• House Democrats ask FASB to require more detailed disclosures about offshore taxes

    16 Democrats in the House of Representatives called on the FASB to write standards to require U.S. multinationals to disclose more information about their offshore earnings and taxes. The lawmakers’ request comes as reform and civic groups have urged Congress and regulators to crack down on tactics companies use to hide profits in offshore tax havens.
  • Materiality guidance takes shape

    The IASB decided to scrap guidelines about assessing covenant breaches from its forthcoming guidance to help businesses and other organizations determine the information that is important enough to include in their financial statements. The board wants its Practice Statement, to be published by the end of the year, to help businesses use judgment when drawing up financial statements.
  • Lease standard implementation falls behind schedule

    Businesses have two major accounting changes on the horizon in the next two years — the revenue recognition standard that goes into effect for public companies in less than six months and the lease accounting overhaul that must be followed in 2019. The lease standard is less complicated than the revenue guidance, but lease amendments still require major work to implement, and companies have been slow in making the necessary changes to their financial reporting systems and the processes to support the change.