• Finding value in revenue recognition implementation

    February 11, 2019 Published: Journal of Accountancy By: Ken Tysiac The challenges associated with FASB’s new revenue recognition standard have been substantial for many companies, but at least they’re gaining valuable data and process improvements as a result of the implementation. Getting the required data for the new financial disclosures under the standard was challenging

  • ACCA slams CMA´s audit reform proposals

    February 8, 2019 Published. The Accountant By: Joe Pickard The Association of Chartered Certified Accountants (ACCA) has criticised the UK’s Competition and Markets Authority’s (CMA) proposals for a reform of the statutory audit market. In its response to the study, the ACCA said: “While we support the CMA’s study of the statutory audit market, we

  • Voices How AI is transforming the jobs of accountants

    February 08 2019 Published: AccountingToday By: Aman Mann Artificial intelligence has become a buzz-phrase of sorts in recent years, and while it’s become hard to separate the hype from its practical potential, AI is rooted in a very realistic notion. Put simply, AI is one of the most advanced concepts in intelligent systems and decision-making

  • El reporte de información no financiera: nuevo paso en favor de la transparencia

    Enero 29, 2019 Publicado: elEconomista Por: Antoni Gómez El pasado 28 de diciembre, el Gobierno aprobó una modificación legal por la que se establece la obligatoriedad para una serie de empresas de publicar un estado de información no financiera relevante en relación a sus actividades. Esta ley responde a la aplicación en España de la

  • Consultation into improvements to the reporting of intangibles launched

    February 6, 2019 Published: Financial Reporting Council (FRC) Possible improvements to the reporting of factors that are important to a business’ generation of value are discussed in a consultation launched by the Financial Reporting Council (FRC) today. There are frequent calls to reform the accounting for intangible assets, partly in response to the move to a knowledge-based

  • Encouraging New Data on Accrual Adoption but Further Progress Needed

    February 4, 2019 Published: IFAC By: Steven Cain, Technical Manager, Policy and Technical Team, CIPFA In early November 2018 the Chartered Institute of Public Finance and Accountancy and IFAC launched a joint report on developments in the International Public Sector Financial Accountability Index, tracking progress in the adoption of accrual accounting by national and federal governments around the world.

  • Employee benefit plan auditing rules to change

    February 1, 2019 Published: Journal of Accountancy A new standard includes a revised report format for ERISA engagements. Reporting and performance requirements for practitioners auditing employee benefit plans subject to the Employee Retirement Income Security Act of 1974 (ERISA) will change under a new standard that the AICPA Auditing Standards Board (ASB) has voted to issue. Statement

  • Impacto del escenario político en actividad empresarial: fuerte caída en valoración positiva

    El Diario Financiero Un retroceso de 38 puntos en doce meses y de 25 puntos en el segundo semestre arrojó Encuesta de Expectativas Empresariales EYDiario Financiero. Un importante deterioro en la valoración del impacto del escenario político del país en la actividad del sector privado, constató la última edición de la Encuesta de Expectativas Empresariales

  • FASB alters transition requirements, scope of credit losses standard

    February 1, 2019 Published: Journal of Accountancy Implementation dates now will be aligned. FASB amended its standard on accounting for credit losses, changing the transition requirements and clarifying the scope of the standard. The credit losses standard was issued in 2016 and requires more timely reporting of credit losses on loans and other financial instruments. The

  • Feature: Materiality modernised

    January 28, 2019 Published: IFRS By Gary Kabureck, Member, International Accounting Standards Board ‘Financial statements need to communicate better’… was the essence of a pointed message the International Accounting Standards Board (Board) heard in early 2013. In response, our chair Hans Hoogervorst committed us to address, and resolve, what is colloquially referred to as ‘the disclosure

  • IES 7, Continuing Professional Development (Revised)

    January 28, 2019 Published: IFAC The revised International Education Standard (IES) 7, Continuing Professional Development, clarifies the principles and requirements for how professional accountancy organizations measure, monitor, and enforce their continuing professional development systems. It makes it clear that all professional accountants must develop and maintain professional competence to perform their role. The revised IES 7 places

  • Buildings Will Drive Transition to Circular Economy: New Methods of Valuation and Financing Are Key

    January 28, 2019 Published: IFAC By: Aglaia Fischer, Project Manager Circular Finance at Circle Economy & Sustainable Finance Lab, Lucas Geusebroek, Project Lead Circular Economy, Royal NBA A new report, Building Value, A Pathway to Circular Construction Finance, highlights the radical potential for valuing and financing circular buildings to accelerate the circular economy. The report includes tools

