Featured Product

    FASB Issues Summary of Tentative Board Decisions at October Meeting

    FASB published a summary of the tentative decisions taken at its Board meeting in October 2019. The Board discussed comments received on its August 2019 proposed Accounting Standards Update and affirmed its decisions on amendments to the effective dates for Financial Instruments—Credit Losses (Topic 326), Derivatives and Hedging (Topic 815), and Leases (Topic 842). Additionally, FASB approved its proposal to delay effective dates of its long-duration insurance standard for all insurance companies that issue long-duration contracts, such as life insurance and annuities. As a next step, FASB expects to issue two final Accounting Standards Updates containing these decisions in mid-November.

    The Board decided that Credit Losses standard will be effective for public business entities that are SEC filers, excluding entities eligible to be smaller reporting companies as currently defined by SEC, for fiscal years beginning after December 15, 2019, and interim periods within those fiscal years. For calendar-year-end companies, this will be January 01, 2020. The Board affirmed that the one-time determination of whether an entity is eligible to be a smaller reporting company will be based on an entity’s most recent assessment in accordance with SEC regulations as of the date that a final Update on effective dates is issued. For all other entities, the Board decided that Credit Losses standard will be effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. For all entities, early adoption will continue to be allowed; that is, early adoption is allowed for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years (that is, effective January 01, 2019, for calendar-year-end companies).     

    The Board decided to retain the existing effective date for Hedging for public business entities as well as the existing effective date for Leases for all public business entities, not-for-profit conduit bond obligors, and employee benefit plans that file or furnish financial statements with SEC. That date is for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years (effective January 01, 2019, for calendar-year-end companies). The Board decided to defer the mandatory effective date for Hedging and Leases for all other entities by an additional year. Hedging will be effective for entities other than public business entities for fiscal years beginning after December 15, 2020 (effective January 01, 2021, for calendar-year-end companies), and interim periods within fiscal years beginning after December 15, 2021 (January 01, 2022, for calendar-year-end companies). Leases will be effective for all other entities beginning after December 15, 2020 (January 01, 2021, for calendar-year-end companies), and interim periods within fiscal years beginning after December 15, 2021 (January 01, 2022 for calendar-year-end companies). Early adoption will continue to be allowed.

    Finally, the Board affirmed its previous decisions on the effective date of Update 2018-12 on accounting for long-duration insurance contracts:

    • For public business entities that meet the definition of an SEC filer, excluding entities eligible to be smaller reporting companies, the amendments in Update 2018-12 should be effective for fiscal years beginning after December 15, 2021, and interim periods within those fiscal years.
    • For all other entities, the amendments in Update 2018-12 should be effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024.

     

    Related Links

    Keywords: Americas, US, Banking, Accounting, Insurance, Accounting Standards Update, CECL, Derivatives and Hedging, Leases, IFRS 16, Reporting, IFRS 9, IFRS 17, SEC, FASB

    Featured Experts
    Related Articles
    News

    BoE Clarifies Approach to Treatment of Payment Holidays on Form PL

    BoE published a statistical notice (Notice 2020/9) explaining the approach for treatment of payment holidays on the profit and loss return or Form PL.

    August 11, 2020 WebPage Regulatory News
    News

    BoE Provides Reporting Update on Form AS and Form FV

    BoE updated the known issues document for the statistical reporting Forms AS and FV.

    August 10, 2020 WebPage Regulatory News
    News

    FED Announces Capital Requirements for Large Banks

    FED announced individual capital requirements for 34 large banks and these requirements go into effect on October 01, 2020.

    August 10, 2020 WebPage Regulatory News
    News

    SRB Publishes Guidance on Implementation of Bail-In Tool

    SRB published a set of documents to give operational guidance to banks on implementation of the bail-in tool.

    August 10, 2020 WebPage Regulatory News
    News

    BIS Publishes Update on G20 TechSprint Initiative

    BIS published an update on the G20 TechSprint Initiative, which was launched in April 2020 and aims to highlight the potential for technologies to resolve regulatory compliance (regtech) and supervisory (suptech) challenges.

    August 10, 2020 WebPage Regulatory News
    News

    OSFI Provides Update on Implementation of IFRS 17 in Canada

    OSFI published a letter that provides an update on the milestones for the implementation of the IFRS 17 standard on insurance contracts.

    August 07, 2020 WebPage Regulatory News
    News

    EBA Provides Clarity on Implementation of Guidance on COVID Reporting

    EBA updated the report on the implementation of selected COVID-19 policies.

    August 07, 2020 WebPage Regulatory News
    News

    FSI Note Discusses Challenges Associated with COVID Relief Measures

    The Financial Stability Institute (FSI) of BIS published a brief note that examines the supervisory challenges associated with certain temporary regulatory relief measures introduced by BCBS and prudential authorities in response to the COVID-19 pandemic.

    August 06, 2020 WebPage Regulatory News
    News

    BCBS Consults on Principles for Operational Risk and Resilience

    BCBS is consulting on the principles for operational resilience and the revisions to the principles for sound management of operational risk for banks.

    August 06, 2020 WebPage Regulatory News
    News

    BoE Updates Template and Definitions for Form ER

    BoE updated the reporting template for Form ER as well as the Form ER definitions, which contain guidance on the methodology to be used in calculating annualized interest rates.

    August 05, 2020 WebPage Regulatory News
    RESULTS 1 - 10 OF 5650