Adrian Johnson
TLDR:
Key points:
- FASB released a draft guide to improve GAAP Taxonomy for employee benefit plans.
- IASB released illustrative examples to encourage companies to disclose climate-related risks in financial statements.
In a recent article, FASB released a draft guide aimed at improving the GAAP Taxonomy for employee benefit plans. The guide, titled “Modeling for Employee Benefit Plans,” provides detailed modeling examples to help users accurately report employee benefit plan data. This is expected to enhance financial reporting consistency, comparability, and transparency for regulators, investors, and analysts.
On the other hand, IASB released eight illustrative examples to showcase how companies can disclose climate-related risks and opportunities in their financial statements. These examples aim to help companies communicate their climate change management strategies effectively and provide clarity on how uncertainties such as climate risks affect their financial position and performance. The board is seeking public input on these examples to encourage more transparent reporting on climate-related issues.
Additionally, the IASB has proposed an addendum to update and refine disclosure rules for subsidiaries without public accountability. This addendum includes six key changes to ensure that subsidiaries align with the latest developments and stay relevant and effective in their reporting.
