FASB issued a standard Thursday that is intended to clarify the interaction between accounting standards related to equity securities, equity method investments, and certain derivatives. The board expects that standard to reduce diversity in practice and increase comparability of accounting for these interactions. Stakeholders had asked FASB to clarify how guidance issued in 2016 should […]

Climate change is the foundation of what may be a fundamental reshaping of finance, BlackRock Chairman and CEO Larry Fink wrote in an open letter to CEOs released Tuesday that announced the asset manager’s plans to place sustainability at the center of its investment approach. BlackRock, which has close to $7 trillion under its management, […]

Auditor independence rules would change under a new SEC proposal designed to permit relationships in situations when independence is not substantially threatened. If adopted, the proposed amendments to the independence rule (Rule 2-01) would: Amend the definitions of affiliate of the audit client, in Rule 2-01(f)(4), and Investment Company Complex, in Rule 2-01(f)(14), to address […]

The AICPA is proposing changes to the CPA Exam Blueprints to update the subject matter tested on the CPA Exam to ensure it continues to focus on the core knowledge and skills required of newly licensed CPAs. In an Exposure Draft and Invitation to Comment issued Monday, the AICPA describes major themes derived from a […]

Rules for continuing professional education providers for CPAs have been changed to accommodate adaptive learning self-study programs and address other issues. The National Association of State Boards of Accountancy (NASBA) and the AICPA announced that they have approved revisions to the Statement on Standards for Continuing Professional Education (CPE) Programs and the NASBA Fields of […]

Richard Jones, who has spent 32 years at EY, will succeed Russell Golden as FASB’s chair when Golden’s term expires at the end of June, the Financial Accounting Foundation (FAF) board of trustees announced Thursday. Jones will join FASB early next year to enable an orderly leadership transition. He is chief accountant and partner at […]

The AICPA issued separate Technical Questions and Answers on Thursday to provide nonauthoritative guidance in response to the amendment of Internal Revenue Code Sec. 163(j) and related to GASB’s fiduciary activities guidance. Technical Questions and Answers (TQAs) 3300.01–.02 provide guidance relevant to Sec. 163(j), which was amended in 2017 to limit the deduction for business […]

More investors would have access to private capital markets under a proposal issued Wednesday by the SEC. The proposal would amend the definition of “accredited investor” to permit more investors to participate in private offerings. Accredited investors are institutions and individuals deemed by the SEC to possess the knowledge and expertise to participate in private […]

Implementation struggles experienced by federal agencies have prompted the Federal Accounting Standards Advisory Board (FASAB) to propose delaying the effective date of its standards for accounting for leases for two years. Under the proposal, Statement of Federal Financial Accounting Standards (SFFAS) 54, Leases: An Amendment of SFFAS 5, Accounting for Liabilities of the Federal Government, […]

In a business environment that’s changing rapidly, even the currency used to pay for transactions is evolving in ways that challenge accountants and auditors. The growing popularity of various forms of digital (or crypto) assets has required many CPAs to consider how to appropriately account for them under GAAP. Questions and answers related to this […]