FASB issued a staff Q&A document Monday to clarify how to apply the U.S. GAAP Financial Reporting Taxonomy to disclosures related to the effects of the coronavirus pandemic and relief efforts.
The staff Q&As discuss how the taxonomy should be applied to:
- The note to the financial statements specific to COVID-19 information.
- The disclosure of the effect on the financial statements of the Coronavirus Aid, Relief, and Economic Security (CARES) Act, P.L. 116-136, related to the modifications of limitations on the deductibility of net operating losses.
- The disclosure of the effect on the financial statements of the CARES Act related to the acceleration of alternative minimum tax credits under the CARES Act.
- The disclosure of the effect on the financial statements of the CARES Act for amendments related to the depreciation of qualified improvement property under the CARES Act.
- The disclosure of threshold values related to the specific provisions of CARES Act relief efforts.
- The disclosure of deferred payroll taxes, employee retention credits, and deferred pension contributions related to CARES Act provisions.
- The disclosure of transactions from lending programs under the CARES Act.
- The disclosure of grants from government relief programs initiated in response to COVID-19.
FASB’s taxonomy staff cautioned that the responses provided in the Q&A should not be analogized to other facts and circumstances that were not specifically discussed. The staff will continue monitoring the situation and will communicate additional information as appropriate.
— Ken Tysiac (Kenneth.Tysiac@aicpa-cima.com) is the JofA’s editorial director.