Targeted Transition Relief for Topic 326, Financial Instruments – Credit Losses
FASB has issued a Proposed ASU, Targeted Transition Relief for Topic 326, Financial Instruments—Credit Losses, to address an implementation issue related to the adoption of the fair value option for financial instruments that would otherwise be reported at amortized cost. The proposal would allow businesses electing the fair value measurement option for newly originated or purchased loans to also measure at transition their existing loans at fair value. Comments are due March 8, 2019.