Council (PCC).
Analysis is sought on increasing access to private company GAAP alternatives.
Letter to FAF says PCC’s work on existing GAAP is not finished.
A FASB principle for accounting policy decisions may affect when private companies are able to elect GAAP financial reporting alternatives developed by the Private Company Council.
An AICPA comment letter encourages the Financial Accounting Foundation to not lose the momentum it has built in addressing accounting issues for private companies through the Private Company Council process.
Private companies may have more flexibility to elect private company accounting alternatives as a result of a project the Private Company Council (PCC) is undertaking.
A number of standard setters and regulators are making efforts to reduce complexity in accounting standards and simplify financial reporting. These changes may free up finance employees from some reporting duties and allow them to focus on responsibilities that add more value to their organizations.
FASB issued a new GAAP alternative that is designed to make accounting for certain intangible assets acquired in a business combination less costly and less complicated for private companies.
The Financial Accounting Foundation board of trustees issued a request for comment on the effectiveness, accomplishments and future role of the Private Company Council.