Defining Issues  |   May 2018
 

FASB issues Codification improvement to income tax accounting

KPMG reports on the FASB’s latest Codification improvements. The ASU eliminates the reference to superseded regulatory guidance for depository and lending institutions.

Applicability

ASU 2018-06

  • All entities

Relevant dates

  • Effective immediately

Key impacts

This ASU clarifies, corrects errors in, and makes improvements to several Codification Topics, including to:

  • This ASU eliminates the reference to the Comptroller of the Currency’s Banking Circular 202, Accounting for Net Deferred Taxes (ASC paragraph 942-740-45-1). That circular has been rescinded
  • The changes are part of an ongoing FASB project to make non-substantive improvements that are not expected to have a significant effect on accounting practice or create a significant administrative cost for most entities