  • Voices: A realist’s predictions for the accounting profession in 2019

    January 23 2019 Published: AcountingToday By: Mike Whitmire I’m an accountant. Like most of you, I’m also a realist. I’m tired of “doom and gloom” predictions about the profession. I’m also sick of overly rosy and optimistic pictures of what’s to come for accountants and auditors — painted by non-accountants who have no idea what they’re

  • G20 Report highlights a high level of distrust in NGO Tax Systems

    January 24, 2019 Published; The Accountant The G20 Public Trust in Tax Report shows there is a high level of distrust among the public in politicians and non-government organisations in regards to tax systems. The report from the Association of Chartered Certified Accountants (ACCA), Chartered Accountants Australia and New Zealand (CA ANZ), and the International

  • Americans’ personal financial satisfaction dips in fourth quarter

    January 24, 2019 Published: Journal of Accountancy By Samiha Khanna  In the last quarter of 2018, the AICPA’s Personal Financial Satisfaction Index (PFSi) took a downward turn for the first time in two years. The PFSi dropped by 1.4 points (4.4%), largely due to a downturn in the stock market. However, the PFSi is still

  • Reporting of Non-Financial Information by SMEs in Europe

    January 22, 2019 Published: IFAC By: Paul Thompson There are growing pressures for businesses to explain how their activities impact the environment and society at large. In Europe, and indeed in many if not most other regions, small and medium-sized enterprises (SMEs) account for the majority of private sector GDP, employment, and environmental and social

  • CPA Canada study of the impact of adopting the new revenue standard

    January 21, 2019 Published: CPA Learn about the key findings from Chartered Professional Accountants of Canada (CPA Canada)’s study of the financial impact of the adoption of the new revenue standard by listed companies. Canadian public companies with calendar year ends began applying a new accounting standard for revenue recognition in the first quarter of

  • Comment on the proposed general improvements to the IFRS Taxonomy 2018 by Monday 4 February

    January 16, 2018 Published: IFRS In December 2018, the IFRS Foundation published IFRS Taxonomy 2018—Proposed Update 2 General Improvements for public consultation. The proposed changes aim to improve the quality of tagged data and to make the IFRS Taxonomy easier to use. The proposed update: – introduces implementation notes that explain how to use specific IFRS Taxonomy elements and

  • IAASA warns UK auditors of impacts of No-Deal Brexit

    January 17, 2019 Published: The Accountant By: Joe Pickard The Irish Auditing and Accounting Supervisory Authority (IAASA) has written to the leading UK audit firms to give advice on preparations for a no-deal Brexit scenario. The IAASA has stated that in the event of a no-deal exit from the EU, UK audit firms will have

  • IOSCO issues good practices to assist audit committees in supporting audit quality

    The Board of the International Organization of Securities Commissions (IOSCO) published today the IOSCO Report on Good Practices for Audit Committees in Supporting Audit Quality, which seeks to assist audit committees in promoting and supporting audit quality. The quality of a company’s financial report, supported by an independent external audit, is key to market confidence

  • Corporate Tax remains a key source of revenue for developing countries

    January 15, 2019 Published: The Accountant By Mishelle Thurai Despite falling rates worldwide, corporate tax remains a key source of income especially for governments in developing countries. Corporate Tax Statistics, a report from the Organisation for Economic Co-operation and Development (OECD), revealed in Egypt, Kazakhstan, Malaysia, Papua New Guinea and the Philippines, Corporate Income Tax

  • Future Implementation Support for International Standards on Auditing (ISAs)

    January 15, 2019 Published: IFAC By: Christopher Arnold and Dawn McGeachy As part of the IFAC’s commitment to support the implementation and adoption of international standards, we are exploring if new or additional initiatives could better assist small and medium-sized practices (SMPs) in efficiently and effectively implementing the International Standards on Auditing (ISAs). In particular, we are

  • The EC´s Technical Expert Group on Sustainable Finance publishes First Report

    January 14, 2019 Published: The Accountant The Technical Expert Group on Sustainable Finance set up by the European Commission (EC) has published its first report on companies’ disclosure of climate-related information. The report contains proposals for disclosing not just how climate change might influence the performance of a company, but also the impact of the

  • Delivery of last pending proposals, a common Destiny of unity, the hour of European Democracy

    January 9, 2019 Published: European Commission In its first weekly meeting of 2019 Commission discusses the main political challenges ahead The College of Commissioners held today the first weekly meeting of 2019 which was devoted to discussing the challenges of this new year. Commissioners used the opportunity to take stock and discuss the year ahead,

  • From Risk to Opportunity – Accountants Need to Lead Enterprise Risk Management

    January 7, 2019 Published: IFAC By:  Stathis Gould and Stuart Chaplin IFAC’s report, Enabling the Accountant’s Role in Effective Enterprise Risk Management, highlights both the importance of Enterprise Risk Management (ERM), and the contribution of accountants, CFOs and finance functions in leading ERM practice. We believe that professional accountants have an opportunity to enable more effective

