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    AICPA

    11 July 2018

    Revisions to SSAEs No. 18, Attestation standards: Clarification and recodification
    This proposed Standards for Attestation Engagements (SSAEs) would supersede AT-C section 105, Concepts Common to All Attestation Engagements; AT-C section 205, Examination Engagements; AT-C section 210, Review Engagements; and AT-C section 215, Agreed-Upon Procedures Engagements. Comments are due 11 October 2018.

    20 June 2018

    Disclosing client information in connection with a quality review
    The proposal requires that members performing quality reviews not use to their advantage or disclose any information obtained in the course of the review. Furthermore, members obtaining such reviews should be satisfied that the disclosure requirements of Treas. Reg. 7216 are met at a minimum and apply additional safeguards as the member determines necessary. The requirements of Treas. Reg. 7216 regarding disclosures of information in connection with quality reviews are not less restrictive than the requirements of the AICPA “Confidential Client Information Rule” (ET sec. 1.700.001) and are considered adequate safeguards against prohibited disclosures. Similar to other reviews of a member’s practice, if threats are still not at an acceptable level, the member should take additional precautions, such as entering into a confidentiality agreement or de-identifying the information. Comments are due by 20 August 2018.

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    CAQ

    18 September 2018

    2018 Main Street Investor Survey
    Since 2007, the CAQ has commissioned an annual survey of US retail investors. Each year, our Main Street Investor Survey measures confidence in US capital markets, global capital markets, audited financial information, and investing in publicly traded companies. Through a variety of market conditions over the years, the survey has shown the solid levels of trust that Americans place in the US capital markets system. This edition of the survey is no exception.

    24 July 2018

    Critical audit matters: Key concepts and FAQs for audit committees, investors, and other users of financial statements
    This CAQ publication is designed to promote understanding of critical audit matters (CAMs), a new component of the auditor’s report required by a standard adopted in 2017 by the PCAOB. The publication provides definitions, key concepts, implementation deadlines, frequently asked questions about CAMs, and side-by-side comparisons of US and international standards on expanded auditor reporting.

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    EITF

    8 June 2018

    EITF Update - June 2018
    The EITF reached a final consensus on customer’s accounting for implementation, setup, and other upfront costs (implementation costs) incurred in a cloud computing arrangement that is considered a service contract. The Task Force reached a consensus-for-exposure on recognition under Topic 805 for an assumed liability in a revenue contract. The Task Force also discussed improvements to accounting for episodic television series.

    19 January 2018

    EITF Update - January 2018
    The EITF reached a consensus-for-exposure on customer’s accounting for implementation, setup, and other upfront costs (implementation costs) incurred in a cloud computing arrangement that is considered a service contract.

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    FASB

    12 September 2018

    Comment Letter - FASB proposal on narrow-scope amendments to help lessors apply the new leases standard
    In our comment letter, we supported the FASB’s efforts to reduce the cost and complexity of applying the guidance in ASC 842, Leases, by allowing lessors to make an accounting policy election to not evaluate whether sales taxes and similar taxes imposed by a third party on a lease revenue-producing activity are the primary obligation of the lessor as owner of the underlying leased asset. However, we believe the Board should clarify certain aspects of the proposal. We also support addressing stakeholders’ concerns about the difficulty of estimating certain costs paid directly by lessees to third parties on the lessor’s behalf but recommend that the FASB make changes to the proposed amendments to make them operable. We also support addressing stakeholders’ concerns about the guidance on when a lessor recognizes variable payments that relate to both a lease component and non-lease component.

    11 September 2018

    In Focus: Not-for-profit and governmental accounting webcast for academics
    The FASB and the GASB announced their first joint webcast providing an update for college and university accounting educators on major recent FASB and GASB standards. It will take place on Thursday, 11 October from 1 to 2:40 p.m. EDT.

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    GASB

    11 September 2018

    In Focus: Not-for-profit and governmental accounting webcast for academics
    The FASB and the GASB announced their first joint webcast providing an update for college and university accounting educators on major recent FASB and GASB standards. It will take place on Thursday, 11 October from 1 to 2:40 p.m. EDT.

    30 July 2018

    Conduit debt obligations
    The GASB proposed creating a single method for government issuers to report conduit debt obligations and related obligations. The proposal would eliminate diversity in practice by clarifying what is a conduit debt obligation, eliminating the option for government issuers to recognize conduit debt obligations, clarifying the guidance for additional commitments extended by government issuers and arrangements associated with conduit debt obligations that are often characterized as leases and enhancing note disclosures. The proposed guidance would be effective for reporting periods beginning on or after 15 December 2020. Earlier application would be encouraged. Comments are due by 2 November 2018.

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    PCAOB

    13 September 2018

    PCAOB enters into cooperative agreement with Austrian audit regulator
    The PCAOB announced that it has entered into a cooperative agreement with the Audit Oversight Body of Austria. This agreement provides a framework for joint inspections in the oversight of audit firms subject to the regulatory jurisdictions of both organizations. It also allows for the exchange of confidential information.

    10 September 2018

    Comment Letter - PCAOB Draft Strategic Plan for 2018-2022
    In our comment letter on the PCAOB’s Draft Strategic Plan for 2018-2022, we commend the PCAOB for seeking public input and generally support the five goals the PCAOB laid out. We also offer suggestions to enhance inspection reporting, strengthen the PCAOB’s goal relating to technological innovations and expand the stakeholders with which the PCAOB engages to include foreign regulators and international standard setters. The PCAOB is expected to publish its final Strategic Plan by the end of the year.

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    SEC

    24 July 2018

    Financial disclosures about guarantors and issuers of guaranteed securities and affiliates whose securities collateralize a registrant’s securities
    The SEC proposed amendments to simplify and streamline the financial disclosure requirements applicable to registered debt offerings for guarantors and issuers of guaranteed securities, as well as for affiliates whose securities collateralize a registrant’s securities. The proposed amendments to Rules 3-10 and 3-16 of Regulation S-X would focus disclosures on information that is material to investors given the specific facts and circumstances, make the disclosures easier to understand, and reduce the costs and burdens for registrants.

    12 July 2018

    SEC in Focus - July 2018
    Our latest newsletter summarizes SEC developments in the last quarter, including certain items we have not previously reported in Week in Review. Highlights include a discussion of a recent open meeting of the Commission, SEC staff comment letters on ASC 606 adoption and clarifications provided by SEC officials on certain digital assets. We also discuss recent SEC rulemaking activities, SEC staff guidance updates and significant personnel changes.

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