US Week in Review - Week ending 6 September 2012
The US Week in Review highlights this week’s developments and emerging issues in the financial reporting world and gives you direct access to relevant technical accounting guidance and thought leadership produced by Ernst & Young.
Ernst & Young publications
We have issued the general and industry-specific September 2012 editions of Financial reporting briefs. These publications provide you with a snapshot of the major accounting and regulatory developments that have occurred during the quarter. The Reference library at the end of each document lists our publications issued during the quarter, along with links to the publications on our AccountingLink website.
The general Financial reporting briefs and the industry-specific editions are available online.
The FASB has made significant changes to its investment company proposal in redeliberations. Our To the Point publication tells you what you need to know about how the proposal has changed.
The FASB and the IASB have made significant changes to their 2010 exposure draft and expect to issue a revised proposal in the fourth quarter. Our Technical Line publication summarizes the Boards' tentative decisions to revise their leases proposal and highlights some key differences between the revised proposal and current accounting.
To the Point: SEC proposes allowing general solicitation and advertising in certain exempt offerings
The Securities and Exchange Commission proposed rules that would allow general solicitation and advertising for certain exempt securities offerings as required by the Jumpstart Our Business Startups Act. The proposed relief would apply to exempt offerings conducted under new Rule 506(c) of Regulation D, as well as resales of restricted securities under Rule 144A of the Securities Act. Our To the Point publication summarizes what you need to know about the proposed rules.
Standard Setter updates
Financial Accounting Standards Board (FASB)
5 September 2012 FASB meeting
The Board discussed the following projects:
- Insurance contracts
- Investment companies (see our To the Point publication above)
- Transfers and servicing: repurchase agreements and similar transactions
- Accounting for financial instruments: classification and measurement
For additional details, see the FASB Action Alert.
Upcoming meetings and webcasts
7 September 2012 FASB meeting
The Board is scheduled to discuss its project on accounting for financial instruments: impairment.
11 September 2012 EITF meeting
The Task Force is scheduled to discuss:
- Issue No. 11-A, Parent's Accounting for the Cumulative Translation Adjustment upon a Sale within a Foreign Entity or a Sale of an Investment in a Foreign Entity
- Issue No. 12-G, Accounting for the Difference between the Fair Value of the Assets and Liabilities of a Consolidated Collateralized Financing Entity
- Issue No. 12-A, Not-for-Profit Entities: Classification of the Sale of Donated Securities in the Statement of Cash Flows
- Issue No. 12-C, Subsequent Accounting for an Indemnification Asset Recognized at the Acquisition Date as a Result of a Government-Assisted Acquisition of a Financial Institution
- Issue No. 12-E, Accounting for Fair Value Information That Arises after the Measurement Date and Its Inclusion in the Impairment Analysis of Unamortized Film Costs
For additional details of the planned discussions, see the FASB calendar.
See the FASB calendar for upcoming education sessions. No decisions are made at these sessions.
Securities and Exchange Commission (SEC)
2013 US GAAP XBRL Taxonomy available for comment by 29 October 2012
The Financial Accounting Foundation (FAF), which oversees the FASB, made available a draft of the 2013 US GAAP Financial Reporting Taxonomy (2013 Taxonomy) for public comment. Comments are due by 29 October 2012. The FAF also published a taxonomy viewer and guidance that describes changes from the 2012 Taxonomy.
The 2013 Taxonomy may be used for SEC XBRL exhibit submissions only after it is adopted by the SEC (expected in early calendar year 2013) and listed as available for use on the SEC website. Until then, companies should use the 2012 or 2011 versions.
SEC invites comments on XBRL submissions
The SEC requested comments on the costs and benefits of XBRL interactive data that registrants submit to the SEC in filings under the Securities Act of 1933 and the Exchange Act of 1934.
The SEC asked for comments on: (1) whether XBRL information is necessary for the proper functioning of the SEC and whether the information is useful, (2) whether an estimate of 59 hours of preparation per submission is accurate, (3) how to improve the quality, utility and clarity of the XBRL data and (4) how to minimize the burden of XBRL compliance on respondents.
Comment letters are due by 5 October 2012.
American Institute of CPAs (AICPA)
AICPA proposes Omnibus statement on auditing standards - 2012
This proposed SAS would amend SAS No.122, Clarification and Recodification, section 600, Special Considerations - Audits of Group Financial Statements (Including the work of component auditors), and section 800, Special Considerations - Audits of Financial Statements prepared in accordance with special purpose frameworks. The proposed amendments address issues that have arisen after the issuance of SAS No.122, and would be effective for audits of financial statements for periods on or after 15 December 2012.
Upcoming Thought center webcasts and podcasts
SEC comments and trends: an analysis of current reporting issues
2 October 2012, 1:00 p.m. Eastern time
Evolving role of today's CFO
Featured in FEI's CFO Community of Interest
Hosted by Ernst & Young LLP
16 October 2012, 2:00 p.m. Eastern time