Corporate Governance

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The SEC adopted rules in November to improve public companies’ disclosure of the processes they follow in appointing directors and the means by which securities holders can communicate with them ( ). Among the rules’ provisions—which took effect January 1—are, for example, requirements that each company disclose

Whether members of the committee nominating directors satisfy independence requirements and what minimum qualifications and standards the company expects of director nominees.

Whether the company has a process by which shareholders can communicate with directors and—if not—an explanation why and whether the company screens such communications and—if so—in what way.

The commission also approved rules the New York Stock Exchange and the Nasdaq stock market adopted to strengthen listed companies’ corporate governance standards ( ). They tighten the definition of director independence and require the majority of a listed company’s board members to comply with the stricter standards. The rules also mandate and facilitate independent director oversight of corporate governance, auditing, director nomination and compensation control systems. Comments are due by February 4.


6 key areas of change for accountants and auditors

New accounting standards on revenue recognition, leases, and credit losses present implementation challenges. This independently-written report identifies the hurdles that accounting professionals face and provides tips for overcoming the challenges.


How tax reform will impact individual taxpayers

Amy Wang, a CPA who is a senior technical manager for tax advocacy at the AICPA, answers to some of the most common questions on how the new tax reform law will impact individual taxpayers.