Accounting Research Tool

Frequently Asked Questions About ASU 2016-09 (June 20, 2016)

Frequently Asked Questions About ASU 2016-09

Heads Up | Volume 23, Issue 19
June 20, 2016
by Sandie Kim, Rob Morris, Matt Himmelman, Jonathan Margate, and Cort Yoder, Deloitte & Touche LLP
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Since the FASB’s issuance of ASU 2016-091 in March of this year, a number of questions have arisen about its implementation. The new guidance simplifies several aspects of the accounting for employee share-based payment transactions for both public and nonpublic entities, including the accounting for income taxes, forfeitures, and statutory tax withholding requirements, as well as classification in the statement of cash flows. The ASU also contains two practical expedients for nonpublic entities. The questions and answers below discuss many aspects of the new guidance that may be of interest to stakeholders.