Governmental Accounting Standards Board officials said states and municipalities should include five-year budget projections in financial
statements. The change would give investors a fuller picture of the issues confronting local government, including revenue, expenses, debt, and
obligations to retirees. Read more»
The Governmental Accounting Standards Board issued a proposal that it said would resolve “conflicting guidance” contained in Statement No. 54, Fund Balance Reporting and Governmental Fund Type Definitions, and Statement No. 62, Codification of Accounting and Financial Reporting Guidance Contained in Pre-November 30, 1989 FASB and AICPA Pronouncements. The exposure draft contains amendments regarding the reporting of risk-financing activities, certain operating lease transactions, and the acquisition of a loan or a group of loans. Read more»
The Governmental Accounting Standards Board issued an exposure draft, Reporting Items Previously Recognized as Assets and Liabilities, that proposes reclassifying or recognizing certain items currently being reported as assets and liabilities as one of four financial statement elements—deferred outflows of resources, outflows of resources, deferred inflows of resources, or inflows of resources. Read more»
A coalition of more than 100 groups has called for the repeal of a provision that starting next year would require 3% withholding on payments to government contractors, as well as on Medicare, certain Department of Agriculture payments and other payments. The provision is criticized as likely to cause administrative problems for government contractors and state and local governments that would have to comply with the withholding requirement. The AICPA has also sent a letter to Congress urging repeal. JournalofAccountancy.com
The Government Accountability Office has proposed updates to its “Yellow Book” that would address frequently asked questions and continue to modernize and harmonize auditing standards by various standard-setting bodies. The proposed changes include a more formalized conceptual framework to provide a uniform method for analyzing independence issues. Read an analysis from a director in the GAO’s Financial Management and Assurance Division. Read more»
The Governmental Accounting Standards Board has revised its financial-reporting standards for government-run institutions. The standards aim to improve the information presented by making sure the financial-reporting entity includes only organizations for which the elected officials are financially accountable. Read more»
