FASB Proposes Taxonomy Improvements to Accounting Under Topic 944
FASB proposed the Taxonomy Implementation Guide on extensible list for the US GAAP Financial Reporting Taxonomy, with the comment period ending on September 21, 2020. FASB also issued the final 2020 FASB Taxonomy Implementation Guides in Inline XBRL. The final implementation guides address certain accounting changes and long-duration insurance contracts (topic 944). The guides, along with the XBRL files, are available on the FASB website. In addition, FASB proposed taxonomy improvements for the proposed Accounting Standards Update that would grant insurance companies, adversely affected by the COVID-19 pandemic, an additional year to implement the targeted improvements to accounting for long-duration insurance contracts, or LDTI (topic 944). The comment period on the proposed taxonomy improvements ends on August 24, 2020.
The purpose of the proposed Taxonomy Implementation Guide on extensible list is to explain an XBRL design feature, known as extensible enumerations, denoted in the taxonomy as an element having a standard label ending with [Extensible List]. The guide explains the purpose of this feature, when it is intended to be used, and the modeling of disclosure requirements using this feature. The target audience for this guide is primarily any party responsible for tagging information in an SEC XBRL filing. The implementation guides are intended to provide "preparers" with additional insight and supplemental guidance for utilizing the taxonomy, as they create their XBRL documents. FASB issued the final 2020 Taxonomy Implementation Guides including the following:
- Implementation Guide on Accounting Changes—The purpose of this guide is to demonstrate the modeling for reporting of the transition on adoption of amendments from an Accounting Standards Update or other accounting changes under FASB Accounting Standards Codification Topic 250 (Accounting Changes and Error Corrections) and topics amended by an Accounting Standards Update.
- Implementation Guide on Long-Duration Insurance Contracts—The purpose of this guide is to demonstrate the modeling for disclosures related to long-duration insurance contracts.
Related Links
- Notification (PDF)
- Proposed Guide on Extensible List (PDF)
- Taxonomy Implementation Guides
- Release Notes on Taxonomy Improvements (PDF)
- Proposed Accounting Standards Update (PDF)
Comment Due Date: August 24, 2020/September 21, 2020
Keywords: Americas, US, Accounting, Banking, Insurance, COVID-19, Insurance Contracts, Topic 944, LDTI, IFRS 17, Taxonomy Implementation Guide, Taxonomy, US GAAP, XBRL, Reporting, FASB
Featured Experts

David Fihrer
Skilled life insurance actuary; subject matter expert on IFRS 17 and source of earnings

Salman Siddiqui
ESG and climate expert for P&C insurance; IFRS 17 specialist and chartered accountant; extensive experience in both life and non-life insurance, with focus on capital management, financial performance, and financial reporting.

Laurent Birade
Advises U.S. and Canadian financial institutions on risk and finance integration, CCAR/DFAST stress testing, IFRS9 and CECL credit loss reserving, and credit risk practices.
Previous Article
EIOPA on Options for Shared Resilience Solutions for Pandemic RiskRelated Articles
EBA Proposes Standards for IRRBB Reporting Under Basel Framework
The European Banking Authority (EBA) proposed implementing technical standards on the interest rate risk in the banking book (IRRBB) reporting requirements, with the comment period ending on May 02, 2023.
FED Issues Further Details on Pilot Climate Scenario Analysis Exercise
The U.S. Federal Reserve Board (FED) set out details of the pilot climate scenario analysis exercise to be conducted among the six largest U.S. bank holding companies.
US Agencies Issue Several Regulatory and Reporting Updates
The Board of Governors of the Federal Reserve System (FED) adopted the final rule on Adjustable Interest Rate (LIBOR) Act.
ECB Issues Multiple Reports and Regulatory Updates for Banks
The European Central Bank (ECB) published an updated list of supervised entities, a report on the supervision of less significant institutions (LSIs), a statement on macro-prudential policy.
HKMA Keeps List of D-SIBs Unchanged, Makes Other Announcements
The Hong Kong Monetary Authority (HKMA) published a circular on the prudential treatment of crypto-asset exposures, an update on the status of transition to new interest rate benchmarks.
EU Issues FAQs on Taxonomy Regulation, Rules Under CRD, FICOD and SFDR
The European Commission (EC) adopted the standards addressing supervisory reporting of risk concentrations and intra-group transactions, benchmarking of internal approaches, and authorization of credit institutions.
CBIRC Revises Measures on Corporate Governance Supervision
The China Banking and Insurance Regulatory Commission (CBIRC) issued rules to manage the risk of off-balance sheet business of commercial banks and rules on corporate governance of financial institutions.
HKMA Publications Address Sustainability Issues in Financial Sector
The Hong Kong Monetary Authority (HKMA) made announcements to address sustainability issues in the financial sector.
EBA Updates Address Basel and NPL Requirements for Banks
The European Banking Authority (EBA) published regulatory standards on identification of a group of connected clients (GCC) as well as updated the lists of identified financial conglomerates.
ESMA Publishes 2022 ESEF XBRL Taxonomy and Conformance Suite
The General Board of the European Systemic Risk Board (ESRB), at its December meeting, issued an updated risk assessment via the quarterly risk dashboard and held discussions on key policy priorities to address the systemic risks in the European Union.