AICPA issues working drafts for 3 revenue recognition issues

By Ken Tysiac

Three revenue recognition implementation issues are addressed in new working drafts issued by the AICPA Financial Reporting Executive Committee (FinREC).

The AICPA is developing a new revenue recognition guide to help financial statement preparers in various industries implement FASB Accounting Standards Update No. 2014-09, Revenue From Contracts With Customers (Topic 606).

Numerous working drafts already have been issued for public comment and later added to the guide. The new group of working drafts addresses:

  • Depository & Lending Institutions: Issue No. 5-1, Scope Issues.
  • Engineering & Construction Contractors: Issue No. 4-4, Uninstalled Materials.
  • Power & Utility Entities: Issue No. 13-2, Requirements and Similar Contracts With Variable Volumes.

Informal feedback on the implementation issues is due Oct. 2. Comments can be submitted to Jason Brodmerkel at Jason.Brodmerkel@aicpa-cima.com for the Depository & Lending issues; Fred Gill at Frederick.Gill@aicpa-cima.com for the Engineering & Construction issues; and Kim Kushmerick at Kim.Kushmerick@aicpa-cima.com for the Power & Utility issues.

Ken Tysiac (Kenneth.Tysiac@aicpa-cima.com) is a JofA editorial director.

SPONSORED REPORT

Get your clients ready for tax season

Upon its enactment in March, the American Rescue Plan Act (ARPA) introduced many new tax changes, some of which retroactively affected 2020 returns. Making the right moves now can help you mitigate any surprises heading into 2022.

100th ANNIVERSARY

Black CPA Centennial, 1921–2021

With 2021 marking the 100th anniversary of the first Black licensed CPA in the United States, a yearlong campaign kicked off to recognize the nation’s Black CPAs and encourage greater progress in diversity, inclusion, and equity in the CPA profession.