FASB Holds May 17 Meeting
May 19, 2023
At its May 17, 2023, meeting, the FASB discussed its projects on the following topics:
- FASB proposal on disclosure improvements related to the SEC’s release on disclosure update and simplification — The Board discussed feedback received on the FASB’s proposed ASU on this topic and tentatively decided to include in the Codification a number of the disclosures referred to in the Board’s May 17, 2023, meeting handout. However, the Board also decided not to include in the Codification certain disclosures that were addressed, as well as some that were not addressed, in the proposed ASU. In addition, the Board decided that “the effective date for each amendment will be the same as the SEC’s effective date to remove that related disclosure from Regulations S-X and S-K for all entities subject to the existing SEC disclosure requirements, with early adoption prohibited.” The amendments will be effective prospectively.
- Conceptual framework: measurement — The Board‘s discussion focused on the underlying concepts for Chapter 6, “Measurement,” of Concepts Statement No. 8, Conceptual Framework for Financial Reporting. In addition, the Board “directed the staff to incorporate Board members’ feedback in the draft chapter, develop the basis for conclusions for the chapter, and consider whether elements of FASB Concepts Statement No. 7, Using Cash Flow Information and Present Value in Accounting Measurements, should be incorporated in the forthcoming measurement chapter.”
- Conceptual framework: recognition and derecognition — The Board deliberated substantive issues in response to feedback received on its exposure draft Concepts Statement No. 8, Conceptual Framework for Financial Reporting: Chapter 5: Recognition and Derecognition. The Board made tentative decisions related to (1) recognition criteria, the qualitative characteristic of “relevance,” and (3) derecognition.
For more information, see the tentative Board decisions and meeting handout on the FASB’s Web site.