  • Volunteering for a more human approach

    January 7, 2019 Published: Accountancy Europe Auditors face increasing pressure to evaluate more than just the financial results of a company. For 40 years, one audit firm in the Netherlands has been committed to helping the community for a more human approach to the profession. Marcel Karman and Arjan Buteijn of Dubois & Co, share

  • A new framework for audit quality disclosures

    January 8, 2019 Published: Journal of Accountancy In their continuing pursuit of the highest possible quality in their work, many audit firms produce annual transparency or audit quality reports to inform the public about their efforts. To help audit firms develop those disclosures, the Center for Audit Quality (CAQ) has developed a new Audit Quality Disclosure

  • Changes related to peer review proposed for UAA

    January 4, 2019 Published: Journal of Accountancy The National Association of State Boards of Accountancy (NASBA) is proposing changes to the Uniform Accountancy Act (UAA) Model Rules related to peer review programs. The UAA is a nonbinding model designed to provide best practices for state laws and regulations related to the accounting profession. Typically, when

  • FASB proposes alternative to accounting for Goodwill and certain identifiable intangible assets for non-for-profits

    January 3, 2018 Published: The Accountant The Financial Accounting Standards Board (FASB) has issued a proposed Accounting Standards Update (ASU), which would reduce the cost and complexity of accounting for goodwill and measuring certain intangible assets for not-for-profit organisations. Stakeholders have been encouraged to review and provide input on the proposed ASU by February 18

  • ASB changes align GAAS with PCAOB standards

    January 3, 2019 Published: Journal of Accountancy The AICPA’s Auditing Standards Board (ASB) voted to issue a new auditing standard, Omnibus Statement on Auditing Standards — 2019,that will more closely align standards for auditors of nonpublic clients to the auditing standards of the PCAOB, in order to enhance audit quality in an effective and efficient manner. The

  • ICYMI: Top Trends on Gateway in 2018

    December 18, 2018 Published: IFAC By: Bhumi Jariwala, Editor, IFAC Global Knowledge Gataway For the accountancy profession, 2018 was a future-focused year. The need to embrace rapidly emerging technologies, attract and retain top talent, enhance audit quality, leadership in ethics and demonstrating how the accountancy profession is playing a wider role in society were among the key

  • PCAOB posted an annotated example of an auditor’s report for the audit of a broker or dealer

    December 17, 2018 The following is an example of an unqualified auditor’s report under AS 3101* on the financial statements of a broker or dealer reporting under Rule 17a-5 of the Securities Exchange Act of 1934. The example includes an unqualified auditor’s report on the supplemental information and assumes no explanatory or emphasis paragraphs. New

  • Investors favor SOX 404(b) audit rule, says study

    December 27, 2018 Published: AccountingToday Section 404(b) of the Sarbanes-Oxley Act of 2002, which requires public companies to undergo annual audits of the adequacy of their internal controls over financial reporting, appears to be supported by investors who want newly acquired companies to be audited as well, according to a new study. The study, by

  • UK Gov. launches new review into audit profession

    December 18, 2018 Published: The Accountant Donald Brydon, the outgoing chair of the London Stock Exchange Group, has been appointed to lead a new independent review of the quality and effectiveness of the UK audit market, the so-called ‘Brydon Review’. The independent review was launched the same day the Kingman Review published its findings that

  • How audit committees can oversee FASB standard adoption

    December 20, 2018 Published: Journal of Accountancy The abundance of game-changing new accounting standards issued by FASB has given audit committees a lot to consider as 2018 concludes. New standards for revenue recognition, lease accounting, and accounting for credit losses have demanded intense focus from company finance departments. Audit committees are charged with oversight and

  • 6 tips for developing critical audit matter disclosures

    December 21, 2018 Published: Journal of Accountancy A new standard for public company auditing is bringing the stress that accompanies any significant change, but it also is giving auditors the opportunity to communicate more about the audit. New PCAOB rules for the auditor’s report require auditors to disclose “critical audit matters” that are encountered in

  • PCAOB Adopts New Estimates Standard and Amendments Related to Using the Work of Specialists

    December 20, 2018 Published: PCAOB The Public Company Accounting Oversight Board today adopted a new standard to enhance the requirements that apply when auditing accounting estimates, including fair value measurements.  The Board also adopted amendments to its auditing standardsto strengthen requirements that apply when auditors use the work of specialists in an audit. The new estimates standard replaces

  • Post-Implementation Review of AS 1220, Engagement Quality Review

    December 19, 2018 Published: PCAOB PCAOB staff have completed a post-implementation review of AS 1220, Engagement Quality Review. The review of AS 1220 is the PCAOB’s first post-implementation review. The review includes key findings, messages for auditors and audit committees, and enhancements to achieve more effective reviews. To perform the review the staff analyzed information collected through the

