Corporate and Financial Weekly Digest, Featuring Topics on SEC/Corporate, Broker/Dealer, Derivatives, CFTC and UK/Brexit/EU Developments

FASB Ceases Work on Proposal To Amend Definition of “Materiality” for US GAAP -

As previously discussed in the September 1edition of Corporate & Financial Weekly Digest, the Financial Accounting Standards Board (FASB) had issued Proposed Accounting Standards Update (ASU) No. 2015-310, in which the FASB had proposed to remove its definition of materiality established in Concepts Statement No. (CON) 8, Conceptual Framework for Financial Reporting, in favor of relying on the US federal courts’ definition of materiality. The proposed change was intended to allow businesses to use discretion to determine whether certain information should be considered “material” and included in a financial statement footnote. After two years of criticism of the proposal, including from investors and investor groups, on November 8, the FASB ended its work with respect to proposed ASU No. 2015-310 and decided to revert back to the definition of materiality that had

been applied under CON 2, Qualitative Characteristics of Accounting Information, which was in use until 2010.

Please see full Newsletter below for more information.

LOADING PDF: If there are any problems, click here to download the file.

Written by:

Katten Muchin Rosenman LLP

Katten Muchin Rosenman LLP on:

Reporters on Deadline

"My best business intelligence, in one easy email…"

Your first step to building a free, personalized, morning email brief covering pertinent authors and topics on JD Supra:
*By using the service, you signify your acceptance of JD Supra's Privacy Policy.
Custom Email Digest
- hide
- hide

This website uses cookies to improve user experience, track anonymous site usage, store authorization tokens and permit sharing on social media networks. By continuing to browse this website you accept the use of cookies. Click here to read more about how we use cookies.