FASB Proposes Clarifications to Interim Reporting Requirements

The FASB has released a proposed Accounting Standards Update (ASU) to clarify the interim reporting requirements in ASC 270. The proposed ASU is being issued in response to concerns from stakeholders regarding the complexity of applying these requirements. However, the Board points out that the proposal’s objective is to make the guidance more understandable and clarify the types of disclosures entities are expected to provide, not to “expand or reduce” the current interim reporting requirements.

Among other changes, the proposed amendments “include a disclosure principle that would require entities to disclose events and changes since the end of the last annual reporting period that have a material impact on the entity.”

For more information, see the press release on the FASB’s Web site.