Accounting compliance and reporting (IFRS)

Revenue recognition transition issues to be tackled by new group

A new group devoted to dealing with transition issues related to the new, converged revenue recognition standard will meet twice in 2014 and four times in 2015. The Joint Transition Resource Group for Revenue Recognition will hold its first meeting on July 18 and will consist of financial statement preparers,

How preparers can make revenue recognition implementation smooth

Financial statement preparers are embarking on a daunting task as they begin to ramp up for implementation of the new, comprehensive, converged standard on revenue recognition. Reading and understanding the standard, which was released on Wednesday, is the first item of business for preparers, according to Brian Marshall, CPA, a

FASB, IASB release historic revenue recognition standard

FASB and the International Accounting Standards Board (IASB) released a standard on the recognition of revenue from contracts with customers that is designed to create greater comparability for financial statement users across industries and jurisdictions.

New revenue guidance: Six things to consider

The release Wednesday of a long-awaited new revenue recognition standard had financial statement preparers settling in to read hundreds of pages of text, as standard setters celebrated the achievement of producing that text.

IASB clarifies appropriate methods of depreciation, amortization

New amendments to two international accounting standards published Monday clarify acceptable methods of depreciation and amortization. To clarify appropriate methods, the International Accounting Standards Board (IASB) changed IAS 16, Property, Plant and Equipment, and IAS 38, Intangible Assets. Both standards explain that the expected pattern of consumption of an asset’s

IASB establishes principles for cooperation with other standard setters

An updated charter published Wednesday by the International Accounting Standards Board (IASB) establishes principles for the board’s cooperation with national standard-setting bodies, as represented by the International Forum of Accounting Standard Setters. The updated charter: Re-emphasizes the importance of the global standard-setting community to the IASB’s work and builds on

IASB issues new standard for acquisitions of joint operations

New international accounting rules for acquisitions of interests in joint operations were published Tuesday by the International Accounting Standards Board (IASB). Amendments to IFRS 11, Joint Arrangements, specify the appropriate accounting treatment for an acquisition of an interest in a joint operation that constitutes a business. The IASB decided that

Revenue recognition: Do companies have enough time for implementation?

Companies may face a serious time crunch with implementation of the new, converged financial reporting standard for revenue recognition despite a seemingly long transition period, General Electric Controller and Chief Accounting Officer Jan Hauser said Thursday. The much-delayed standard, which has been approved by FASB and the International Accounting Standards

IASB seeks improvement for macro hedging accounting

An effort to create a more accurate depiction of risk management activities known as “macro hedging” in financial reporting is reflected in a discussion paper released Thursday by the International Accounting Standards Board (IASB). The IASB is inviting comment on a possible new approach to accounting for macro hedging because

IASB proposal designed to improve disclosures

Amendments proposed by the International Accounting Standards Board (IASB) on Tuesday are designed to play a role in the board’s effort to reduce disclosure overload. Proposed amendments to IAS 1, Presentation of Financial Statements, are the result of one of several short-term projects under the IASB’s broader Disclosure Initiative. The

No easy answers in key leases standard debate

FASB and the International Accounting Standards Board (IASB) are struggling to find common ground in their efforts to create a converged standard for financial reporting on leases. While meeting together Tuesday at FASB’s headquarters in Norwalk, Conn., the two boards came to different conclusions in preliminary votes on financial reporting

Seven revenue recognition considerations

Companies need to be aware of many possible changes as FASB and the International Accounting Standards Board put the finishing touches on the new revenue recognition standard.

How the lease accounting proposal may change

Acknowledging that the converged leases project poses difficulties for standard setters, International Accounting Standards Board (IASB) Chairman Hans Hoogervorst described some possible solutions Wednesday during a speech in Tokyo. The IASB and FASB are involved in new deliberations on their converged leases project after receiving feedback from financial statement preparers

SEC plans to consider whether global standards are achievable

The SEC plans to consider whether a single set of high-quality global accounting standards is achievable, according to one initiative described in a draft of the commission’s strategic plan for 2014 to 2018. An initiative described on page 8 of the 39-page document, which was released Monday, says the SEC

IASB gives rate-regulated activities guidance, reviews business combinations rules

The International Accounting Standards Board (IASB) on Thursday issued an interim standard on rate-regulated activities for use by first-time IFRS adopters while the board works to develop a permanent standard. Previously, IFRS did not contain any guidance for rate-regulated activities. The IASB has a plan to consider the broad issue

FAF to pay up to $3 million to help IASB’s convergence work

The IFRS Foundation will receive assistance for work on international convergence projects from its U.S. counterpart, the Financial Accounting Foundation (FAF). FAF announced Tuesday that it will make a nonrecurring contribution of up to $3 million in 2014 to the IFRS Foundation to support the work by the International Accounting

Seven changes new revenue standard may bring

The prospect of preparing for a historic, game-changing revenue recognition standard at a huge, global public company is a bit daunting for GE Technical Controller Russell Hodge, CPA. “I’ll admit to it being a little bit overwhelming to us,” Hodge said. “We have $150 billion of revenue and so many

Financial instruments convergence in doubt after FASB decisions

FASB took what appears to be two steps back from convergence with the International Accounting Standards Board (IASB) last week with a pair of major tentative decisions in its project on accounting for financial instruments. In the classification and measurement portion of the project, the board decided not to continue

Beswick: Rule-making preventing SEC from deciding on IFRS

Rule-making duties related to federal legislation have prevented the SEC from devoting time to deciding on the future of IFRS in the United States, SEC Chief Accountant Paul Beswick said Monday. “I think from my perspective, everyone in the commission thinks about the decision on IFRS and what the next

IIRC releases International Integrated Reporting Framework

The International Integrated Reporting Council (IIRC) on Sunday made public an approved framework for integrated reporting. The group intends for the framework to guide companies on how to best communicate with their stakeholders. The release represents a key step forward for integrated reporting (IR). The aim of IR is to

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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.

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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.