SEC staff comments on accounting for tax reform and implementation efforts for new standards

Applicability

SEC Speech – Progress is being made: Continued focus on addressing implementation matters

• All SEC registrants

Relevant dates

• Effective immediately

Key impacts

• SAB 118 does not allow deferring the accounting requirements until the end of the period
• A registrant should make good faith progress to provide investors with timely, decision-useful information
• Implementation efforts should be prioritized with adequate resources allocated
• Successful implementations require adequate time dedicated to developing new or changed internal controls, informative transition disclosures, new required disclosures, and well-reasoned accounting judgments
• Audit committees play a critical role in the adoption process

Report contents

• Applicability
• Key facts and impacts
• Tax reform – SAB 118
• Implementation of new accounting standards
• Effective dates and implementation resources

Related content

• KPMG’s webpage on Revenue
  
• KPMG’s webpage on Leases
• KPMG’s webpage on Financial instruments