Three topics are hitting the accounting news sites. I’m just passing along announcements.
Work Plan for the Consideration of IncorporatingInternational Financial Reporting Standards into the Financial Reporting System for U.S. Issuers: Exploring a Possible Method of Incorporation
May 26, 2011
I will be commenting on this next week. In the meantime, read the FEIblog summary here.
The FASB and IASB have been working on leases. The accounting for leases has been a problem area for many, many, many years. I’ve not commented on it yet. With the current proposal, neither corporations (and their paid auditors) nor investors are happy with the proposed rule. The latest change is a prime example of why the IASB will not produce US-useful accounting numbers.
Edith Orenstein at the FEI Blog has a good write-up on the latest, “Preparers Concerned About Change In Direction In FASB, IASB Leasing Proposal.”
# Shareholders to Become SEC Reporting Registrant
Jim Hamilton’s World of Securities Regulation, one of my most trusted and useful news sources, has a new piece out, “House Legislation Would Raise 500-Shareholder Threshold for Reporting Against Backdrop of SEC Review of the Trigger.” I’ve been wanting to write on this issue for some time. The Jim Hamilton Blog reports that new legislation has been proposed, increasing the number of shareholders required for enhanced disclosures from 500 to 2,000 shareholders of record. This will be useful to many large companies, such as Facebook, to ignore the light of the public eye. This proposed legislation is corporation friendly and investor unfriendly.
Debit and credit – – David Albrecht