  • GAAP, SEC taxonomies for 2019 are available

    December 18, 2018 Published: Journal of Accountancy The 2019 GAAP Financial Reporting Taxonomy and the 2019 SEC Reporting Taxonomy are available on FASB’s website, the board announced Tuesday. FASB expects the taxonomies to be accepted as final by the SEC early in 2019. The 2019 GAAP Financial Reporting Taxonomy contains updates for accounting standards and other recommended improvements. The

  • 2018 Handbook of International Quality Control, Auditing, Review, Other Assurance, and Related Services Pronouncements

    December 17, 2018 Published: IFAC – IAASBCurrent Edition The latest edition of the handbook includes: – ISA 250 (Revised), Consideration of Laws and Regulations in an Audit of Financial Statementsand amendments to other International Standards in response to the new requirements addressing non-compliance with laws and regulations (NOCLAR) in the IESBA International Code of Ethics for Professional

  • PCAOB to consider rules on auditing estimates, use of specialists

    December 11, 2018 Published: Journal of Accountancy The PCAOB will consider whether to adopt new public company auditing rules for auditing accounting estimates and use of the work of specialists during a public meeting scheduled for Dec. 20. The subjective nature of estimates and fair value measurements make these issues challenging for auditors. The PCAOB

  • FRC issues revised auditing standard and consults on guidance for quality bank audits

    12 December 2018 Published: FRC The Financial Reporting Council (FRC) has issued an International Standard on Auditing Accounting Estimates and Related Disclosures, covering the audit of expected credit losses in banks and which reflects the increased importance and complexity of estimates in financial statements. The FRC strongly supported the development on this standard. The FRC is

  • Signs on the Road to Change for Accountants in Business in a Digital Age

    December 11, 2018 Published: IFAC By: Larry White, Executive Director, Resource Consumption Accounting Institute   Professional accountants working in business and the public sector constitute the overwhelming majority of the profession working within and beyond finance teams. The future attractiveness of the profession is very much dependent on the value these accountants create to secure

  • How audit committees can address emerging technologies

    December 12, 2018 Published: Journal of Accountancy Emerging technologies present big opportunities for efficiencies and strategic advantages for companies, but they also pose substantial challenges for audit committees. Artificial intelligence and robotic process automation can change the way companies do business and increase efficiency and the quality of financial reporting. But the technologies also pose

  • SEC urges consistency in non-GAAP reporting

    December 10, 2018 Published: Journal of Accountancy SEC Chairman Jay Clayton and Chief Accountant Wes Bricker urged CPAs on Monday to deliver consistency in the non-GAAP information they report to investors. “There has to be a similar consistency in the reporting of non-GAAP numbers and key performance indicators (KPIs) as we expect in GAAP numbers,”

  • What ‘dry runs’ reveal about critical audit matters

    December 10, 2018 Published: Journal of Accountancy New PCAOB rules on the content of the auditor’s report are providing audit practitioners with an opportunity to communicate more and different information on an engagement than ever before. But auditors are still performing “dry runs” to practice how and what to communicate as they prepare to implement

  • What PCAOB inspectors will look for in 2019

    December 7, 2018 Published: Journal of Accountancy Systems of quality control, independence issues, and recurring deficiencies will be among the main areas of focus during PCAOB inspections of registered audit firms during 2019. The PCAOB Division of Registration and Inspections staff on Thursday provided an outlook on the objectives and potential focus areas for its 2019 inspections

  • Simplifying implementation of FASB’s not-for-profit financial reporting standard

    November 5, 2018 Published: Journal of Accountancy By Christopher M. Gordon, CPA, and Ruth Granlund, CPA Tax-exempt organizations are working through the biggest change to not-for-profit financial reporting in 25 years. FASB Accounting Standard Update (ASU) No. 2016-14, Not-for-Profit Entities (Topic 958): Presentation of Financial Statements of Not-for-Profit Entities, brings significant changes for all not-for-profit organizations,

  • AICPA issues new standard for ERISA benefit plan audits

    December 3, 2018 Published: Accounting Today The American Institute of CPAs’ Auditing Standards Board voted to issue a long-awaited standard on audits of financial statements of employee benefit plans, although it is still awaiting some details before the standard takes effect. The Statement on Auditing Standards Forming an Opinion and Reporting on Financial Statements of Employee

  • US Regulators plan changes to CPA Licensure Model

    November 29, 2018 Published: The Accountant Leaders from the accounting profession, regulators and other stakeholders have revealed talks are ongoing in an effort to change the US CPA licensure model in response to the expanded skillsets accountants need. The goal of the effort is to align licensure with how CPAs will perform services in an