US Week in Review: Week ending 24 November 2021
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 EY.
What’s new from EY
To the Point: FASB requires disclosures by business entities about certain types of government assistance
The FASB issued final guidance that requires business entities to make annual disclosures about transactions with a government (including government assistance) they account for by analogizing to a grant or contribution accounting model (e.g., IAS 20, Accounting for Government Grants and Disclosure of Government Assistance; ASC 958-605, Not-for-Profit Entities – Revenue Recognition). The required disclosures include the nature of the transaction, the entity’s related accounting policy, the financial statement line items affected and the amounts reflected in the current period financial statements, as well as any significant terms and conditions. An entity that omits any of this information because it is legally prohibited from being disclosed needs to include a statement to that effect. The guidance is effective for financial statements issued for annual periods beginning after 15 December 2021, and early adoption is permitted.
The FASB proposed amending ASC 310 to eliminate the recognition and measurement guidance for a troubled debt restructuring (TDR) for creditors that have adopted ASU 2016-13 and enhance disclosures about loan modifications for borrowers experiencing financial difficulty. The proposal also would require public business entities to present gross write-offs by year of origination in their vintage disclosures. Comments are due by 23 December 2021.
Join our What to consider for year-end SEC reporting webcast on 1 December 2021 from 3 p.m. to 4 p.m. Eastern time to learn more about:
- Recent rulemaking and SEC staff interpretive guidance
- SEC staff focus areas and reporting considerations, including the focus by the SEC staff on climate change disclosures
- Year-end reminders and best practices
Are you up-to-date on the accounting and reporting standards that are effective in 2021 for private companies? Staying abreast of financial reporting updates is critical to positioning your company for success.
Click here to register for our webcast on Thursday, 2 December 2021, from 3 p.m. to 4 p.m. Eastern time to learn more about the following topics:
- Macroeconomic factors impacting accounting
- Accounting and reporting considerations: IPO/SPACs
- Accounting standards that are effective for private companies in 2021
- Accounting standards that are effective for private companies after 2021, including ASC 842, Leases, and recent amendments to ASC 805, Business Combinations
In our Derivatives and hedge accounting insights webcast on 8 December 2021 from 2 p.m. to 3 p.m. Eastern time, EY panelists will address the operational benefits provided by ASU 2017-12; share insights from the EY Derivatives and Hedge Accounting survey and discuss how managed services can help address resource, technology and cost challenges.
EY panelists will discuss year-end reminders and standard-setting activities during our webcast, What you need to know for Q4 2021 financial reporting, on 16 December 2021 from 3:30 p.m. to 5:00 p.m. Eastern time.
Standard Setter updates
Financial Accounting Standards Board (FASB)
There are no Board meetings scheduled for the week of 29 November 2021. For more information, see the FASB’s calendar.
Public Company Accounting Oversight Board (PCAOB)
The PCAOB approved the fiscal year 2022 budget. The budget must now be approved by the SEC. The PCAOB plans to revisit the PCAOB’s strategic plan in 2022 after all the newly appointed Board members have been sworn in.
What to consider for year-end SEC reporting
1 December 2021, 3 p.m. Eastern time
Financial reporting for private companies – what you need to know for 2021
2 December 2021, 3 p.m. Eastern time
Derivatives and hedge accounting insights
8 December 2021, 2 p.m. Eastern time
What audit committees need to know at the end of 2021
15 December 2021, 3 p.m. Eastern time
US health sector update webcast – December 2021
15 December 2021, 12 p.m. Eastern time
What you need to know for Q4 2021 financial reporting
16 December 2021, 3:30 p.m. Eastern time