Feb 13, 2025 | Accounting
The FASB has proposed new accounting guidance for business entities that receive government grants. ASU 2018-08 explicitly excludes transfers of assets from government entities to business entities from the contributions received guidance in 958. During COVID, this left for-profit entities without clear guidance on handling various government grants. The exposure draft provides recognition, measurement, presentation, and disclosure guidance for governmental entities, which more closely aligns with IAS 20 than nonprofit GAAP. Comments are due March 31, 2025.
Feb 2, 2025 | Newsletter
The FASB had a busy start to 2025, issuing an Invitation to Comment (ITC) on January 3rd, inviting stakeholders to provide feedback on the Board’s future agenda by June 30, 2025. On January 6th, FASB released ASU 2025-01, clarifying guidance for non-calendar year-end entities regarding ASU 2024-03, and on January 22nd, issued an exposure draft proposing improvements to the FASB Codification. Meanwhile, the AICPA updated its digital assets practice aid in response to FASB’s ASU 2023-08, and the GASB held a quieter month, preparing for their February meeting.
Jan 30, 2025 | Accounting
In December 2024, the Financial Accounting Foundation (FAF) released its 2023-2024 Review of the Private Company Council (PCC). The purpose of this report is to review the effectiveness of the PCC. The FAF gathered both internal feedback from PCC members & FASB members, and external feedback by conducting virtual meetings with representatives from firms, banking industry lenders, and other stakeholder groups, as well as issuing a Request for Public Comment. The report is divided into 5 key categories, including the PCC’s mission, communication, meeting operations, size/composition/recruitment of PCC members, and a conclusion section. Overall, the 2023-2024 PCC review highlighted positive stakeholder feedback on the PCC’s effectiveness while identifying areas for improvement.
Jan 23, 2025 | Accounting
With the rise of agile development and modern technology, it’s time to ditch the old stage-based approach and embrace updates that better reflect how software is developed today. Here’s what’s proposed: 1) Modernization: Streamlined accounting rules for internal-use software (Subtopic 350-40) that align with contemporary methods. 2) Transparency: Improved visibility into cash flows tied to software costs for smarter investor insights. 3) Clarity: Simplified guidance that brings website development costs under the same umbrella. The comment deadline is January 27, 2025.
Dec 12, 2024 | Accounting
Dive into our latest Genuine Learning Blog video where we unpack the Proposed Accounting Standards Update on Business Combinations (Topic 805) and Consolidation (Topic 810). We’re shedding light on the complexities of determining the accounting acquirer when acquiring a Variable Interest Entity (VIE). This is a must-watch for professionals navigating the nuances of mergers, acquisitions, and consolidation accounting. Stay ahead of the curve and understand how these proposed changes could impact your financial reporting!
