AICPA National Conference Provides Insight for 2014, Part 1
Here's what you need to know about each:
- The final revenue recognition standard, which is expected to be issued in the first quarter of 2014, will be effective for fiscal years beginning on or after Dec. 15, 2016. While the model is closer to current U.S. GAAP taxonomy, it will require more estimates and judgments, in addition to increased disclosures and updates to processes, systems, and controls.
- The updated COSO Internal Control—Integrated Framework will supersede the original framework on Dec. 15, 2014. Prior to that date, external reporting should disclose which version of the framework was used.
- Disclosure of the use of certain conflict minerals (i.e., tin, tantalum, tungsten, and gold) is required for public companies as mandated by the Dodd-Frank Act. The first report (Form SD) for the calendar year ending Dec. 31, 2013 is due May 31, 2014 (May 31, 2016, for smaller companies, as defined by Rule 12b-2 under the Exchange Act, for the calendar year ending Dec. 31, 2015). The SEC requires that companies perform due diligence to determine whether its products containing conflict minerals follow a nationally or internationally recognized framework. Currently, the Organization for Economic Co-operation and Development (OECD) has the only recognized framework.
Check back tomorrow for part two of this blog post addressing the AICPA Conference on Current SEC and PCAOB Developments.
About the Author
Mike Starr is Vice President of Governmental and Regulatory Affairs. He previously served as the SEC Chief Accountant’s advisor with a focus on investors’ financial information needs and the role of structured data in meeting those needs. Prior to his work with the SEC, Mike served as Chief Operating Officer for Grant Thornton International Ltd., where he oversaw global strategy and public policy. He earned a Bachelor of Science in accounting from Oklahoma State University (OSU), and in 2010 was recognized as an OSU distinguished accounting alumnus and inducted into the School of Accounting Hall of Fame.