At its April 10, 2019, meeting, the FASB discussed (1) simplifications to accounting for income taxes, (2) financial instruments — credit losses — targeted transition relief, (3) extending private-company accounting alternatives related to certain identifiable intangible assets and goodwill to not-for-profit entities, and (4) segment reporting.
Simplifications to Accounting for Income Taxes
The Board decided to add to its agenda a project on simplifying the accounting for income taxes. Decisions made by the Board include those related to transition and to the removal of certain exceptions from ASC 740. The Board directed its staff to begin drafting a proposed ASU for a vote by written ballot.
The Board discussed comments received on its February 2019 proposed ASU, Targeted Transition Relief for Topic 326, Financial Instruments — Credit Losses. The FASB affirmed its decision to permit an entity to irrevocably elect the fair value option for certain instruments upon adoption of ASC 326, discussed effective date and transition, and concluded that the benefits of the proposed amendments would outweigh the costs.
Extending Private-Company Accounting Alternatives Related to Certain Identifiable Intangible Assets and Goodwill to Not-for-Profit Entities
The Board discussed comments received on its December 2018 proposed ASU, Extending the Private Company Accounting Alternatives on Goodwill and Certain Identifiable Intangible Assets to Not-for-Profit Entities, and directed its staff to begin drafting a final ASU for a vote by written ballot.
As part of developing a study on segment disclosures, the Board discussed options to (1) expand the list of required segment disclosures in ASC 280 and (2) require that the disclosures in ASC 280 be reported in a tabular format.